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imageEmergency Banking Relief Act of 1933

U.S. (United States) Statutes at Large

(73rd Congress, 1933 p. (pages) 1-7)
_____________________________________________
Seventy-Third Congress
of the
United States of America;

At the first Session,

Begun and held at the
City of Washington
on
Thursday
the
ninth
day of
March,
one thousand nine hundred and thirty-three
—————————————————————–
AN ACT
To provide relief in the
existing national emergency
in
banking,
and for other purposes
—————————————————————–
Be it enacted by the
Senate
and
House of Representatives
of the
United States of America
in
Congress
assembled,
That the
Congress
hereby declares that a
serious emergency exists
and that it is
imperatively necessary speedily
to put into effect
remedies
of
uniform national application

TITLE I

Section 1.
The
actions,
regulations,
rules,
licenses,
orders
and
proclamations
heretofore or hereafter
taken,
promulgated,
made,
or
issued
by the
President
of the
United States
or the
Secretary of the Treasury
since
March 4, 1933,
pursuant to the
authority
conferred by
subdivision (b)
of
section 5
of the
Act
of
October 6, 1917,
as amended,
are hereby approved and confirmed
—————————————————————–
ARE HEREBY APPROVED AND CONFIRMED
——————————————————————
Congress RUBBER-STAMPED the actions of Franklin D. Roosevelt
_____________________________________________
subdivision (b)
of
section 5
of the
Act
of
October 6, 1917,
is the
Trading with the Enemy Act of 1917
(40 Stat. L., 411)
_____________________________________________
Section 2.
Subdivision (b)
of
section 5
of the
Act
of
October 6, 1917
(40 Stat. L. 411),
as amended,
is hereby amended to read as follows:
………………………………………………..
”(b) During time of
war
or during any other period of
national emergency
declared by the
President,
the
President
may, through
any agency
that he may
designate,
or otherwise,
investigate,
regulate,
or
prohibit,
under such
rules
and
regulations
as he may
prescribe,
by means of
licenses
or otherwise,
any transactions in foreign exchange, transfers of credit between or payments by
banking institutions
as
defined
by the
President,
and
export,
hoarding,
melting,
or
earmarking
of
gold
or
silver
coin
or
bullion
or
currency,
by
any person
within
the
United States
or any
place
subject
to the
jurisdiction
thereof;
and the
President
may
require
any person
engaged in any transaction referred to in this subdivision to furnish under oath, complete information relative thereto, including the production of any books of account, contracts, letters or other papers, in connection therewith in the custody or control of such
person,
either before or after such transaction is completed
Whoever
willfully violates
any of the
provisions
of this
subdivision
or of any
license,
order,
rule
or
regulation
issued thereunder, shall, upon conviction, be fined not more than $10,000, or, if a
natural person,
may be imprisoned for not more than ten years, or both; and
any
officer,
director,
or
agent
of any
corporation
who
knowingly participates
in such
violation
may be punished by a like fine, imprisonment, or both
As used in this
subdivision
the term
‘person’
means
an
individual,
partnership,
association,
or
corporation
_____________________________________________
Trading with the Enemy Act of 1917
October 6, 1917

(40 Stat. L., 411)

Section 5 (b)

[Vol. 40, p. 415]
_____________________________________________
Title 50—Appendix

TRADING WITH THE ENEMY ACT OF 1917

ACT OCT. 6, 1917, CH. 106, 40 STAT. 411

Sec.
5.Suspension of provisions relating to ally of enemy; regulation of transactions in foreign exchange of gold or silver, property transfers, vested interests, enforcement and penalties.

_____________________________________________
Sec.

5.

(b)(1) During the time of

war,
—————————————————————–
DURING the TIME of WAR
——————————————————————
FACT: The UNITED STATES was NOT at WAR
—————————————————————–
the

President

may,

. . . —

(A) investigate,

regulate,

or

prohibit,

any

transactions in foreign exchange,

transfers of credit

or

payments

between,

by,

through,

or to any

banking institution,

and the

importing,

exporting,

hoarding,

melting,

or

earmarking

of

gold

or

silver

coin

or

bullion,

currency

or

securities,

and

(B) . . .

any property in which any foreign country or a national thereof has any interest,

by any person,

or with respect to any property,

subject

to the

jurisdiction

of the

United States;

. . .

directed by the

President,

. . .

in the interest of and for the benefit of the

United States,

. . .

