12 U.S.C. § 348 — Discount of obligations given for agricul-

Page 129 TITLE 12—BANKS AND BANKING § 348 section (b) [amending this section] shall take effect at the end of the 2-year period beginning on the date of enactment of this Act [Dec. 19, 1991].’’ EFFECTIVE DATE OF 1980 AMENDMENT Amendment by Pub. L. 96–221 effective on first day of sixth month which begins after Mar. 31, 1980, see sec- tion 108 of Pub. L. 96–221, set out as a note under sec- tion 248 of this title. Executive Documents EXPIRATION Proclamation No. 2076, Feb. 16, 1934, 48 Stat. 1734, ex- tended section to Mar. 3, 1935. See 1935 amendment note above. § 347c. Advances to individuals, partnerships, and corporations; security; interest rate Subject to such limitations, restrictions, and regulations as the Board of Governors of the Federal Reserve System may prescribe, any Fed- eral reserve bank may make advances to any in- dividual, partnership, or corporation on the promissory notes of such individual, partner- ship, or corporation secured by direct obliga- tions of the United States or by any obligation which is a direct obligation of, or fully guaran- teed as to principal and interest by any agency 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 Board of Governors of the Federal Reserve System. (Dec. 23, 1913, ch. 6, § 13 (par.), as added Mar. 9, 1933, ch. 1, title IV, § 403, 48 Stat. 7; amended Aug. 23, 1935, ch. 614, title II, § 203(a), 49 Stat. 704; Pub. L. 90–505, § 3(b), Sept. 21, 1968, 82 Stat. 856.) Editorial Notes CODIFICATION Section is comprised of the thirteenth par. of section 13 of act Dec. 23, 1913, as added by act Mar. 9, 1933. For additional details concerning the enactment and num- bering of the first twelve and fourteenth pars. of sec- tion 13, see Codification notes set out under sections 92, 342 to 347, 347d, 361, 372, and 373 of this title. AMENDMENTS 1968—Pub. L. 90–505 added promissory notes secured by any obligation which is a direct obligation of, or fully guaranteed as to principal and interest by, any agency of the United States to the list of types of promissory notes on which federal reserve banks may make advances to individuals, partnerships, and cor- porations. Statutory Notes and Related Subsidiaries CHANGE OF NAME Section 203(a) of act Aug. 23, 1935, changed name of Federal Reserve Board to Board of Governors of the Federal Reserve System. § 347d. Transactions between Federal Reserve banks and branch or agency of foreign bank; matters considered Subject to such restrictions, limitations, and regulations as may be imposed by the Board of Governors of the Federal Reserve System, each Federal Reserve bank may receive deposits from, discount paper endorsed by, and make ad- vances to any branch or agency of a foreign bank in the same manner and to the same ex- tent that it may exercise such powers with re- spect to a member bank if such branch or agen- cy is maintaining reserves with such Reserve bank pursuant to section 3105 of this title. In ex- ercising any such powers with respect to any such branch or agency, each Federal Reserve bank shall give due regard to account balances being maintained by such branch or agency with such Reserve bank and the proportion of the as- sets of such branch or agency being held as re- serves under section 3105 of this title. For the purposes of this paragraph, the terms ‘‘branch’’, ‘‘agency’’, and ‘‘foreign bank’’ shall have the same meanings assigned to them in section 3101 of this title. (Dec. 23, 1913, ch. 6, § 13 (par.), as added Pub. L. 95–369, § 7(b), Sept. 17, 1978, 92 Stat. 621.) Editorial Notes CODIFICATION Section is comprised of the fourteenth (last) par. of section 13 of act Dec. 23, 1913, as added by act Sept. 17, 1978. For additional details concerning the enactment and numbering of the first thirteen pars. of section 13, see Codification notes set out under sections 92, 342 to 347, 347c, 361, 372, and 373 of this title. PRIOR PROVISIONS A prior section 347d, act Mar. 9, 1933, ch. 1, § 404, as added Mar. 24, 1933, ch. 8, § 1, 48 Stat. 20, which related to direct loans to State banks and trust companies, was omitted from the Code as terminated since by its own terms, it was effective for only one year following date of its enactment, Mar. 24, 1933. § 348. Discount of obligations given for agricul- tural purposes or based upon livestock; col- lateral security for Federal reserve notes Upon the indorsement of any of its member banks, which shall be deemed a waiver of de- mand, notice, and protest by such bank as to its own indorsement exclusively, any Federal re- serve bank may, subject to regulations and limi- tations to be prescribed by the Board of Gov- ernors of the Federal Reserve System, discount notes, drafts, and bills of exchange issued or drawn for an agricultural purpose, or based upon livestock, and having a maturity, at the time of discount, exclusive of days of grace, not exceed- ing nine months, and such notes, drafts, and bills of exchange may be offered as collateral se- curity for the issuance of Federal reserve notes under the provisions of section 16 of this Act: Provided, That notes, drafts, and bills of ex- change with maturities in excess of six months shall not be eligible as a basis for the issuance of Federal reserve notes unless secured by ware- house receipts or other such negotiable docu- ments conveying or securing title to readily marketable staple agricultural products or by chattel mortgage upon livestock which is being fattened for market. (Dec. 23, 1913, ch. 6, § 13A (par.), formerly § 13a, as added Mar. 4, 1923, ch. 252, title IV, § 404, 42 Stat. 1479; amended Aug. 23, 1935, ch. 614, title II, § 203(a), 49 Stat. 704; renumbered § 13A, Pub. L. 