A Federal Reserve Bank, when acting as fiscal agent of the U.S. government, is subject to the general supervision of the Federal Reserve Board. The Reserve Bank’s expenses when acting in this capacity must be reported to the Board, and all sums paid by the government for these services must be reported as part of the earnings of such bank. STAFF OP. of Oct. 5, 1917.

It is proper for a Federal Reserve Bank to furnish credit information about banks and business concerns to foreign central banks for which it maintains accounts, as long as the information supplied is not from bank examination reports or is information that would be inconsistent with its position as a supervisory authority. BD. RULING of April 19, 1954.

Board approval is not required for a Federal Reserve Bank’s acceptance of U.S. currency shipments from a foreign bank, because the transactions are “of a routine character.” However, the routine nature of the acceptances may be changed if the Reserve Bank arranges with an armored carrier to meet the incoming flight and transport the currency. To ensure the continued routine character, the foreign bank should make the armored car arrangements. STAFF OP. of Dec. 18, 1975.

The Board of Governors has adopted a resolution that sets forth the principles to be observed regarding the open market investment operations of Federal Reserve Banks. Open market investment purchases should be made “with primary regard to the accommodation of commerce and business and to the effect of such purchases or sales on the general credit situation.” In addition, when selecting these open market purchases, careful scrutiny must be given to purchases of U.S. government securities. Finally, open market purchases should be primarily commercial investments with the exception of Treasury certificates, which may be dealt in under “repurchase” agreement. BD. RESOLUTION of April 1, 1923.

The Federal Reserve Bank of New York, by virtue of its status as the authorized agent of the Federal Open Market Committee, may purchase “prime” acceptances issued by foreign banks. “Prime” acceptances are those that are traded consistently on the market. STAFF OP. of Feb. 27, 1975.