(2) Any

. . .

made to or for the account of the

United States,

. . .

and

no person

shall be held

liable

in any

court

for or in respect to anything done or omitted in

good faith

in connection with the administration of, or in pursuance of and in reliance on, this subdivision, or any rule, regulation, instruction, or direction issued hereunder

(3) As used in this subdivision the term

“United States”

means

the

United States

and

any place

subject

to the

jurisdiction

thereof:

Provided, however, That the foregoing shall not be construed as a limitation upon the power of the

President,

. . .

As used in this subdivision the term

“person”

means

an

individual,

partnership,

association,

or

corporation
_____________________________________________
COMPARISON of 1917 and 1933 ACTs
_____________________________________________
1917: (b)(1) During THE time of
………………………………………………..
1933: ”(b) During time of
——————————————————————
1917: war,
………………………………………………..
1933: war
—————————————————————–
DURING the TIME of WAR
——————————————————————
FACT: The UNITED STATES was NOT at WAR
—————————————————————–
1933: or during any other period of

1933: national emergency

1933: declared by the

1933: President,
——————————————————————
1917: the
………………………………………………..
1933: the
——————————————————————
1917: President
………………………………………………..
1933: President
——————————————————————
1917: may, . . . —
………………………………………………..
1933: may, through
——————————————————————
1933: any agency

1933: that he may

1933: designate,

1933: or otherwise,
——————————————————————
1917: (A) investigate,
………………………………………………..
1933: investigate,
——————————————————————
1917: regulate,
………………………………………………..
1933: regulate,
——————————————————————
1917: or
………………………………………………..
1933: or
——————————————————————
1917: prohibit,
………………………………………………..
1933: prohibit,
——————————————————————
1933: under such

1933: rules

1933: and

1933: regulations

1933: as he may

1933: prescribe,

1933: by means of

1933: licenses

1933: or otherwise,
——————————————————————
1917: any transactions in foreign exchange, transfers of credit or payments BETWEEN, by, THROUGH, OR TO ANY
………………………………………………..
1933: any transactions in foreign exchange, transfers of credit BETWEEN or payments by
——————————————————————
1917: banking INSTITUTION,
………………………………………………..
1933: banking INSTITUTIONS
——————————————————————
1933: as

1933: defined

1933: by the

1933: President,
——————————————————————
1917: and THE IMPORTING,

1933: and
——————————————————————
1917: EXPORTING,
………………………………………………..
1933: EXPORT,
——————————————————————
1917: hoarding,
………………………………………………..
1933: hoarding,
——————————————————————
1917: melting,
………………………………………………..
1933: melting,
——————————————————————
1917: or
………………………………………………..
1933: or
——————————————————————
1917: earmarking
………………………………………………..
1933: earmarking
——————————————————————
1917: of
………………………………………………..
1933: of
——————————————————————
1917: gold
………………………………………………..
1933: gold
——————————————————————
1917: or
………………………………………………..
1933: or
——————————————————————
1917: silver
………………………………………………..
1933: silver
——————————————————————
1917: coin
………………………………………………..
1933: coin
——————————————————————
1917: or
………………………………………………..
1933: or
——————————————————————
1917: bullion,
………………………………………………..
1933: bullion
——————————————————————
1933: or
——————————————————————
1917: currency OR SECURITIES, AND
………………………………………………..
1933: currency,
——————————————————————
1933: by

1933: any person

1933: within

1933: the

1933: United States

1933: or any

1933: place
——————————————————————
1917: subject
………………………………………………..
1933: subject
——————————————————————
1917: to the
………………………………………………..
1933: to the
——————————————————————
1917: jurisdiction
………………………………………………..
1933: jurisdiction
——————————————————————
1917: of the

1917: United States;

. . .
——————————————————————
1933: thereof;

