THE PRESENT 33 
to deposits of government funds in qualified de 
positaries. 11 
The provisions of the enabling act were supple 
mented by administrative action. The Federal Re 
serve Banks “ as holders of the liquid cash resources 
of the nation ” were not to absorb such certificates as 
direct investments, as in the case of the preceding 
issue, but to act as distributors in placing the cer 
tificates among the member banks and trust com 
panies in their respective districts. To the end of 
“ relieving the money market from the strain of 
heavy loan subscription payments,” member banks 
and financial institutions generally were authorized 
and urged to employ certificates in payment of 
Liberty Loan subscriptions made by them directly 
or in remitting the funds for subscriptions made 
through them as agents. Finally, the Secretary of 
the Treasury announced that “ in the financial oper 
ations in which the Government is about to engage it 
will be his purpose to adjust receipts and disburse 
ments in such a way that as far as possible money 
paid in will be promptly returned to the market.” 12 
Between April 25 and June 8 the Treasury 
issued four series of certificates of indebtedness at 
fortnightly intervals. The first two series bore 
three per cent, interest; the others, three and a 
quarter. The nominal amount of each series was 
$200,000,000; but over-subscription of the first 
issue led to actual allotment of $268,205,000, after 
which the amount offered in each issue was not ex 
ceeded in allotment. The maturities were sixty 
11 See p. 126, below. 
12 Federal Reserve Bulletin, May, 1917, p. 342.