A meeting of the Federal Reserve Board. was held in the

Office of the Board. on Saturday, June 4, 1921, at 11:00 a.m.

PRESBN: The ChairmanGovernor HardingMr. PlattMr. Haml inMr. Mil lerMr. MitchellMr. Cris singerMr. Hexton, Secretary.

Reading of the minutes was omitted.

The Governor reported the reserve positions of the several

Federal reserve banks as at close of business June 2d, and the

status of rediscounts between the Federal Reserve banks as of the

same date.

Governor Harding stated that the first order of business

Would be the consideration of the pioposed bill authorizing the

fonEation of a corporation by the Federal reserve banks to administer

a pension system.

After full discussion, Govenier liardinr was au-thorized to advise Mr. J. F. Curtis, the author ofthe proposed bill, that the Boacd is in accord withthe principle of pm vidinp; pensions for employes ascontemplated in the bill, but that it was the opinionof the Board that the life insurance feature shouldbe omitted. and that the members of the Board weredivided on the desira.bility of including Section 5which provides for participation in the plan by memberbanks.

Letter dated June 3d, from the Diroctor r,r the Division of•

Analysis &• Research, suggesting the possible desirability of elim-

1114 inp: certain production statistics from the Federal Reserve

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Bulletin, for the reason that the Department of Commerce contem-

plates undertaking work along this line which will render super-

fluous the compilation by the Division of Analysis & Research.

Referred to Mr. Miller. Upon motion, Mr.Mitchell was added to the Bulletin Committee, sothat said Committee now consists of Mr. Miller,Yr. Platt and Mr. Mitchell.

Telegram dated May 28th, from the Assistant Federal Reserve

Agent at San Francisco, requesting the Board's approval of the ap-

pointment of Mr. G. H. Williams and Mr. F. H. Simpson as Assistant

Federal Reserve Examiners for the Seattle Branch.

Approved.

Letter dated Juno 3d, from the Chairman of the Federal Re-

serve Bank of Philadelphia, advising of difficulties and failures

affecting certain non-member institutions in Philadelphia and

Altoona, Pa.

Noted.

Letter dated June 3d, from the Chairman of the Federal Re-

serve Bank of Philadelphia, inquiring if it will be possible to

authorize the Western National Bank of York, Pa. to invest collect-

ively in Government bonds any trust balances of less than 1150.00,

With the requirement that when the tAnds of any estate so invested

Shall amount to .- 50.00 they shall be withdrawn from the collective

funds and invested separately.

Referred to General Counsel.

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Governor Harding referred to the letter of June 2d., signed

by senators and representatives in Congress from the State of Texas,

petitioning him to pay a visit to that State, and advised the Board

Of his belief that the invitation should be accepted on account

Of present conditions in the cattle raising industry.

Upon motion, Governor Harding was authorizedand requested to make a trip of two weeks throughthe stock ycroducing territory of the West and South-west and was likewise authorized to take with him,as Secretary and Assistant, Mr. W. L. Eddy, Assist-ant Secretary of the Federal Reserve Board.

Letter dated June 2d., from the Chairman of the Federal Re-

serve Bank of Atlanta, requesting authority to rebate a portion of

penalties assessed against certain banks for reserve deficiencies,

said, rebate representing tlz differerze between the rate of penalty

how in force and the rate which was in. force last year at the time

the specified banks were assessed.

Approved.

At this point, 12:35 p.m., the Secretary of the Treasury

entered ti s meeting and. stated that he wished to take up with the

Board the proposed farm of public statemsnt covering general con-

ditions, and having particular reference to the cattle industry,

Which statement was prepared by the &ecutive Committee in. accord-

ance with the action of the Board yesterday, June 3d.

After full discussion and the acceptance of severalamsndments, ths form of statement was, upon motion,approved, and Governor Harding was requested to release -it for publication in the newspapers next Monday morning.

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REPORTS OF COMUITTEE NO. 1:

Dated June 2d, Recommanding approval of the application of Mr.Fred H. Bixby to serve at the same time asdirector of the Long Beach Trust 8c Savings Bank,Long Beach, California and as director of theFirst National Bank of Wilmington, Cal.

Approved.

At 1:10 p.m. the meeting adjourned.

Secretary.

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