1933: and the

1933: President

1933: may

1933: require

1933: any person

1933: engaged in any transaction referred to in this subdivision to furnish under oath, complete information relative thereto, including the production of any books of account, contracts, letters or other papers, in connection therewith in the custody or control of such

1933: person,

1933: either before or after such transaction is completed

1933: Whoever

1933: willfully violates

1933: any of the

1933: provisions
——————————————————————
1917: . . . this
………………………………………………..
1933: OF this
——————————————————————
1917: subdivision,
………………………………………………..
1933: subdivision
——————————————————————
1917: or any
………………………………………………..
1933: or OF any
——————————————————————
1933: license,

1933: order,
——————————————————————
1917: rule,
………………………………………………..
1933: rule
——————————————————————
1933: or
——————————————————————
1917: regulation,
………………………………………………..
1933: regulation
——————————————————————
1917: issued HEREUNDER
………………………………………………..
1933: issued THEREUNDER, shall, upon conviction, be fined not more than $10,000, or, if a
——————————————————————
1933: natural person,

1933: may be imprisoned for not more than ten years, or both; and

1933: any

1933: officer,

1933: director,

1933: or

1933: agent

1933: of any

1933: corporation

1933: who

1933: knowingly participates

1933: in such

1933: violation

1933: may be punished by a like fine, imprisonment, or both
——————————————————————
1917: (3) As used in this subdivision the term

1917: “United States”

1917: means

1917: the

1917: United States

1917: and

1917: any place

1917: subject

1917: to the

1917: jurisdiction

1917: thereof:

1917: Provided, however, That the foregoing shall not be construed as a limitation upon the power of the

1917: President,

. . .
——————————————————————
1917: As used in this
………………………………………………..
1933: As used in this
——————————————————————
1917: subdivision
………………………………………………..
1933: subdivision
——————————————————————
1917: the term
………………………………………………..
1933: the term
——————————————————————
1917: “person”
………………………………………………..
1933: ‘person’
——————————————————————
1917: means
………………………………………………..
1933: means
——————————————————————
1917: an
………………………………………………..
1933: an
——————————————————————
1917: individual,
………………………………………………..
1933: individual,
——————————————————————
1917: partnership,
………………………………………………..
1933: partnership,
——————————————————————
1917: association,
………………………………………………..
1933: association,
——————————————————————
1917: or
………………………………………………..
1933: or
——————————————————————
1917: corporation
………………………………………………..
1933: corporation
_____________________________________________
By adding
………………………………………………..
BY
ANY PERSON
WITHIN
THE
UNITED STATES
………………………………………………..
March 9, 1933
the
United States Congress
expanded the
Trading with the Enemy Act of 1917
_____________________________________________
Sec. 3.
Section 11
of the
Federal Reserve Act
is
amended
by adding at the end thereof the following new subsection:
”(n) Whenever in the judgment of the
Secretary of the Treasury
such action is necessary to protect the
currency system
of the
United States,
the
Secretary of the Treasury,
in his discretion, may
require
any
or
all
individuals,
partnerships,
associations
and
corporations
to
pay
and
deliver
to the
Treasurer of the United States
any
or
all
gold coin,
gold bullion,
and
gold certificates
owned by such
individuals,
partnerships,
associations
and
corporations
Upon receipt of such
gold coin,
gold bullion
or
gold certificates,
the
Secretary of the Treasury
shall pay therefor an equivalent amount of any other form of
coin
or
currency
coined
or
issued
under the
laws
of the
United States
The
Secretary of the Treasury
shall pay all costs of the transportation of such
gold bullion,
gold certificates,
coin,
or
currency,
including the cost of insurance, protection, and such other incidental costs as may be reasonably necessary
Any
individual,
partnership,
association,
or
corporation
failing to comply with any
requirement
of the
Secretary of the Treasury
made under this
subsection
shall be
subject
to a penalty equal to twice the value of the
gold
or
gold certificates
in respect of which such failure occurred, and such penalty may be collected by the
Secretary of the Treasury
by suit or otherwise”

