The Ontario Argus. (Ontario, Or.) 1???-1947, 1914-01-08
RESERVE BOARD POWERS.
Has Controlling Hand on Banking Of
the Nation.

(a) To examine at its discretion the
accounts, books and affairs Of eacf
federal reserve bank and of each mem
Der bank and to require such state
ments and reports as it may deem
necessary. The said board shall pub
lish once each week n statement show
Ing the condition OF each federal re
serve bank and consolidated state
ment for all federal reserve banks
Such statements shall show I'm detail
the assets and liabillties'of the federal
reserve banks, single and combined
and shall furnish full information re
garding the character OF the money
held as reserve and the amount, na.
ture and maturities of the paper and
other investments owned or held by
federal reserve banks.
(b) To permit or on the affirmative
vote OF at least five members of the
reserve board to require federal re.
serve banks to rediscount the discount
ed paper of other federal reserve
banks ut rates of interest to be fixed
by the federal reserve board.
(c) TO suspend for a period not ex-
ceeding thirty days. and from time TO
time to renew such suspension for pc.
Rods not exceeding fifteen days, any
reserve requirement specified in this
act: Provided. that Il shall establish a
graduated tax upon the amounts by
which the reserve requirements OF this
act may be permitted TO fall below
the level hereinafter specified: and
provided, further. that when the gold
reserve held against federal reserve
notes falls below 10 per centum. tho
federal reserve board shall establish n
graduated tax OF not more than per
centum upon such deficiency until the
reserves fall to 32l2 per ccntum. and
when said reserve falls below 32k
per centum, a tax at the rate Increas.
lngly OF not less than ~ per centum
upon each 2h per ccntum or fraction
thereof that such reserve falls below
32ls per centum. The tax shall be paid
by the reserve bank, but the reserve
bank shall add an amount equal 10
said tax 10 the rates OF Interest aud
discount fixed by the federal reserve
board.
I'D TO supervise and regulate through
the bureau under the charge OF the
comptroller OF the currency the issue
ana retirement of federal reserve
notes, and TO prescribe rules aud regu.
latlons under which such notes may
be delivered by the comptroller TO the
federal reserve agents applying there.
for.
(cl To add 10 the number of cities
classified ns reserve ana central re-.
serve cities under existing law In
which national banking associations
are subject 10 the reserve require
ments set forth In section 30 OF this
net. or 10 reclnsslfy existing reserve
ana central reserve cities or 10 tcrmi.
nate their designation as such.
~ To suspend or remove any officer
or director Of any federal reserve
bank. the cause Of such removal 10 be
forthwith communicated In writing by
the federal reserve board 10 the re-.
moved officer or director and TO said
bank.
gI To require the writing or OF
or worthless assets upon the
hooks and balance sheets Of federal
reserve banks.
(h) To suspend. Tor the violation OF
any OF the provisions OF this act, the
operations OF any federal reserve
bank, 10 take possession thereof. ad-
minister the same during the period OF
ana when deemed adyisa-
BILE 10 llquidate or reorganize such
bank.
% To require bonds OF federal re-
serve agents, 10 make regulations for
the safeguarding OF all collateral,
bonds, federal reserve notes, money or
property Of any kind deposited In the
hands OF such agents. ana said board
shall perform the duties. functions or
services specified In this act and 10
make all rules and regulations neces-
sary To enable said board effectively |
70 perform the same.
~ To exercise general supervision |
)ver said federal reserve banks.
lkl To grant by special permit 10 ma
ional banks applying therefor. when
w 80 W otdtt
aw, the right TO act as trustee. ex-
'cutOr. administrator or registrar OF |
Itocks and bonds under such rules and
regulations as the said board may pre-
Icribe.
ID To employ such attorneys, ex-
,erts. assistants. clerks or other EN-
'loyees as may be deemed necessary
o properly conduct the business OF
he board. All salaries ana fees shall
Ne fixed In advance by said board and
hall be paid In the same manner as
he salaries OF the members OF said
'oard. All such attorneys. experts.
ssistants. clerks and other employees
hall be appointed without regard to
he provisionS Of the act OF Jan. 10.
ss3 volume 22. United States stat
ties at large. page 403l. and amend
nents thereto or any rule or regulation
made In pursuance thereof.
Section IL creates federal advisory
onncll. consisting OF one member
rom each federal reserve district.