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SEC. 18

FEDERAL RESERVE ACT

The Federal reserve banks are hereby authorized to
act as depositories for and fiscal agents of any National
Agricultural Credit Corporation or Federal Intermediate
Credit Bank.
NOTE ISSUES

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Sec. 16. Federal reserve notes, to be issued at the dis- 4° *=e ed >S
cretion of the Federal Reserve Board for the purpose of $5: %,%8 2
making advances to Federal reserve banks through the ran
Federal reserve agents as hereinafter set forth and for no A
other purpose, are hereby authorized. The said notes $67. chap. 17).
shall be obligations of the United States and shall be receivable
 by all national and member banks and Federal
reserve banks and for all taxes, customs, and other public
dues. They shall be redeemed in gold on demand at the
Treasury Department of the United States, in the city of
Washington, District of Columbia, or in gold or lawful
Money at any Federal reserve bank.
Any Federal reserve bank may make application to the
local Federal reserve agent for such amount of the Federal
reserve notes hereinbefore provided for as it may require.
Such application shall be accompanied with a tender to
the local Federal reserve agent of collateral in amount
equal to the sum of the Federal reserve notes thus applied
for and issued pursuant to such application. The collateral
 security thus offered shall be notes, drafts, bills of
exchange, or acceptances acquired under the provisions
of section thirteen of this act, or bills of exchange indorsed
by a member bank of any Federal reserve district and
purchased under the provisions of section fourteen of this
act, or bankers’ acceptances purchased under the provisions
 of said section fourteen, or gold or gold certificates;
 but in no event shall such collateral security,
whether gold, gold certificates, or eligible paper, be less
than the amount of Federal reserve notes applied for.
The Federal reserve agent shall each day notify the Federal
 Reserve Board of all issues and withdrawals of Federal
reserve notes to and by the Federal reserve bank to which
he is accredited. The said Federal Reserve Board may
at any time call upon a Federal reserve bank for additional
security to protect the Federal reserve notes issued to it.
Every Federal reserve bank shall maintain reserves in
gold or lawful money of not less than thirty-five per
centum acainst its deposits and reserves in gold of not