Sec. 4.
In order to provide for the safer and more effective operation of the
National Banking System
and the
Federal Reserve System,
to preserve for the
people
the full benefits of the
currency
provided for by the
Congress
through the
National Banking System
and the
Federal Reserve System,
and to relieve
interstate commerce
of the burdens and obstructions resulting from the receipt on an unsound or unsafe basis of deposits subject to withdrawal by check, during such
emergency period
as the
President
of the
United States
by
proclamation
may
prescribe,
no
member bank
of the
Federal Reserve System
shall transact any
banking business
except to such extent and subject to such regulations, limitations and restrictions as may be prescribed by the
Secretary of the Treasury,
with the approval of the
President
Any
individual,
partnership,
corporation,
or
association,
or
any
director,
officer
or
employee
thereof, violating any of the
provisions
of this
section
shall be deemed guilty of a misdemeanor and, upon conviction thereof, shall be fined not more than $10,000 or, if a
natural person,
may, in addition to such fine, be imprisoned for a term not exceeding ten years
Each day that any such violation continues shall be deemed a separate offense

TITLE II

Sec. 201.
This title may be cited as the
”Bank Conservation Act”

Sec. 202.
As used in this title, the term
”bank”
means
(1) any
national banking association,
and
(2) any
bank
or
trust company
located in the
District of Columbia
and operating under the supervision of the
Comptroller of the Currency;
and the term
”State”
means
any State,
Territory,
or
possession
of the
United States,
and the
Canal Zone

Sec. 203.
Whenever he shall deem it necessary in order to conserve the assets of any bank for the benefit of the depositors and other creditors thereof, the
Comptroller of the Currency
may appoint a conservator for such
bank
and require of him such bond and security as the
Comptroller of the Currency
deems proper
The conservator, under the direction of the
Comptroller,
shall take possession of the books, records, and assets of every description of such
bank,
and take such action as may be necessary to conserve the assets of such
bank
pending further disposition of its business as provided by
law
Such conservator shall have all the
rights,
powers,
and
privileges
now possessed by or hereafter given receivers of insolvent
national banks
and shall be subject to the obligations and penalties, not inconsistent with the provisions of this title, to which receivers are now or may hereafter become subject
During the time that such conservator remains in possession of such
bank,
the rights of all parties with respect thereto shall, subject to the other provisions of this title, be the same as if a receiver had been appointed therefor
All expenses of any such conservatorship shall be paid out of the assets of such
bank
and shall be a lien thereon which shall be prior to any other lien provided by this Act or otherwise
The conservator shall receive as salary an amount no greater than that paid to employees of the
Federal Government
for similar services

Sec. 204.
The
Comptroller of the Currency
shall cause to be made such examinations of the affairs of such
bank
as shall be necessary to inform him as to the financial condition of such
bank,
and the examiner shall make a report thereon to the
Comptroller of the Currency
at the earliest practicable date

Sec. 205.
If the
Comptroller of the Currency
becomes satisfied that it may safely be done and that it would be in the public interest, he may, in his discretion, terminate the conservatorship and permit such
bank
to resume the transaction of its business subject to such terms, conditions, restrictions and limitations as he may prescribe

Sec. 206.
While such
bank
is in the hands of the conservator appointed by the
Comptroller of the Currency,
the
Comptroller
may require the conservator to set aside and make available for withdrawal by depositors and payment to other creditors, on a ratable basis, such amounts as in the opinion of the
Comptroller
may safely be used for this purpose; and the
Comptroller
may, in his discretion, permit the conservator to receive deposits, but deposits received while the
bank
is in the hands of the conservator shall not be subject to any limitation as to payment or withdrawal, and such deposits shall be segregated and shall not be used to liquidate any indebtedness of such
bank
existing at the time that a conservator was appointed for it, or any subsequent indebtedness incurred for the purpose of liquidating any indebtedness of such
bank
existing at the time such conservator was appointed
Such deposits received while the
bank
is in the hands of the conservator shall be kept on hand in
cash,
invested in the
direct obligations
of the
United States,
or deposited with a
Federal reserve bank
The
Federal reserve banks
are hereby authorized to open and maintain separate deposit accounts for such purpose, or for the purpose of receiving deposits from
State officials
in charge of
State banks
under similar circumstances

