12 U.S.C. § 391 — Federal reserve banks as Government de-

Page 156 TITLE 12—BANKS AND BANKING § 391 derwriting, purchasing, and selling investment securities, or issuing securities, to the extent permitted to national banking associations by the provisions of section 24 of this title: Pro- vided further, That nothing in this paragraph shall be construed as affecting in any way such right as any bank, banking association, savings bank, trust company, or other banking institution, may otherwise possess to sell, without recourse or agreement to repurchase, obligations evidencing loans on real estate; or (2) For any person, firm, corporation, asso- ciation, business trust, or other similar orga- nization to engage, to any extent whatever with others than his or its officers, agents or employees, in the business of receiving depos- its subject to check or to repayment upon presentation of a pass book, certificate of de- posit, or other evidence of debt, or upon re- quest of the depositor, unless such person, firm, corporation, association, business trust, or other similar organization (A) shall be in- corporated under, and authorized to engage in such business by, the laws of the United States or of any State, Territory, or District, and subjected, by the laws of the United States, or of the State, Territory, or District wherein lo- cated, to examination and regulation, or (B) shall be permitted by the United States, any State, territory, or district to engage in such business and shall be subjected by the laws of the United States, or such State, territory, or district to examination and regulations or, (C) shall submit to periodic examination by the banking authority of the State, Territory, or District where such business is carried on and shall make and publish periodic reports of its condition, exhibiting in detail its resources and liabilities, such examination and reports to be made and published at the same times and in the same manner and under the same conditions as required by the law of such State, Territory, or District in the case of in- corporated banking institutions engaged in such business in the same locality. (b) Whoever shall willfully violate any of the provisions of this section shall upon conviction be fined not more than $5,000 or imprisoned not more than five years, or both, and any officer, director, employee, or agent of any person, firm, corporation, association, business trust, or other similar organization who knowingly partici- pates in any such violation shall be punished by a like fine or imprisonment or both. (June 16, 1933, ch. 89, § 21, 48 Stat. 189; Aug. 23, 1935, ch. 614, title III, § 303, 49 Stat. 707; Pub. L. 86–230, § 23, Sept. 8, 1959, 73 Stat. 466; Pub. L. 90–448, title VIII, § 804(d), Aug. 1, 1968, 82 Stat. 543; Pub. L. 95–369, § 12, Sept. 17, 1978, 92 Stat. 624.) Editorial Notes AMENDMENTS 1978—Subsec. (a)(2)(B). Pub. L. 95–369 inserted ref- erence to permission by the United States to engage in such business and subjection by the laws of the United States to examination and regulation. 1968—Subsec. (a)(1). Pub. L. 90–448 inserted ‘‘, or issuing securities’’ in first proviso. 1959—Subsec. (a). Pub. L. 86–230 inserted ‘‘and sub- jected, by the laws of the United States, or of the State, Territory, or District wherein located, to exam- ination and regulation,’’ after ‘‘District,’’ in cl. (2)(A). 1935—Subsec. (a). Act Aug. 23, 1935, added two pro- visos to end of par. (1) and amended par. (2) generally. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1968 AMENDMENT For effective date of amendment by Pub. L. 90–448, see section 808 of Pub. L. 90–448, set out as a note under section 1716b of this title. SUBCHAPTER XI—DEPOSITARIES AND FISCAL AGENTS § 391. Federal reserve banks as Government de- positaries and fiscal agents The moneys held in the general fund of the Treasury, except the 5 per centum fund for the redemption of outstanding national-bank notes may, upon the direction of the Secretary of the Treasury, be deposited in Federal reserve banks, which banks, when required by the Secretary of the Treasury, shall act as fiscal agents of the United States; and the revenues of the Govern- ment or any part thereof may be deposited in such banks, and disbursements may be made by checks drawn against such deposits. (Dec. 23, 1913, ch. 6, § 15 (par.), 38 Stat. 265; Pub. L. 90–269, § 2, Mar. 18, 1968, 82 Stat. 50.) Editorial Notes CODIFICATION Section is comprised of first par. of section 15 of act Dec. 23, 1913. Par. 2 of section 15 and par. 3 of section 15, as added Mar. 4, 1923, ch. 252, title IV, § 406, 42 Stat. 1480, are classified to sections 392 and 393, respectively, of this title. AMENDMENTS 1968—Pub. L. 90–269 struck out provision which ex- cepted funds provided in this chapter for the redemp- tion of Federal Reserve notes from deposit in Federal reserve banks. § 391a. Reimbursement of Federal Reserve Banks Beginning in fiscal year 1998 and thereafter, there are appropriated such sums as may be nec- essary to reimburse Federal Reserve Banks in their capacity as depositaries and fiscal agents for the United States for all services required or directed by the Secretary of the Treasury to be performed by such banks on behalf of the Treas- ury or other Federal agencies. (Pub. L. 105–61, title I, Oct. 10, 1997, 111 Stat. 1276.) § 392. Depositaries of Government funds as con- fined to banks in Federal reserve system; member banks as depositaries No public funds of the postal savings, or any Government funds, shall be deposited in the con- tinental United States in any bank not belong- ing to the system established by this chapter: Provided, however, That nothing in this chapter shall be construed to deny the right of the Sec- retary of the Treasury to use member banks as depositaries. (Dec. 23, 1913, ch. 6, § 15 (par.), 38 Stat. 265; Proc. No. 2695, eff. July 4, 1946, 11 F.R. 7517, 60 Stat. 1352.)