sponsored meeting, and another meeting, and a number of others about the same, at different hotels, and the membership fees in bankers' associations. Why should you spend money that would go to the Treasury down here that the people's elected representatives could spend for good purposes? That is what you are doing. I think it is pretty farfetched. And then the Pennsylvania Bankers Association, $845; $560 to the New Jersey Bankers; $1,400 to the Pennsylvania Bankers again; $1,700 to the Research Institute; $1,600, American Bankers Association, and there are a lot of different dues like that that run up to $1,500 or $1,700, all public money. Congress has not given you the right to spend it. You say you can spend it because your directors said you could do it, and six of those nine directors are selected by the bankers themselves. A number of them are bankers. I think you ought to take another look at this. The American Bar Association in San Francisco, and here is a trip to Switzerland. Some of these might be justified, and I know these just represent a small percentage of the actual number. In the case of Philadelphia this is, and the one from Atlanta would represent probably, both together, 5 to 8 percent of the total. We got as far as conventions, traveling expenses, conferences, meetings, and so forth-huge amounts. And the per diem that you pay is from $5 to $10 more than the highest people in the Government can get. It looks to me like if you are going to spend public money for things like that for your own benefit that you certainly ought to stay within the rules of the Government, and then under miscellaneou there are quite a few on that. Now the Atlanta statement. It starts About 5 to 8 percent of the total has some similar ones. off very much like the other one, with the printing of different thing and $5,637.50 for the Federal Reserve Club for the year 1962; 451 eligible employees; $150, for the shooters and visitors party, and $356 for a silver tray to award the employees; $2,250 for tuition of an employee for enrollment at the spring session at Harvard University and $2,950 tuition for one officer enrolled at Harvard University, advanced management program. And here is another one for tuition, and a number of others not as large as these, but there are a number of others. Federal Reserve bank fees paid to coin experts; fees represent 3 percent of $44,980; $1,300 you paid out to this professional coin collector, and central banking seminar, $3,071. Lunches in various regions of the Atlanta district, $855 at the Middle Tennessee Bankers: $351 in Louisiana; $500 for lunches in Louisiana; $428 for lunches in Louisiana; luncheons continue; meals served in the cafeteria; expenses in connection with the Federal Reserve meetings held in the Atlanta district; payments to Atlanta Transit Co. for sightseeing; 3 days at a hotel suite; $328 in payment to the University of Georgia and then other membership dues; Atlanta Chamber of Commerce, $2,250, $60: $560 Atlanta Improvement Association-that sounds kind of like the development group up at Boston. Mr. BRYAN. No, I am sorry to say it is not. The CHAIRMAN. $500 to the Georgia Bankers Association; $300 to the NABAC, the Association for Bank Audit, Control, and Operation. Public relations, membership in the American Bankers Association, $1,600-how in the world you gentlemen-now, you get pretty good salaries, and I am glad you do and it goes up into pretty good money. I think you are entitled to a good salary because of the job that you hold. I am glad to see you have it, and I am glad to see the Board get a bigger salary. They ought to. But it occurs to me that the public interest ought to be looked at just a little bit more soberly and with a little bit better judgment than to expend the money that would go into the Public Treasury, which is badly needed for our budget, and it should not be spent by you gentlemen by paying the American Bankers Association and the Atlanta chapter of the Institute of Banking and registration fees, which run into a lot of money, and travel expenses for conventions, for conferences and meetings, and so forth, and it runs to lots of money, and for different associations. 999 I saw one booklet in here about money that I wanted. "Printing of 25,000 copies of booklet, 'Fundamental Facts About U.S. Money.' Mr. Bryan, will you send me a copy of that? Mr. BRYAN. I do not know whether we printed that or not. I am sorry, maybe we did. The CHAIRMAN. It says right here that you did. Facts About U.S. Money." I would just like to see it. "Fundamental You know, I am apprehensive that you gentlemen haven't gotten over to the member banks yet that they do not own the Federal Reserve System. Now, many years ago we brought that out and the Chairman of the Board promised that he would carry on an educational campaign, that the banks do not own the 12 Federal Reserve banks, and that the banks are not entitled to any interest on their reserves that they have in the Federal Reserve banks; that the reserves are not used to buy Government bonds, and that is supposed to have been carried on for several years. Yet, we see a man who is as important as Mr. Ed Neilan, who is the president of the U.S. Chamber of Commerce, making a statement all over the Nation to the effect that the banks are subsidizing the Government instead of the Government subsidizing the banks and giving as his first example what he says is a fact, that the Federal Reserve banks have used their member bank reserves to buy Government securities and that interest goes into the Treasury, which Mr. Bopp says is not true. I am glad you nailed that one down, and we will never catch up with him (because a lie has wings, you know, and it will fly far and wide and you just cannot catch up with it. But Mr. Neilan, I think, has done our country a great disservice in making such a statement as that all over the country. Would you like to say anything else? Mr. Bryan? Mr. BRYAN. No. The CHAIRMAN. Mr. Bopp? Mr. Bopp. No. The CHAIRMAN. I am going to make these statements a part of the record at this point. (The documents follow:) Federal Reserve Bank of Philadelphia EMPLOYEE RELATIONS Bowling fees, Girls Financial League. Bowling fees, Philadelphia Bowling League (men). American Institute of Banking banquet. Printing of "house" publication "The 3-C." Color plates and pictures for publication "The 3-C." Estimated cost of printing "3-C Calendar." Printing of the "3-C Calendar." Federal Reserve Bank of Philadelphia-Continued RESERVE BANK-SPONSORED MEETINGS IN THE VARIOUS REGIONS OF DISTRICT 1 At these meetings, the President and other senior officers report on the general business environment, banking developments, and Federal Reserve policy actions. Bankers, businessmen, civic leaders, and university professors attend these meetings. MEMBERSHIP DUES, ETC. New Jersey Bankers Association. Chestnut Street Association. Building Owners' Association. Pennsylvania Bankers Association (American In stitute of Banking assessment). Pennsylvania Bankers Association. Research Institute of America. American Bankers Association. Robert Morris Associates. National Association Bank Auditors and Comptrollers. American Management Association. National Industrial Conference Board, Inc. Chamber of Commerce of Greater Philadelphia. Federal Reserve Bank of Philadelphia-Continued TRAVELING EXPENSES TO CONVENTIONS, CONFERENCES, MEETINGS, ETC. ABA National Credit Conference in Chicago, Ill., 5 New Jersey and Pennsylvania Bankers Convention Same as above, except 10 officers. AIB National Convention in Atlanta, Ga., 8 days. National Installment Credit Conference in Chicago, American Bar Association Convention in San Fran- ABA Convention in Atlantic City, N.J., 4 days; NABAC Convention in Miami, Fla., 5 days; meals NABAC Convention in Miami, Fla., 5 days; meals and lodging averaged about $19 a day. Same as above, except meals and lodging averaged over $27 a day for 4 days. Convention of National Association of Supervisors AIB Annual Convention in Denver, Colo., 4 days in Do.... 593 Do. 227 June 19, 1962 212 Apr. 3, 1962 214 Aug. 10, 1962 484 Sept. 27, 1962 107 Oct. 3, 1962 326 Nov. 5, 1962 798 Oct. 29, 1962 280 Oct. 29, 1962 275 |