HOUSE BILL.

SEC. 9. That any bank or banking association incorporated by special law of any State or of the United States, or organized under the general laws of any State or the United States, and having an unimpaired capital sufficient to entitle it to become a national banking association under the provisions of existing laws, may, by the consent in writing of the shareholders owning not less than fifty-one per centum of the capital stock of such bank or banking association, and with the approval of the Comptroller of the Currency, become a

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national banking association under its former name or by any name approved by the comptroller.

The

directors thereof may continue to be the directors of the association so organized until others are elected or appointed in accordance with the provisions of the law. When the comptroller has given to such bank or banking association a certificate that the provisions of this Act have been complied with, such bank or banking association, and all its stockholders, officers, and employees, shall have the same powers and privileges, and shall be subject to the sand duties, liabilities, and regulations, in all respects, as shall have been prescribed by this Act or by the national banking Act for associations originally organized as national banking associations.

SEC. 98. That any Any bank or banking association incorporated by special law of any State or of the United States, or organized under the general laws of any State or of the United States, and having an unimpaired capital sufficient to entitle it to become a national banking association under the provisions of existing laws, may, by the-een sent in writing vote of the shareholders owning not less than fiftyone per centum of the capital stock of such bank or banking 28 association, and with the approval of the Comptroller of the Currency, become a and acting through a committee, organize a national banking association with any name approved by the said comptroller, and transfer its business to such national banking association under its former name or by any name approved by the comptroller: Provided, however, That said acts are not in contravention of the State or local law. The directors thereof may continue to be the directors of the association so organized until others are elected or appointed in accordance with the provisions of the law. When the comptroller has given to such bank or banking association a certificate that the provisions of this Act have been complied with, such bank or banking association, and all its stockholders, officers, and employees shall have the same powers and privileges, and shall be subject to the same duties, liabilities, and regulations, in all respects as shall have been prescribed by this Act or and by the national banking Act for associations originally organized as national banking associations.

The directors thereof may continue to be the directors of the association so organized until others are elected or appointed in accordance with the provisions of the law. When the comptroller has given to such bank or banking association a certificate that the provisions of this Act have been complied with, such bank or banking association and all its stockholders, officers, and employees, shall have the same powers and privileges, and shall be subject to the same duties, liabilities, and regulations, in all respects, as shall have been prescribed by this Act or by the national banking Act for associations originally organized national banking associations.

STATE BANKS AS MEMBERS.

as

SEC. 10. That from and after the passage of this Act any bank or banking association or trust company incorporated by special law of any State, or organized under the general laws of any State or the United States, may make applica

HOUSE BILL.

to the Federal Reserve Board hereinafter created for the right to subscribe to the stock of the Federal reserve bank organized or to be organized within the Federal reserve district where the applicant is located.

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The Federal Reserve Board, under such rules and regulations as it may permit such applying bank to become a stockholder in the Federal reserve bank of the district in which such applying bank is located. Whenever the Federal Reserve Board shall permit such applying bank to become a stockholder in the Federal reserve bank of the district in which the applying bank is located, stock shall be issued and paid for under the rules and regulations in this Act provided for national banks which become stockholders in Federal reserve banks.

It shall be the duty of the Federal Reserve Board to establish bylaws for the general government of its conduct in acting upon applications made by the State banks and banking associations and trust companies hereinbefore referred to for stock ownership in Federal reserve banks. Such by-laws shall require applying bank not organized under Federal law to comply with the reserve requirements and submit to the inspection and regulation provided for in this and other laws relating to national banks.

No such

applying bank shall be admitted to membership in a Federal reserve bank unless it possesses a paid-up unimpaired capital sufficient to entitle it to become a national banking association in the place where it is situated, under the provisions of the national banking Act, and conforms to the provisions herein prescribed for national banking associations of similar capitalization and to the regulations of the Federal Reserve Board.

OWEN AMENDMENT.

the Federal Reserve Board herein after created for the right to subscribe to the stock of the Federal reserve bank organized or to be organized within the Federal reserve district where the applicant is located.

The organization committee or the Federal Reserve Board, under such rules and regulations as it may prescribe, subject to the provisions of this section, shall may permit such the applying bank to become a stockholder in the Federal reserve bank of the district in which such the applying bank is located. Whenever the organization committee or the Federal Reserve Board shall permit such the applying bank to become a stockholder in the Fedto become a stockholder in the Federal reserve bank of the district in which the applying bank is located, stock shall be issued and paid for under the rules and regulations in under the rules and regulations in this Act provided for national banks which become stockholders in Federal reserve banks.

It shall be the duty of the The organization committee or the Federal Reserve Board to shall establish bylaws for the general government of its conduct in acting upon applications made by the State banks and banking associations and trust companies hereinbefore referred to for stock ownership in Federal reserve banks. Such by-laws shall require applying banks not organized under Federal law to comply with the reserve and capital requirements and to submit to the inspection examination and regulation provided for in this and other laws re lating to national banks regulations prescribed by the organization committee or by the Federal Reserve Board.

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No such applying bank shall be admitted to membership in a Federal reserve bank unless it possesses a paid-up unimpaired capital sufficient to entitle it to become a national banking association in the place where it is situated, under the provisions of the national banking Act, and conforms to the provisions herein prescribed for national banking associations of similar capitalization and to the regula tions of the Federal Reserve Board

Any bank becoming a member of a Federal reserve bank under the

The Federal Reserve Board, under such rules and regulations as it may prescribe, subject to the provisions of this section Act, shall permit such applying bank to become a stockholder in member of the Federal reserve bank of the district in which such applying bank is located. Whenever the Federal Reserve Board shall permit such applying bank to become a stockholder in the Federal reserve bank of the district in which the applying bank is located,stock shall be issued and paid for under the rules and regulations in this Act provided for national banks which become stoek helders in Federal reserve banks, in which case stock shall be allotted to it as provided in this Act.

It shall be the duty of the Federal Reserve Board to establish by laws for the general government of its conduct-in acting upon applications made by the State banks and bank ing associations and trust com panies hereinbefore referred to for stock ownership in Federal reserve banks. Such by laws shall require applying banks not organized under Federal law to comply with the reserve requirements and submit to the inspection and regulation pro vided for in this and other laws relating to national banks.