kh 
FEDERAL RESERVE ACT sec. 9 
been admitted to membership under the provisions of 
clause (a) of this paragraph: Provided, That every such 
rule or regulation shall require the applying bank to set 
aside annually not less than 20 per centum of its net in- 
come of the preceding year as a fund exclusively appli- 
sable to such capital increase. 
Banks becoming members of the Federal Reserve Sys- 
tem under authority of this section shall be subject to 
the provisions of this section and to those of this act 
which relate specifically to member banks, but shall not 
be subject to examination under the provisions of the 
first two paragraphs of section fifty-two hundred and 
forty of the Revised Statutes as amended by section 
twenty-one of this act.> Subject to the provisions of this 
act and to the regulations of the board made pursuant 
thereto, any bank becoming a member of the Federal 
Reserve System shall retain its full charter and statutory 
rights as a State bank or trust company, and may con- 
tinue to exercise all corporate powers granted it by the 
State in which it was created, and shall be entitled to all 
privileges of member banks: Provided, however, That no 
Federal reserve bank shall be permitted to discount for 
any State bank or trust company notes, drafts, or bills of 
exchange of any one borrower who is liable for borrowed 
money to such State bank or trust company in an amount 
sreater than that which could be borrowed lawfully from 
such State bank or trust company were it a national 
banking association. The Federal reserve bank, as a 
condition of the discount of notes, drafts, and bills of 
exchange for such State bank or trust company, shall 
require a certificate or guaranty to the effect that the 
borrower is not liable to such bank in excess of the 
amount provided by this section, and will not be per- 
mitted to become liable in excess of this amount while 
such notes, drafts, or bills of exchange are under discount 
with the Federal reserve bank, 
It shall be unlawful for any officer, clerk, or agent of 
any bank admitted to membership under authority of 
this section to certify any check drawn upon such bank 
unless the person or company drawing the check has on 
deposit therewith at the time such check is certified an 
amount of money equal to the amount specified in such 
check. Any check so certified by duly authorized officers 
¥ Amending sec. 21 of this act.