59 STAT.] 79TH CONG., 1ST SESS. -CH. 186-JUNE 12, 1945 [CHAPTER 186] AN ACT To amend sections 11 (c) and 16 of the Federal Reserve Act, as amended, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That (a) the third paragraph of section 16 of the Federal Reserve Act, as amended, is amended by changing the first sentence of such paragraph to read as follows: "Every Federal Reserve bank shall maintain reserves in gold certifi- cates of not less than 25 per centum against its deposits and reserves in gold certificates of not less than 25 per centum against its Federal Reserve notes in actual circulation: Provided, however, That when the Federal Reserve agent holds gold certificates as collateral for Federal Reserve notes issued to the bank such gold certificates shall be counted as part of the reserve which such bank is required to main- tain against its Federal Reserve notes in actual circulation." (b) The first sentence of the fourth paragraph of section 16 of the Federal Reserve Act, as amended, is amended by striking therefrom "40 per centum reserve hereinbefore required" and by inserting in lieu thereof "25 per centum-reserve hereinbefore required to be main- tained against Federal Reserve notes in actual circulation". (c) Subsection (c) of section 11 of the Federal Reserve Act, as amended, is amended to read as follows: "(c) To suspend for a period not exceeding thirty days, and from time to time to renew such suspension for periods not exceeding fifteen days, any reserve requirements specified in this Act: Provided, That it shall establish a graduated tax upon the amounts by which the reserve requirements of this Act may be permitted to fall below the level hereinafter specified: And provided further, That when the reserve held against Federal Reserve notes falls below 25 per centum, the Board of Governors of the Federal Reserve System shall estab- lish a graduated tax of not more than 1 per centum per annum upon such deficiency until the reserves fall to 20 per centum, and when said reserve falls below 20 per centum, a tax at the rate increasingly of not less than 11/2 per centum per annum upon each 21/2 per centum or fraction thereof that such reserve falls below 20 per centum. The tax shall be paid by the Reserve bank, but the Reserve bank shall add an amount equal to said tax to the rates of interest and discount fixed by the Board of Governors of the Federal Reserve System." SEC. 2 . The second paragraph of section 16 of the Federal Reserve Act, as amended, is amended to read as follows: "Any Federal Reserve bank may make application to the local Federal Reserve agent for such amount of the Federal Reserve notes hereinbefore provided for as it may require. Such application shall be accompanied with a tender to the local Federal Reserve agent of collateral in amount equal to the sum of the Federal Reserve notes thus applied for and issued pursuant to such application. The collateral security thus offered shall be notes, drafts, bills of exchange, or acceptances acquired under the provisions of section 13 of this Act or bills of exchange endorsed by a member bank of any Federal Reserve district and purchased under the provisions of section 14 of this Act, or bankers' acceptances purchased under the provisions of said section 14, or gold certificates, or direct obligations of the United States. In no event shall such collateral security be less than the amount of Federal Reserve notes applied for. The Federal Reserve agent shall each day notify the Board of Governors of the Federal Reserve System of all issues and withdrawals of Federal Reserve notes to and by the Federal Reserve bank to which he is accredited. 237 June 12, 194 18. 5101 [Public Law 84* Federal Reserve Act, amendments. 38 Stat. 266. 12U. S. C. §413. Gold certificates, re - serve requirements. 38 Stat. 266 12U.S. . 1414. 38 Stat. 282. 12U. S. C I248(). Suspension of speci- fied requirements. Graduated tax. Payment. 38 Stat. 25. 12 U. 8. C., Supp. IV, § 412. Application for Fed- eral Reserve notes. Collateral security. 38 Stat. 23 . 12 U.S. C. i82,342 et se., 372. 38 Stat. 264. 12 U.S. C .C. 353- 359, 348a. Daily notices is- esaaand witbdrwal of Federnl RBw nota
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