CHAPTER IX-TRANSPORT

PART 91-GENERAL TRANSPORT
REGULATIONS

TRANSPORTATION OF SUPPLIES

(R.S.

[Par. 31, AR 30-955, June 1, 1923, as amended by C 2, Oct. 21,

troops or of the animals pertaining to the Army, the quartermaster at the point of origin and/or at destination, as the cases may be, will obtain an appropriate certificate from the proper medical officer § 91.1 Shipment of intoxicating setting forth such ownership and inliquors (a) Laws covering. The trans-tended use of the liquors. The quarterportation or importation into any State, master will deliver the certificate to the Territory, or possession of the United carrier and make record thereof. States for delivery or use therein of in- 161; 5 U.S.C. 22) toxicating liquors, in violation of the laws thereof, is hereby prohibited. (Const., 21st amendment, sec. 2) The laws of any State, Territory, or possession of the United States relative to intoxicating liquors are not applicable to the transportation of intoxicating liquors that are the property of the United States and intended as medical supplies for the treatment of the troops or of the animals pertaining to the Army.

(b) If carrier hesitates to accept or deliver. If a carrier should hesitate to accept at point of origin and/or deliver at destination a shipment containing intoxicating liquors that are the property of the United States and intended as medical supplies for the treatment of the

1939; 4 F.R. 4557]

NOTE: This document as it appeared originally in the FEDERAL REGISTER at 4 F.R. 4557, contained the amendment made by C 2, Oct. 21, 1939, without indicating its content. SECRECY OF TROOP MOVEMENTS OVERSEAS § 91.8 Visitors coming in contact with troops. [Revoked]

NOTE: This section was revoked by AR 380-5, June 10, 1939; 4 FR. 2945. See Part 9 of this title.

§ 91.9 Secrecy in time of war. voked]

[Re

380-5, June 10, 1939; 4 F.R. 2945. See Part 9 NOTE: This section was revoked by AR of this title.

TITLE 12-BANKS AND BANKING

CHAPTER II-BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM

PART 206-TRUST POWERS OF

NATIONAL BANKS

§ 206.11 Purchase or sale of trust assets to or from trustee bank or its directors, officers or employees.

NOTE: The following footnote to the headnote to this section was added by Res., Nov. 7, 1939, effective Nov. 20, 1939; 4 F.R. 4620:

The requirements of this section shall not be deemed to prohibit the making of any investments or the carrying out of any transactions which are expressly required by the instrument creating the trust or are specifically authorized by court order.

The following footnote to the word "interests" in paragraphs (a) and (b) of this section was added, and the former footnote 28 deleted, by Res., Nov. 7, 1939, effective Nov. 20, 1939; 4 F.R. 4620:

§ 207.1 Definition of noncash items. As used in this part, the term "noncash items" means any items of the following classes when payable within the continental United States:

(a) Maturing notes, acceptances, bankers' acceptances, certificates of deposit, bills of exchange, and drafts with or without securities, bills of lading, or other documents attached;

28 Under recognized principles of sound practice regarding the handling of trust assets, a trustee or other fiduciary should not have any interest, direct or indirect, in the assets of a trust except as a fiduciary; and the requirements of this section contemplate that the national bank will not invest trust (b) Drafts and orders on savings defunds in the stock or obligations of, or prop- posits with pass books attached; erty acquired from, any organization in which officers, directors, or employees of the bank (c) Checks, drafts, and other cash have such an interest as might affect the ex-items which have previously been disercise of the best judgment of the manage-honored or on which special advice of ment of the bank in investing trust funds payment or dishonor is required; 1 and that the national bank will not sell or transfer trust assets to any organization in (d) Maturing bonds and coupons which the officers, directors, or employees of (other than obligations of the United the bank have such an interest as might States and its agencies which are reaffect the exercise of the best judgment of deemed by Federal Reserve banks as the management of the bank in selling or transferring trust assets. fiscal agents);

§ 206.17 Common trust funds.