Sec. 207.
In any
reorganization
of any
national banking association
under a plan of a kind which, under existing
law,
requires the consent, as the case may be,
(a) of depositors and other creditors or
(b) of stockholders or
(c) of both depositors and other creditors and stockholders, such
reorganization
shall become effective only
(1) when the
Comptroller of the Currency
shall be satisfied that the
plan of reorganization
is fair and equitable as to all depositors, other creditors and stockholders and is in the
public interest
and shall have approved the plan subject to such conditions, restrictions and limitations as he may prescribe and
(2) when, after reasonable notice of such
reorganization,
as the case may require,
(A) depositors and other creditors of such
bank
representing at least 75 per cent in amount of its total deposits and other liabilities as shown by the books of the
national banking association
or
(B) stockholders owning at least two-thirds of its outstanding capital stock as shown by the books of the
national banking association
or
(C) both depositors and other creditors representing at least 75 per cent in amount of the total deposits and other liabilities and stockholders owning at least two-thirds of its outstanding capital stock as shown by the books of the
national banking association,
shall have consented in writing to the
plan of reorganization:
Provided, however, That claims of depositors or other creditors which will be satisfied in full under the provisions of the
plan of reorganization
shall not be included among the total deposits and other liabilities of the
national banking association
in determining the 75 per cent thereof as above provided
When such
reorganization
becomes effective, all books, records, and assets of the
national banking association
shall be disposed of in accordance with the provisions of the plan and the affairs of the
national banking association
shall be conducted by its board of directors in the manner provided by the plan and under the conditions, restrictions and limitations which may have been prescribed by the
Comptroller of the Currency
In any
reorganization
which shall have been approved and shall have become effective as provided herein, all depositors and other creditors and stockholders of such
national banking association,
whether or not they shall have consented to such
plan of reorganization,
shall be fully and in all respects subject to and bound by its provisions, and claims of all depositors and other creditors shall be treated as if they had consented to such
plan of reorganization

Sec. 208.
After fifteen days after the affairs of a
bank
shall have been turned back to its board of directors by the conservator, either with or without a
reorganization
as provided in
section 207
hereof, the
provisions
of
section 206
of this
title
with respect to the segregation of deposits received while it is in the hands of the conservator and with respect to the use of such deposits to liquidate the indebtedness of such
bank
shall no longer be effective:
Provided, That before the conservator shall turn back the affairs of the
bank
to its board of directors he shall cause to be published in a newspaper published in the city, town or county in which such
bank
is located, and if no newspaper is published in such city, town or county, in a newspaper to be selected by the
Comptroller of the Currency
published in the
State
in which the
bank
is located, a notice in form approved by the
Comptroller,
stating the date on which the affairs of the
bank
will be returned to its board of directors and that the said provisions of
section 206
will not be effective after fifteen days after such date; and on the date of the publication of such notice the conservator shall immediately send to every
person
who is a depositor in such
bank
under
section 206
a copy of such notice by registered mail addressed to the last known address of such
person
as shown by the records of the
bank,
and the conservator shall send similar notice in like manner to every
person
making deposit in such
bank
under
section 206
after the date of such newspaper publication and before the time when the affairs of the
bank
are returned to its directors

Sec. 209.
Conservators appointed pursuant to the provisions of this title shall be subject to the provisions of and to the penalties prescribed by
section 5209
of the
Revised Statutes
(U.S.C., Title 12, sec. 592);
and
section
112,
113,
114,
116
and
117
of the
Criminal Code
of the
United States
(U.S.C., Title 18,
secs.
202,
203,
204,
205,
206
and
207),
in so far as applicable, are extended to apply to contracts, agreements, proceedings, dealings, claims and controversies by or with any such conservator or the
Comptroller of the Currency
under the provisions of this title

Sec. 210.
Nothing in this title shall be construed to impair in any manner any powers of the
President,
the
Secretary of the Treasury,
the
Comptroller of the Currency,
or the
Federal Reserve Board

