The sun. [volume] (New York [N.Y.]) 1833-1916, 1913-06-19

serv" of 22hs per cent and at the end of
/ :hirty-eight months and permanently
thereafter reserve of 20 per cent. of
their outstanding deposits. After the
sixty days from the date set Ivy tn"
Secretary of the Treasury. each national
bank in reserve cities shall maintain
in its vaults in lawf,.i money sum
equal to 12la per cent. of its outstand-
ing deposits and thereafter sum of
lawful money equal to 10 per cent. of its
deposits
National banks in central reserve
cities for a period Of fourteen months
shall maintain "A reserve in lawful
money equal to 90 per cent. of their
lawful deposits. and thereafter for u
period of twelve months "A reserve in
lawful money equal to 22ig per cent. of
their deposits: after twcnty-six months
| they shall maintain Il reserve in lawfCl
/ money equal tn 90 per cent. of their
out tstandlng deposits. and for a period
of sixty days after the passage of the
act each bank shall maintain in its own
vaults in lawful money a sum equal
! to 20 per cent. Of its deposits, and
thereafter "A sum equal tn 10 per cent.
| Of it's deposits.
| intcrna tiOnai Banks M.
/ Section 30 repcals the law providing
i that the fund deposited by international
banking associations for the redemption
of it's notes shall be counted as part of
| its lawful reserve. After the passage of
| this act such fund of ; per cent. shall
not be counted by international bank
ing associations as a part of it's lawful
| reserve.
| Section % requires every Federal re-
serve bank at all times to have on hand
in gold or lawful money not less than
33 l-3 per cent. of it's outstanding de-
nand liabilities. which M the sam" time
shall not be less than SO 1-3 per cent. of
its outstanding Federal reserve notes.
| Section "a requires an examination of
every national banking association "a,
least twic" in each calendar year and
las much oft"n"r as tn" Federal reserve
hoard shall consider necessary. Direc-
tors must stat" under oath IL the eX-
amn.r the character and circumstances
If It's loan and discounts. In addition t.
the examination made 10y tn" tomptrol-
Ter of the Currency every Federal re-
| serve bank may arrange for "Xamina
| ton of the member banks within its dis
triCt. Every Fedora! reserve bank shall
b" bound to furnish to III" Federal re-
serve board Information concerning the
condition Of any national banking asso-
citation National banking associations
in reserve cities shall be cXainned not
less than four times each year
Loans Ia Examiners.
Section - forb.ds any loan OF grant
%; any gratuity To any examiner. Any
bank offending shall he ined not more
than $1,000, and "A further sum equal to
| the amount SO loaned or gratuitously
given; and the officer or officers of the
hank granting such gratuity shall be
fined not TO exceed $500. The examiner
shall be fned not more than $500 and
a further sum equal 20 IN. amount o,
the gratu.ty and shall be disqualified
from holding Office as "A national bank
cXaminer. No officer or director of any
national bank shall receive any con.
sid-ration for any transaction made by
or IN behalf Of the national bank %,
whish he isSuch officer or director. The
penalty for violation of this provision
lis fine not to exceed 5000 or by three
y"ars in prison, or both.
Section 26 makes stockholders o'
every hankin. association individual!
responsible for all contracts. debts ant
lcngagements Of such association each
Ia tn" amount OF his stock therein.
Section - authorizes any nationa
banking association not situated in a re
serve city or central reserve city to maxi
loans secured by improved and unen
numbered farm lands. but no such LOAF
shall be made for a longer period thar
nine months or for an amount eXceedin,
80 per cent of the amount offered as Sc
curity. Any such bank may make sucl
loans in an aggregate sum equal TO 3
per cent. of its capital and surplus o.
so per cent. of A. time deposits
Section 2S provides that any na,iona
banking association possessing capita
%: Sl,o00. 600 may, through the Fedora
reserve board. Establish branches in for
c.gn countries for the furtheranCe q
the foreign commerce Of the tnitc'
states and 10 act a. financial agents 70
III" United States.
Section 20. the final section provide
that all laws inconsistent with the pro
visions Of this act are repealed.