1. Establishment
of Branches of Reserve Banks The Board
of Governors of the Federal Reserve System may permit or require any
Federal reserve bank to establish branch banks within the Federal
reserve district in which it is located or within the district of
any Federal reserve bank which may have been suspended. Such branches,
subject to such rules and regulations as the Board of Governors of
the Federal Reserve System may prescribe, shall be operated under
the supervision of a board of directors to consist of not more than
seven nor less than three directors, of whom a majority of one shall
be appointed by the Federal reserve bank of the district, and the
remaining directors by the Board of Governors of the Federal Reserve System.
Directors of branch banks shall hold office during the pleasure of
the Board of Governors of the Federal Reserve System.
[12 USC 521. As amended
by act of June 21, 1917 (40 Stat. 232).]
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2. Discontinuance of Branches The
Board of Governors of the Federal Reserve System may at any time require
any Federal Reserve Bank to discontinue any branch of such Federal
Reserve Bank established under this section. The Federal Reserve Bank
shall thereupon proceed to wind up the business of such branch bank,
subject to such rules and regulations as the Board of Governors of
the Federal Reserve System may prescribe.
[12 USC 521. As added
by act of Feb. 25, 1927 (44 Stat. 1234).]
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3. Erection of Branch Buildings No Federal Reserve Bank shall have authority hereafter to enter into
any contract or contracts for the erection of any branch bank building
of any kind or character or to authorize the erection of any such
building, except with the approval of the Board of Governors of the
Federal Reserve System.
[12 USC 521. As added
by act of Aug. 31, 1962 (76 Stat. 418).]