Sec. 211.
The
Comptroller of the Currency
is hereby
authorized
and
empowered,
with the approval of the
Secretary of the Treasury,
to prescribe such rules and regulations as he may deem necessary in order to carry out the provisions of this title
Whoever violates any rule or regulation made pursuant to this section shall be deemed guilty of a misdemeanor and, upon conviction thereof, shall be fined not more than $5,000, or imprisoned not more than one year, or both

TITLE III

Sec. 301.
Notwithstanding any other provision of
law,
any
national banking association
may, with the approval of the
Comptroller of the Currency
and by vote of shareholders owning a majority of the stock of such association, upon not less than five days’ notice, given by registered mail pursuant to action taken by its board of directors, issue preferred stock in such amount and with such par value as shall be approved by said
Comptroller,
and make such amendments to its articles of association as may be necessary for this purpose; but, in the case of any newly organized
national banking association
which has not yet issued common stock, the requirement of notice to and vote of shareholders shall not apply
No issue of preferred stock shall be valid until the par value of all stock so issued shall be paid in

Sec. 302.
(a) The holders of such preferred stock shall be entitled to cumulative dividends at a rate not exceeding 6 per centum per annum, but shall not be held individually responsible as such holders for any debts, contracts, or engagements of such association and shall not be liable for assessments to restore impairments in the capital of such association as now provided by
law
with reference to holders of common stock
Notwithstanding any other provision of
law,
the holders of such preferred stock shall have such voting rights, and such stock shall be subject to retirement in such manner and on such terms and conditions, as may be provided in the articles of association with the approval of the
Comptroller of the Currency
(b) No dividends shall be declared or paid on common stock until the cumulative dividends on the preferred stock shall have been paid in full; and, if the association is placed in voluntary liquidation or a conservator or a receiver is appointed therefor, no payments shall be made to the holders of the common stock until the holders of the preferred stock shall have been paid in full the par value of such stock plus all accumulated dividends

Sec. 303.
The term
”common stock”
as used in this title
means
stock of
national banking associations
other than preferred stock issued under the provisions of this title
The term
”capital”
as used in
provisions
of
law
relating to the capital of
national banking associations
shall mean the amount of unimpaired common stock plus the amount of preferred stock outstanding and unimpaired; and the term
”capital stock”,
as used in
section 12
of the
Act of
March 14, 1900,
shall mean only the amount of common stock outstanding

Sec. 304.
If in the opinion of the
Secretary of the Treasury
any
national banking association
or any
State bank
or
trust company
is in need of funds for capital purposes either in connection with the organization or
reorganization
of such association,
State bank
or
trust company
or otherwise, he may, with the approval of the
President,
request the
Reconstruction Finance Corporation
to subscribe for preferred stock in such association,
State bank
or
trust company,
or to make loans secured by such stock as collateral, and the
Reconstruction Finance Corporation
may comply with such request
The
Reconstruction Finance Corporation
may, with the approval of the
Secretary of the Treasury,
and under such
rules
and
regulations
as he may prescribe, sell in the open market or otherwise the whole or any part of the preferred stock of any
national banking association,
State bank
or
trust company
acquired by the
Corporation
pursuant to this section
The amount of notes, bonds, debentures, and other such obligations which the
Reconstruction Finance Corporation
is authorized and empowered to issue and to have outstanding at any one time under existing
law
is hereby increased by an amount sufficient to carry out the provisions of this section