NOTE: Paragraph (a) of this section was amended by the substitution of the words "Internal Revenue Code" for the words "Revenue Act of 1936", by Res., Nov. 7, 1939, effective Nov. 20, 1939; 4 F.R. 4620.

1

1 Any check, draft, or other item which is normally handled as a cash item will not be handled as a noncash item unless special conditions require that this be done, and the Federal Reserve bank will decide whether such special conditions exist.

(e) State and municipal warrants, in- | failure of such sending bank to have such cluding both orders to pay addressed authority, or resulting from such Federal to officers of States and political sub- Reserve bank's guaranty of prior endivisions thereof and any special or dorsements, or resulting from any action general obligations of States and poli- taken by the Federal Reserve bank within tical subdivisions thereof; the scope of its authority for the purpose of collecting such noncash items; and on such items whether or not a specific (4) to guarantee all prior endorsements guaranty is incorporated in an endorsement of the sending bank.

(f) All other evidences of indebtedness and orders to pay, except checks and bank drafts handled under the pro

visions of Part 2101 and checks and bank drafts drawn on or payable by a nonmember bank which cannot be collected at par in funds acceptable to the Federal Reserve bank of the district in which such nonmember bank is located.2 *†

*§§ 207.1 to 207.4, inclusive, issued under the authority contained in secs. 11 (1), 16, 38 Stat. 262, 265, sec. 4, 40 Stat. 234; 12 U.S.C. 248 (i), (o), 360, 342.

In §§ 207.1 to 207.4, inclusive, the numbers to the right of the decimal point correspond with the respective section numbers in Regulation G, Board of Governors of the Federal Reserve System, Dec. 26, 1939, effective Feb. 1, 1940; 4 F.R. 4968.

(b) Federal Reserve bank as agent. A Federal Reserve bank will act only as agent of the bank from which it receives such noncash items and will assume no liability except for its own negligence and its guaranty of prior endorsements.

(c) Presentation of items by Federal Reserve bank. A Federal Reserve bank may present such noncash items with any accompanying documents for payment direct to the person, firm, or corporation on which they are drawn or by or through which they are payable or collectible, or may present them for § 207.2 Receipt of items for collection. payment or forward them for collection Each Federal Reserve bank may receive direct to the bank on which they are for collection noncash items from mem- drawn, at which they are payable, or ber and nonmember clearing banks in its through which they are payable or coldistrict, from other Federal Reserve lectible; or, in its discretion, may banks, and from all member and non-forward them to another agent with member clearing banks in other Federal Reserve districts which are authorized to route direct for the credit of their respective Federal Reserve banks, subject to the terms and conditions of this part.*†

§ 207.3 Terms of collection—(a)

Agreement of sending bank. Each member and nonmember clearing bank which sends noncash items to any Federal Reserve bank for collection shall by such action be deemed: (1) to authorize the Federal Reserve banks to handle such items subject to the terms and conditions of this part; (2) to warrant its own authority to give the Federal Reserve banks such authority; (3) to agree to indemnify any Federal Reserve bank for any loss or expense sustained (including but not limited to attorneys' fees and expenses of litigation) resulting from the

similar authority to present them for payment or forward them for collection. The bank upon which any such noncash item may be drawn, or at which the same may be payable or through which the same may be payable or collectible for collection within the meaning of shall be deemed to be a proper agent

this part.

