Page:United States Statutes at Large Volume 38 Part 1.djvu/288

 SIXTY-THIRD CONGRESS. Sess. II. Ch. 6. 1913. 269 writing, such bonds to the Federal reserve bank purchasing the same, and such Federal reserve bank shall, thereupon, deposit lawful moneyl with the Treasurer of the United States for the purchase rice of suc bonds, and the Treasurer shall pag to the member bank  s,f_?g,;•¤g=ygg_; g{c<>¤*· such bonds any balance due after e uctin a sufficient sum to ’ ` redeem its outstanding notes secured b such bonds, which notes shall be canceled and permanently retiredv when redeemed. The Federal reserve banks purchasing such bonds shall be per- ”§$=;F,°;°g_gsF°d°*¤' *** mitted to take out an amount of circulating notes equal to the par ' “*a°°*S:°%b°¤·’S· M., Tr .1. U is fb. .1. pon the e °t wit e easurer o the United States o n D°l% 0* ¤¢>*°¤°¤ so (purchased, ggslany bonds with the circulating privilege acquired d°;°,,,.;tvBixy:;:d°' un er section four of this Act, any Federal reserve bank making ’ ` such deposit in the manner provided bi existing law, shall be entitle to receive from the Comptroller of the Currency circulating notes in blank, registered and countersigned as provided Eg law, equal in F d amount to the par value of the bonds so deposit . Such notes .,;,,2T,°° °h°'°°°°' shall be the obligations of the Federal reserve bank procurinrlg the same, and shall be in form prescribed by the Secretary of the easury, and to the same tenor and effect as national—bank notes now provided by law. They shall be issued and redeemed under the same terms and conditions as nationa.l·bank notes except that they shall not be limited to the amount of the capital stock of the Federal reserve bank issuing them. E Upon application of any Federal reserve bank, approved by the c.,¤€‘°i"};.,§',*§§,°i,§§'°,,§’f'}1 Federal Reserve Board, the Secretary of the Treasiuy may issue, in °°*°°°'”“>°¤°=· exchange for United States two per centum gold bonds bearing the circulation privilege, but against which no circulation is outstanding, one-year gold notes of the United States without the circulation privilege, to an amount not to exceed one-half of the two per centum onds so tendered for exchange, and thirty-year three per centum gold bonds without the circulation rivilege for the remander of the two per centum bonds so tendered: ¥·’rovided, That at the time of such §',,1°,'§°,§';,,,,,,,,,,,,, M exchanlge the Federal reserve bank obtaining such one-thear gold notes s all enter into an obligation with the Secreta.ry of the Treasury binding itself to purchase from the United States for gold at the maturity of such one—year notes, an amount equal to those delivered in exchange for such bonds, if so requested by the Secretary, and at each maturity of one-year notes so purchased y such Federal reserve bank, to purchase from the United tates such an amount of oneayear notes as the Secretang mai tender to such bank, not to excee the amount issued to suc ban in the first instance, in exchange for the two per centum United States gold bonds; said obligation to purchase at maturity such notes shall continue in force for a period not to exceed  y 88.1-S` Autburit for intu- For the purpose of making the exchange herein provided for, the at ming Tammy Secretary of the 'I‘r·easury is authorized to issue at par Treasury notes °°‘°'· in coupon or registered form as he may prescribe in denominations of one hundred dollars, or any multiple thereof, bearing interest at the rate of three per centum per annum, payable quarterly, such Treasury notes to be payable not more than onglyear from the date of their issue in iglold coin of the {present standard v ue, and to be exempt as to princip and interest rom the (payment of all taxes and duties of the United States except as rovi e by this Act, as well as from taxes in any form by or under State, municipal, or local authoritles. km of mm And for the same purpose, the Secretary is authorized and empowered cent md, W to issue United States gold bonds at par, bearing three per centum interest payable thirty years from date of issue, such bonds to be of the same general tenor and effect and to be issued under the same neral terms and conditions as the United States three per cen tum blinds without the circulation privilege now issued and outstanding.