FEDERAL RESERVE Act 
otherwise provided for in this Act, to define their duties, require bonds of them and fix 
the penalty thereof, and to dismiss at pleasure such officers or employees. 
Sixth. To prescribe by its board of directors, by-laws not inconsistent with law, 
regulating the manner in which its general business may be conducted, and the privi- 
leges granted to it by law may be exercised and enjoyed. 
Seventh. To exercise by its board of directors, or duly authorized officers or agents, 
all powers specifically granted by the provisions of this Act and such incidental powers 
as shall be necessary to carry on the business of banking within the limitations pre- 
scribed by this Act. 
Eighth.! Upon deposit with the Treasurer of the United States of any bonds of the 
United States in the manner provided by existing law relating to national banks, to 
receive from the Comptroller of the Currency circulating notes in blank, registered and 
countersigned as provided by law, equal in amount to the par value of the bonds so 
deposited, such notes to be issued under the same conditions and provisions of law as 
relate to the issue of circulating notes of national banks secured by bonds of the United 
States bearing the circulating privilege, except that the issue of such notes shall not be 
limited to the capital stock of such Federal reserve bank. 
But no Federal reserve bank shall transact any business except such as is incidental 
and necessarily preliminary to its organization until it has been authorized by the 
Comptroller of the Currency to commence business under the provisions of this Act. 
Every Federal reserve bank shall be conducted under the supervision and control 
of a board of directors. 
The board of directors shall perform the duties usually appertaining to the office of 
directors of banking associations and all such duties as are prescribed by law. 
Said board shall administer the affairs of said bank fairly and impartially and without 
discrimination in favor of or against any member bank or banks and shall, subject to 
the provisions of law and the orders of the Federal Reserve Board, extend to each mem- 
ber bank such discounts, advancements and accommodations as may be safely and 
reasonably made with due regard for the claims and demands of other member banks. 
Such board of directors shall be selected as hereinafter specified and shall consist of 
nine members, holding office for three years, and divided into three classes, designated 
as classes A, B, and C. 
Class A shall consist of three members, who shall be chosen by and be representative 
of the stock-holding banks. 
Class B shall consist of three members, who at the time of their election shall be 
actively engaged in their district in commerce, agriculture or some other industrial 
Pursuit, 
Class C shall consist of three members who shall be designated by the Federal Reserve 
Board, When the necessary subscriptions to the capital stock have been obtained for 
the organization of any Federal reserve bank, the Federal Reserve Board shall appoint 
the class C directors and shall designate one of such directors as chairman of the board 
to be selected. Pending the designation of such chairman, the organization committee 
shall exercise the powers and duties appertaining to the office of chairman in the organi- 
zation of such Federal reserve bank. 
— 
See section 18. 
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