(d) Items payable in other districts. Noncash items received by a Federal Reserve bank payable in other districts will be forwarded for collection to the Federal Reserve bank of the district in which such items are payable; except that, when in the judgment of the Federal Reserve bank the size or character of the items or other special circumstances justify such action, any such items, in the discretion of the Federal Reserve bank, may be forwarded for collection direct to the bank on which they are drawn, at which they are payable, or through which they are payable or collectible, or may be forwarded for collection to another agent with authority to present them for payment direct to the person, firm, or corporation on which

1 See footnote on page 997. payable by a nonmember bank which cannot be collected at par in funds acceptable to the Federal Reserve bank of the district in which such nonmember bank is located, and which may not be received under the terms

2 Checks and bank drafts drawn on or

of Part 210, likewise may not be received as noncash items under the terms of this part.

they are drawn or by or through which they are payable or collectible or to present them for payment direct to the bank on which they are drawn, at which they are payable, or through which they are payable or collectible.

bank in another district, the relationships and the rights and liabilities existing between the member or nonmember clearing bank, the Federal Reserve bank of its district, and the Federal Reserve bank to which the noncash item

though the member or nonmember clearing bank had sent such noncash item to the Federal Reserve bank of its district with its endorsement and guaranty of prior endorsements and such Federal Reserve bank had sent the noncash item to the other Federal Reserve bank with its endorsement and guaranty of prior endorsements.*†

(e) Forms of payment accepted by is sent will be the same, and the releFederal Reserve bank. A Federal Re-vant provisions of this part will apply, as serve bank may, in its discretion and at its option, accept from any bank in payment of or from any collecting agent in remittance for such noncash items, cash, checks, bank drafts, transfers of funds or bank credits, or other forms of payment or remittance, acceptable to the collecting Federal Reserve bank. The Federal Reserve bank shall not be liable for the failure of any bank or any agent to collect, or to pay, or to remit for, such noncash items, nor for any loss resulting from the acceptance from any bank or any agent, in lieu of cash, of any other form of payment or remittance authorized herein, nor for the nonpayment of, or failure to realize upon, any bank draft or other medium of payment or remittance which may be accepted from any bank or any collecting agent.

(f) Collection of remittances for noncash items. Bank drafts and other forms of payment or remittance received by a Federal Reserve bank in payment of or in remittance for noncash items handled under the terms of this part will be collected, at the option of the Federal Reserve bank, either under the terms and conditions of this part or under the terms and conditions of Part 210.

§ 207.4 Other rules. Each Federal Reserve bank may also promulgate rules not inconsistent with the terms of the law or of this part, governing the details of its noncash collection operations. Such rules may be set forth by each Federal Reserve bank in circulars to its member and nonmember clearing banks and shall be binding upon any member or nonmember clearing bank which sends any noncash item to such Federal Reserve bank for collection or to any other Federal Reserve bank for the account of such Federal Reserve bank for collection.*†

PART 208-MEMBERSHIP OF STATE
BANKING INSTITUTIONS IN THE
FEDERAL RESERVE SYSTEM

Sec.
208.1

Definitions.

Eligibility requirements.
Insurance of deposits.

208.2
208.3

208.4

208.5
208.6

208.7
208.8

(g) Suspension or closing of paying or remitting bank. No draft, authorization to charge, or other order, upon any reserve balance, clearing account, deposit account, or other funds of a paying, remitting, or collecting bank in the possession of a Federal Reserve bank, issued for the purpose of settling items handled under the terms of this part will 208.10 be paid, acted upon, or honored after 208.11 receipt by such Federal Reserve bank of notice of suspension or closing of such paying, remitting, or collecting bank.

208.9

Conditions of membership.

of

§ 208.1 Definitions. For the purposes of this part

(h) Items sent direct to Federal Re- (a) The term "State bank” means any serve bank in another district. With bank or trust company incorporated unrespect to any noncash item sent direct der a special or general law of a State by a member or nonmember clearing or under a general law for the District bank in one district to a Federal Reserve of Columbia, any mutual savings bank

(unless otherwise indicated), and any | Federal Reserve System under the proMorris Plan bank or other incorporated visions of section 9 of the Federal Rebanking institution engaged in similar serve Act (40 Stat. 232, as amended; 12 business.1 U.S.C. 321-338, and Sup.).*†

(c) The term "Board" means the § 208.2 Eligibility requirements. UnBoard of Governors of the Federal Re-der the terms of section 9 of the Federal serve System.