TITLE IV

Sec. 401.
The sixth, paragraph
of
Section 18
of the
Federal Reserve Act
is amended to read as follows:
”Upon the deposit with the
Treasurer of the United States,
(a) of any
direct obligations
of the
United States
or
(b) of any notes, drafts, bills of exchange, or bankers’ acceptances acquired under the provisions of this
Act,
any
Federal reserve bank
making such deposit in the manner prescribed by the
Secretary of the Treasury
shall be entitled to receive from the
Comptroller of the Currency
circulating notes in blank, duly registered and countersigned
When such circulating notes are issued against the security of
obligations
of the
United States,
the amount of such circulating notes shall be equal to the face value of the
direct obligations
of the
United States
so deposited as security; and, when issued against the security of notes, drafts, bills of exchange and bankers’ acceptances acquired under the provisions of this
Act,
the amount thereof shall be equal to not more than 90 per cent of the estimated value of such notes, drafts, bills of exchange and bankers’ acceptances so deposited as security
Such notes shall be the
obligations
of the
Federal reserve bank
procuring the same, shall be in form prescribed by the
Secretary of the Treasury,
shall be receivable at par in all parts of the
United States
for the same purposes as are
national bank notes,
and shall be
redeemable
in
lawful money
of the
United States
on presentation at the
United States Treasury
or at the
bank of issue
The
Secretary of the Treasury
is
authorized
and
empowered
of prescribe regulations governing the issuance, redemption, replacement, retirement and destruction of such circulating notes and the release and substitution of security therefor
Such circulating notes shall be subject to the same
tax
as is provided by
law
for the circulating notes of
national banks
secured by 2 per cent bonds of the
United States
No such circulating notes shall be issued under this paragraph after the
President
has declared by
proclamation
that the
emergency
recognized
by the
President
by
proclamation
of
March 6, 1933,
has
terminated,
unless such circulating notes are secured by deposits of bonds of the
United States
bearing the circulation privilege
When required to do so by the
Secretary of the Treasury,
each
Federal reserve agent
shall act as
agent
of the
Treasurer of the United States
or of the
Comptroller of the Currency,
or both, for the performance of any of the functions which the
Treasurer
or the
Comptroller
may be called upon to perform in carrying out the provisions of this paragraph
Appropriations available for distinctive paper and printing
United States currency
or
national bank currency
are hereby made available for the production of the circulating notes of
Federal reserve banks
herein provided; but the
United States
shall be reimbursed by the
Federal reserve bank
to which such notes are issued for all expenses necessarily incurred in connection with the procuring of such notes and all other expenses incidental to their issue, redemption, replacement, retirement and destruction”

Sec. 402.
Section 10(b)
of the
Federal Reserve Act,
as
amended,
is further
amended
to read as follows:
Sec. 10(b).
In exceptional and exigent circumstances, and when any member
bank
has no further eligible and acceptable assets available to enable it to obtain adequate credit accommodations through rediscounting at the
Federal reserve bank
or any other method provided by this
Act
other than that provided by
section 10(a),
any
Federal Reserve bank,
under
rules
and
regulations
prescribed
by the
Federal reserve Board,
may make advances to such
member bank
on its time or demand notes secured to the satisfaction of such
Federal reserve bank
Each such note shall bear interest at a rate not less than 1 per centum per annum higher than the highest discount rate in effect at such
Federal reserve bank
on the date of such note
No advance shall be made under this section after
March 3, 1934,
or after the expiration of such additional period not exceeding one year as the
President
may prescribed”

Sec. 403.
Section 13
of the
Federal Reserve Act,
as
amended,
is
amended
by adding at the end thereof the following new paragraph:
”Subject to such limitations, restrictions and regulations as the
Federal Reserve Board
may prescribe, any
Federal reserve bank
may make advances to
any
individual,
partnership
or
corporation
on the promissory notes of such
individual,
partnership
or
corporation
secured by
direct obligations
of the
United States
Such advances shall be made for periods not exceeding 90 days and shall bear interest at rates fixed from time to time by the
Federal reserve bank,
subject to the review and determination of the
Federal Reserve Board”

TITLE V

Sec. 501.
There is hereby appropriated, out of any money in the
Treasury
not otherwise appropriated, the sum of $2,000,000, which shall be available for expenditure, under the direction of the
President
and in his discretion, for any purpose in connection with the carrying out of this
Act

Sec. 502.
The right to alter, amend, or repeal this
Act
is hereby expressly reserved
If any provision of this
Act,
or the application thereof to
any person
or circumstances, is held invalid, the remainder of the
Act,
and the application of such provision to other persons or circumstances, shall not be affected thereby

Approved, March 9, 1933, 8.30 p.m.
imagehttp://www.fame.org/HTM/Emergency%20Banking%20Act%20of%201933.htm
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Articles
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