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Sze, 13a FEDERAL RESERVE ACT

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88 may be prescribed by the Federal Reserve Board:
Provided, however, That no member bank shall accept such
drafts or bills of exchange referred to this paragraph
for any one bank to an amount exceeding in the aggregate
ten per centum of the paid-up and unimpaired capital
and surplus of the accepting bank unless the draft or bill of
exchange is accompanied by documents conveying or securing
 title or by some other adequate security: Provided
further, That no member bank shall accept such drafts or
bills in an amount exceeding at any time the aggregate of
one-half of its paid-up and unimpaired capital and surplus.
Sec. 13a. Upon the indorsement of any of its member ge, L; My
banks, which shall be deemed a waiver of demand, notice, {37 a's so"
and protest by such bank as to its own indorsement
exclusively, any Federal reserve bank may, subject to
regulations and limitations to be prescribed by the
Federal Reserve Board, discount notes, drafts, and bills
of exchange issued or drawn for an agricultural purpose,
or based upon live stock, 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
xchange may be offered as collateral security for the
Issuance of Federal reserve notes under the provisions of
section 16 of this Act: Provided, That notes, drafts, and
bills of exchange with maturities in excess of six months
shall not be eligible as a basis for the issuance of Federal
reserve notes unless secured by warehouse receipts or
Other such negotiable documents conveying or securing
title to readily marketable staple agricultural products
or by chattel mortgage upon live stock which is being
fattened for market.
That any Federal reserve bank may, subject to regulations
 and limitations to be prescribed by the Federal
Reserve Board, rediscount such notes, drafts, and bills 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 section 9 of this Act.
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