GERAlDC.MANN Avnx-IN 1Z.TP.XAS
HonorableJohnQ.ldoAdame 'Ccmuais~ioner, Departmentof Banking Auetln, Texae
Dear Mr. I&Adams: OpinionNo. O-5451-A Re: Authorityof NationalBanking Associationsto establish bankingfacilitiesin military camps and naval yards under Section 10, of PublicLaw 603, of the~77th Congress,ale0 whetherState charteredbanks are given such authorityunder thle statuta.
You requestour opinionwith respectto the mattersmentioned in your letterae follows:
"An opinionfrom your office is requestedconcerning the authorityof nationalbanks in establishingbanking facilitiesin militarycamps and naval yards,allegedto have been providedby Section 10 of Public'Law 603 of the 77th Congress;also whetherState charteredFederalBeeeme Member banka and those non-memberinsuredState banke are given equal authorityunder this statutewith those oper- ating under nationalcharter."
In opinionNo. O-5451under date of July 26, 1943, we advised you with respectto the above cited subjectmatter aeeumlngthat S 1603 (U.S.C.Title 12, section36) had been duly enacted,but which now appears to be not the caee. In truth S 1.603was defeatedin the Congrese.
Section 265, Title 12, U.S.C.Annotated,which Is the Act referredto In your present inquiryand which wae paeeedJune 11, 1942, la aa follows:
"All insuredbanks designatedfor that purposeby the Secretaryof the Treaeuryshall be depositariesof public money of the United Statee (inaluding, withoutbeing limited to, revenueeand funds of the United States,and any funds the depositof which ie subject to the controlor regulntion of tie United States or any of 1t.aoffioere,agents,or employees,and Poetal Savings funds),and the Secretaryis HonorableJohn Cl.l&Adams,Page 2 (O-5451-A)
hereby authorizedto depositpub110money in su+dapbsitar$ee, under euoh regulationeas may be preeoribedby tie Sdoretary;' and they may also be employed(LBfinanoialagenteof the Government;and they shall performall euoh reaeonabledutiee, a6 depoeltarleeof publiomoney and finanoialageti$e of the ,Oovermentae may be requiredof them. The Secretaryof the Treasuryshall requireof the insuredbanke thus deeig- nated satiefaotorysecurityby the depoeitof Udited States bonde or otherwise,for the safekeepingand prompt payment of publicyney depositedwith than and for the falthfil perfonuanoeof their duties as finanoialagente of the no such securityshall be required for the safekeepingand prompt paymentof euoh parte of the depoalteof the publionioneyin such banke as are insured depoaitaand eaoh offiaer,employee,or agent of the United States having offloialcuetadyof public funds and lawfully depositingthe seme in ah insuredbank shall, for the purpose of determiningthe amount of the ineureddeposits,be deemed a depositorin such ouetodialoapaoltyseparateand dietimt from any other offioer,employee,or agent of the United States having officialcustodyof publio funds and lawfully depositingthe eame in the came ineuredbank in ouatodlal capacity. Wotwlthetanding any other provisionof law, no department;,board, agency, instrunentality, officer,employee, or agent of the United States ahall leeue or permit to continuein effect any regulations,rulings,or lnetxuctione, or enter into or approveany dontractsor performany other aote having to do with the deposit,diebureement,or expendl- ture of public funds,or the deposit,ouetody,or advanceof funds subjectto the controlof the United Statee ae,truetee or otherwieewhich ehalldiecrlmlnateagain&,or prefer nationalbankingassociations, State banks membereof the FederalReserve System,or insuredbanke not members of the FederalReseme System,by olaee, or which shall require those enjoyingthe benefits,directlyor indlreotly,of dlebureed pub110 funds 80 to discriminate.All Aote or parts tier&of in conflictherewithare hereby repealed. The terms 'lneured hank' and 'insureddeposit'ae used in this sectionehall be oonetruedaccordingto the defiultioneof euoh terme in eeotion264 of thie title." We-wlll~anewer your questionsin their Inverseorder.
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