Any Fed. Res. bank may at its discretion withdraw collateral deposited with the local Fed. Res. agent for the protection of its Fed. Res. notes issued to it and shall at the same time substitute therefor other like collateral of equal amount with the approval of the Fed. Res. agent under regulations to be prescribed by the Fed. Res. Board. Any Fed. Res. bank may retire any of its Fed. Res. notes by depositing them with the Fed. Res. agent or with the Treas. of the U. S., and such Fed. Res. bank shall thereupon be entitled to receive back the collateral deposited with the Fed. Res. agent for the security of such notes. Fed. Res. banks shall not be required to maintain the reserve or the redemption fund heretofore provided for against Fed. Res. notes which have been retired. Fed. Res. notes so deposited shall not be reissued except upon compliance with the conditions of an original issue.
All Fed. Res. notes and all gold, gold C't'fs., and lawful money issued to or deposited with any Fed. Res. agent under the provisions of the Fed. Res. Act shall hereafter be held for such agent, under such rules and regulations as the Fed. Res. Board may prescribe, in the joint custody of himself and the Fed. Res. bank to which he is accredited. Such agent and such Fed. Res. bank shall be jointly liable for the safe-keeping of such Fed. Res. notes, gold, gold C't'fs., and lawful money. Nothing herein contained, however, shall be construed to prohibit a Fed. Res. agent from depositing gold or gold C't'fs. with the Fed. Res. Board, to be held by such board subject to his order, or with the Treas. of the U. S. for the purposes authorized by law.
In order to furnish suitable notes for circulation as Fed. Res. notes, the Comptroller of the Currency shall, under the direction of the Secy. of the Treas., cause plates and dies to be engraved in the best manner to guard against counterfeits and fraudulent alterations, and shall have printed therefrom and numbered such quantities of such notes of the denominations of $5, $10, $20, $50, $100, as may be required to supply the Fed. Res. banks. Such notes shall be in form and tenor as directed by the Secy. of the Treas. under the provisions of this Act and shall bear the distinctive numbers of the several Fed. Res. banks through which they are issued.
When such notes have been prepared, they shall be deposited in the Treas., or in the Subtreas. or mint of the U. S. nearest the place of business of each Fed. Res. bank and shall be held for the use of such bank subject to the order of the Comptroller of the Currency for their delivery, as provided by this Act.
The plates and dies to be procured by the Comptroller of the Currency for the printing of such circulating notes shall remain under his control and direction, and the expenses necessarily incurred in executing the laws relating to the procuring of such notes, and all other expenses incidental to their issue and retirement, shall be paid by the Fed. Res. banks, and the Fed. Res. Board shall include in its estimate of expenses levied against the Fed. Res. banks a sufficient amount to cover the expenses herein provided for.
The examination of plates, dies, bed pieces, and so forth, and regulations relating to such examination of plates, dies, and so forth, of Nat .-bank notes provided for in Sec. 5174 Rev. Sts., is hereby extended to include notes herein provided for.
Any appropriation heretofore made out of the general funds of the Treas. for engraving plates and dies, the purchase of distinctive paper, or to cover any other expense in connection with the printing of Nat.-bank notes or notes provided for by the Act of May 30, 1908, and any distinctive paper that may be on hand at the time of the passage of this Act may be used in the discretion of the Secy. for the purposes of this Act, and should the appropriations heretofore made be insufficient to meet the requirements of this Act in addition to circulating notes provided for by existing law, the Secy. is hereby authorized to use so much of any funds in the Treas. not otherwise appropriated for the purpose of furnishing the notes aforesaid: Provided, however, That nothing in this Sec. contained shall be construed as exempting Nat. banks or Fed. Res. banks from their liability to reimburse the U. S. for any expenses incurred in printing and issuing circulating notes.
Every Fed. Res. bank shall receive on deposit at par from member banks or from Fed. Res. banks checks and drafts drawn upon any of its depositors, and when remitted by a Fed. Res. bank, checks and drafts drawn by any depositor in any other Fed. Res. bank or member bank upon funds to the credit of said depositor in said reserve bank or member bank. Nothing herein contained shall be construed as prohibiting a member bank from
Federal Reserve Act charging its actual expense incurred in collecting and remitting funds, or for exchange sold to its patrons. The Fed. Res. Board shall, by rule, fix the charges to be collected by the member banks from its patrons whose checks are cleared through the Fed. Res. bank and the charge which may be imposed for the service of clearing or collection rendered by the Fed. Res. bank.
The Fed. Res. Board shall make and promulgate from time to time regulations governing the transfer of funds and charges therefor among Fed. Res. banks and their branches, and may at its discretion exercise the functions of a clearing house for such Fed. Res. banks, or may designate a Fed. Res. bank to exercise such functions, and may also require each such bank to exercise the functions of a clearing house for its member banks.
That the Secy. of the Treas. is hereby authorized and directed to receive deposits of gold coin or of gold C't'fs. with the Treas. or any Asst. Treas. of the U. S. when tendered by any Fed. Res. bank or Fed. Res. agent for credit to its or his account with the Fed. Res. Board. The Secy. shall prescribe by regulation the form of receipt to be issued by the Treas. or Asst. Treas. to the Fed. Res. bank or Fed. Res. agent making the deposit, and a duplicate of such receipt shall be delivered to the Fed. Res. Board by the Treas. at Wash. upon proper advices from any Asst. Treas. that such deposit has been made. Deposits so made shall be held subject to the orders of the Fed. Res. Board and shall be payable in gold coin or gold C't'fs. on the order of the Fed. Res. Board to any Fed. Res. bank or Fed. Res. agent at the Treasy. or at the Subtreasury of the U. S. nearest the place of business of such Fed. Res. bank or such Fed. Res. agent: Provided, however, That any expense incurred in shipping gold to or from the Treasy. or Subtreasuries in order to make such payments, or as a result of making such payments, shall be paid by the Fed. Res. Board and assessed against the Fed. Res. banks. The order used by the Fed. Res. Board in making such payments shall be signed by the Gov. or Vice Gov., or such other officers or members as the board may by regulation prescribe. The form of such order shall be approved by the Secy. of the Treasy.
The expenses necessarily incurred in carrying out these provisions, including the cost of the C't'fs. or receipts issued for deposits received, and all expenses incident to the handling of such deposits shall be paid by the Fed. Res. Board and included in its assessments against the several Fed. Res. banks.
Gold deposits standing to the credit of any Fed. Res. bank with the Fed. Res. Board shall, at the option of said bank, be counted as part of the lawful reserve which it is required to maintain against outstanding Fed. Res. notes, or as a part of the reserve it is required to maintain against deposits.
Nothing in this Sec. shall be construed as amending Sec. 6 of the Act of March 14, 1900, as amended by the Acts of March 4, 1907, March 2, 1911, and June 12, 1916, nor shall the provisions of this Sec. be construed to apply to the deposits made or to the receipts or C't'fs. issued under those Acts.
Sec. 17. So much of the provisions of Sec. 5159 of the Rev. Sts. of the U. S., and Sec. 4 of the Act of June 20, 1874, and Sec. 8 of the Act of July 12,1882, and of any other provisions of existing statutes as require that before any Nat. B'k'g. Asso. shall be authorized to commence banking business it shall transfer and deliver to the Treas. of the U. S. a stated amount of U. S. registered bonds, and so much of those provisions or of any other provisions of existing statutes as require any Nat. B'k'g. Asso. now or hereafter organized to maintain a minimum deposit of such bonds with the Treas. is hereby repealed.