Sec. 24. Any Nat. B'k'g. Asso. not situated in a central reserve city may make loans secured by improved and unencumbered farm land situated within its Fed. Res. Dist. or within a radius of 100 miles of the place in which such bank is located, irrespective of Dist. lines, and may also make loans secured by improved and unencumbered real estate located within 100 miles of the place in which such bank is located, irrespective of Dist. lines; but no loan made upon the security of such farm land shall be made for a longer time than 5 years, and no loan made upon the security of such real estate as distinguished from farm land shall be made for a longer time than one year nor shall the amount of any such loan, whether upon such farm land or upon such real estate, exceed 50% of the actual value of the property offered as security. Any such bank may make such loans, whether secured by such farm land or such real estate, in an aggregate sum equal to 25% of its capital and surplus or to 1/3 of its time deposits and such banks may continue hereafter as heretofore to receive time deposits and to pay Int. on the same.

The Fed. Res. Board shall have power from time to time to add to the list of cities in which Nat. banks shall not be permitted to make loans secured upon real estate in the manner described in this Sec.

That Sec. 25 be, and is hereby, amended to read as follows:

Sec. 25. Any Nat. B'k'g. Asso. possessing a capital and surplus of $1,000,000 or more may file application with the Fed. Res. Board for permission to exercise, upon such conditions and under such regulations as may be prescribed by the said board, either or both of the following powers:

1st. To establish branches in foreign countries or dependencies or insular possessions of the U. S. for the furtherance of the foreign commerce of the U. S., and to act if required to do so as fiscal agents of the U. S.

2d. To invest an amount not exceeding in the aggregate 10% of its paid-in capital stock and surplus in the stock of one or more banks or Corps. chartered or incorporated under the laws of the U. S. or of any State thereof, and principally engaged in international or foreign banking, or banking in a dependency or insular possession of the U. S. either directly or through the agency, ownership, or control of local institutions in foreign countries, or in such dependencies or insular possessions.

Such application shall specify the name and capital of the B'k'g. Asso. filing it, the powers applied for, and the place or places where the B'k'g. operations proposed are to be carried on. The Fed. Res. Board shall have power to approve or to reject such application in whole or in part if for any reason the granting of such application is deemed inexpedient, and shall also have power from time to time to increase or decrease the number of places where such banking operations may be carried on.

Every Nat. B'k'g. Asso. operating foreign branches shall be required to furnish information concerning the condition of such branches to the Comptroller of the Currency upon demand, and every member bank investing in the capital stock of banks or Corps. described under subparagraph 2 of the 1st paragraph of this Sec. shall be required to furnish information concerning the condition of such banks or Corps. to the Fed. Res. Board upon demand, and the Fed. Res. Board may order special examinations of the said branches, banks, or Corps. at such time or times as it may deem best.

Before Any Nat. Bank shall be permitted to purchase stock in any such Corp. the said Corp. shall enter into an agreement or undertaking with the Fed. Res. Board to restrict its operations or conduct its business in such manner or under such limitations and restrictions as the said board may prescribe for the place or places wherein such business is to be conducted. If at any time the Fed. Res. Board shall ascertain that the regulations prescribed by it are not being complied with, said board is hereby authorized and empowered to institute an investigation of the matter and to send for persons and papers, subpoena witnesses, and administer oaths in order to satisfy itself as to the actual nature of the transactions referred to. Should such investigation result in establishing the failure of the Corp. in question, or of the Nat. bank or banks which may be stockholders therein, to comply, with the regulations laid down by the said Fed. Res. Board, such Nat. banks may be required to dispose of stock holdings in the said Corp. upon reasonable notice.

Every such Nat. B'k'g. Asso. shall conduct the accounts of each foreign branch independently of the accounts of other foreign branches established by it and of its home office, and shall at the end of each fiscal period transfer to its general ledger the profit or loss accrued at each branch as a separate item.

Any director or other officer, agent, or employee of any member bank may, with the approval of the Fed. Res. Board, be a director or other

Federal Reserve Act officer, agent, or employee of any such bank or Corp. above mentioned in the capital stock of which such member bank shall have invested as hereinbefore provided, without being subject to the provisions of Sec. 8 of the Act approved October 15, 1914, entitled An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes.