102–242, title I, § 142(e)(1), Dec. 19, 1991, 105 Stat. 2281.) Page 130 TITLE 12—BANKS AND BANKING § 348a 1 See References in Text note below. Editorial Notes REFERENCES IN TEXT Section 16 of this Act, referred to in text, means sec- tion 16 of act Dec. 23, 1913. For classification of section 16 to this title, see Codification note set out under sec- tion 411 of this title. CODIFICATION Section is comprised of first par. of section 13A, for- merly section 13a, as added Mar. 4, 1923. Pars. 2 to 5 of section 13A are set out as sections 349 to 352 of this title, respectively. Statutory Notes and Related Subsidiaries CHANGE OF NAME Section 203(a) of act Aug. 23, 1935, changed name of Federal Reserve Board to Board of Governors of the Federal Reserve System. § 348a. Transactions with foreign banks; super- vision of Board of Governors of the Federal Reserve System The Board of Governors of the Federal Reserve System shall exercise special supervision over all relationships and transactions of any kind entered into by any Federal reserve bank with any foreign bank or banker, or with any group of foreign banks or bankers, and all such rela- tionships and transactions shall be subject to such regulations, conditions, and limitations as the Board may prescribe. No officer or other rep- resentative of any Federal reserve bank shall conduct negotiations of any kind with the offi- cers or representatives of any foreign bank or banker without first obtaining the permission of the Board of Governors of the Federal Reserve System. The Board of Governors of the Federal Reserve System shall have the right, in its dis- cretion, to be represented in any conference or negotiations by such representative or rep- resentatives as the Board may designate. A full report of all conferences or negotiations, and all understandings or agreements arrived at or transactions agreed upon, and all other material facts appertaining to such conferences or nego- tiations, shall be filed with the Board of Gov- ernors of the Federal Reserve System in writing by a duly authorized officer of each Federal re- serve bank which shall have participated in such conferences or negotiations. (Dec. 23, 1913, ch. 6, § 14(g), as added June 16, 1933, ch. 89, § 10, 48 Stat. 181; amended Aug. 23, 1935, ch. 614, title II, § 203(a), 49 Stat. 704.) Statutory Notes and Related Subsidiaries CHANGE OF NAME Section 203(a) of act Aug. 23, 1935, changed name of Federal Reserve Board to Board of Governors of the Federal Reserve System. § 349. Rediscount for intermediate credit banks of obligations given for agricultural pur- poses; discount of notes made pursuant to section 1031 Any Federal reserve bank may, subject to reg- ulations and limitations to be prescribed by the Board of Governors of the Federal Reserve Sys- tem, rediscount such notes, drafts, and bills mentioned in section 348 of this title for any Federal intermediate credit bank, except that no Federal reserve bank shall rediscount for a Federal intermediate credit bank any such note or obligation which bears the indorsement of a nonmember State bank or trust company which is eligible for membership in the Federal reserve system in accordance with subchapter VIII of this chapter. Any Federal reserve bank may also, subject to regulations and limitations to be prescribed by the Board of Governors of the Federal Reserve System, discount notes payable to and bearing the indorsement of any Federal intermediate credit bank covering loans or ad- vances made by such bank pursuant to the pro- visions of section 1031 1 of this title which have maturities at the time of discount of not more than nine months, exclusive of days of grace, and which are secured by notes, drafts, or bills of exchange eligible for rediscount by Federal Reserve banks. (Dec. 23, 1913, ch. 6, § 13A (par.), formerly § 13a, as added Mar. 4, 1923, ch. 252, title IV, § 404, 42 Stat. 1479; amended May 19, 1932, ch. 191, § 5, 47 Stat. 160; Aug. 23, 1935, ch. 614, title II, § 203(a), 49 Stat. 704; renumbered § 13A, Pub. L. 102–242, title I, § 142(e)(1), Dec. 19, 1991, 105 Stat. 2281.) Editorial Notes REFERENCES IN TEXT Subchapter VIII of this chapter, referred to in text, was in the original ‘‘section 9 of this Act’’, meaning section 9 of act Dec. 23, 1913, ch. 6, 38 Stat. 251, known as the Federal Reserve Act. Section 9 of the act is clas- sified generally to subchapter VIII (§ 321 et seq.) of this chapter. Section 1031 of this title, referred to in text, was re- pealed by Pub. L. 92–181, title V, § 5.26(a), Dec. 10, 1971, 85 Stat. 624. See section 2074 of this title. CODIFICATION Section is comprised of second par. of section 13A, formerly section 13a, as added Mar. 4, 1923. Pars. 1, 3 to 5 of section 13A are set out as sections 348, 350 to 352 of this title, respectively. AMENDMENTS 1932—Act May 19, 1932, inserted last sentence. Statutory Notes and Related Subsidiaries CHANGE OF NAME Section 203(a) of act Aug. 23, 1935, changed name of Federal Reserve Board to Board of Governors of the Federal Reserve System. § 350. Purchase and sale of debentures and like obligations of intermediate credit banks and agricultural credit corporations Any Federal reserve bank may also buy and sell debentures and other such obligations issued by a Federal intermediate credit bank or by a national agricultural credit corporation, but only to the same extent as and subject to the same limitations as those upon which it may buy and sell bonds issued under title I of the Federal Farm Loan Act. (Dec. 23, 1913, ch. 6, § 13A (par.), formerly § 13a, as added Mar. 4, 1923, ch. 252, title IV, § 404, 42 Stat. 1480; renumbered § 13A, Pub. L. 102–242, title I, § 142(e)(1), Dec. 19, 1991, 105 Stat. 2281.)