Sec. 26. All provisions of law inconsistent with or superseded by any of the provisions of this Act are to that extent and to that extent only hereby repealed: Provided, Nothing in this Act contained shall be construed to repeal the parity provision or provisions contained in an Act approved March 14, 1900, entitled "An Act to define and fix the standard of value, to maintain the parity of all forms of money issued or coined by the U. S., to refund the public debt, and for other purposes," and the Secy. of the Treas. may for the purpose of maintaining such parity and to strengthen the gold reserve, borrow gold on the security of U. S. bonds authorized by Sec. 2 of the Act last referred to or for one-year gold notes bearing Int. at a rate of not to exceed 3% per annum, or sell the same if necessary to obtain gold. When the funds of the Treas. on hand justify, he may purchase and retire such outstanding bonds and notes.

Sec. 27. The provisions of the Act of May 30, 1908, authorizing Nat. currency Assos., the issue of additional Nat .-bank circulation, and creating a Nat. Monetary Commission, which expires by limitation under the terms of such Act on the 30th day of June, 1914, are hereby extended to June 30, 1915, and Secs. 5153, 5172, 5191, and 5214 of the Rev. Sts. of the U.s., which were amended by the Act of May 30, 1908, are hereby re-enacted to read as such Secs. read prior to May 30, 1908, subject to such amendments or modifications as are prescribed in this Act: Provided, however, That Sec. 9 of the Act first referred to in this Sec. is hereby amended so as to change the tax rates fixed in said Act by making the portion applicable thereto read as follows:

Nat B'k'g. Assos. having circulating notes secured otherwise than by bonds of the U. S., shall pay for the first 3 months a tax at the rate of 3% per annum upon the average amount of such of their notes in circulation as are based upon the deposit of such securities, and afterwards an additional tax rate of 1/2 % per annum for each month until a tax of 6% per annum is reached, and thereafter such tax of 6% per annum upon the average amount of such notes: Provided further, That whenever in his judgment he may deem it desirable, the Secy. of the Treas. shall have power to suspend the limitations imposed by Sec. 1 and Sec. 3 of the Act referred to in this Sec., which prescribe that such additional circulation secured otherwise than by bonds of the U. S. shall be issued only to Nat. banks having circulating notes outstanding secured by the deposit of bonds of the U. S. to an amount not less than 40% of the capital stocks of such banks, and to suspend also the conditions and limitations of Sec. 5 of said Act except that no bank shall be permitted to issue circulating notes in excess of 125% of its unimpaired capital and surplus. He shall require each bank and currency Asso. to maintain on deposit in the Treas. of the U. S. a sum in gold sufficient in his judgment for the redemption of such notes, but in no event less than 5%. He may permit Nat. banks, during the period for which such provisions are suspended, to issue additional circulation under the terms and conditions of the Act referred to as herein amended: Provided further, That the Secy. of the Treas., in his discretion, is further authorized to extend the benefits of this Act to all qualified State banks and Tr. Cos., which have joined the Fed. Res. system, or which may contract to join within 15 days after the passage of this Act.

Sec. 28. Sec. 5143 of the Rev. Sts. is hereby amended and re-enacted to read as follows: Any Asso. formed under this title may, by the vote of shareholders owning 2/3 of its capital stock, reduce its capital to any sum not below the amount required by this title to authorize the formation of Assos.; but no such reduction shall be allowable which will reduce the capital of the Asso. below the amount required for its outstanding circulation, nor shall any reduction be made until the amount of the proposed reduction has been reported to the Comptroller of the Currency and such reduction has been approved by the said Comptroller of the Currency and by the Fed. Res. Board, or by the organization committee pending the organization of the Fed. Res. Board.

Sec. 29. If any clause, sentence, paragraph, or part of this Act shall for any reason be adjudged by any court of competent jurisdiction to be invalid, such judgment shall not affect, impair, or invalidate the remainder of this Act, but shall be confined in its operation to the clause, sentence, paragraph, or part thereof directly involved in the controversy in which such judgment shall have been rendered.

Sec. 30. The right to amend, alter, or repeal this Act is hereby expressly reserved.

An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes, approved October 15, 1914, be, and the same is hereby, amended by striking out the period at the end of the 2d clause of said Sec, inserting in lieu thereof a colon, and adding to said clause the following:

And provided further, That nothing in this Act shall prohibit any officer, director, or employee of any member bank or class A director of a Fed. Res. bank, who shall first procure the consent of the Fed. Res. Board, which board is hereby authorized, at its discretion, to grant, withhold, or revoke such consent, from being an officer, director, or employee of not more than 2 other banks, B'k'g. Assos., or Tr. Cos., whether organized under the laws of the U. S. or any State, if such other bank, B'k'g. Asso., or Tr. Co. is not in substantial competition with such member bank.

The consent of the Fed. Res. Board may be procured before the person applying therefor has been elected as a class A director of a Fed. Res. bank or as a director of any member bank.