§ 413. — Distinctive letter and serial number of notes; cancellation of notes unfit for circulation; accounting; apportionment of credit among Federal Reserve banks.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC413]
TITLE 12--BANKS AND BANKING
CHAPTER 3--FEDERAL RESERVE SYSTEM
SUBCHAPTER XII--FEDERAL RESERVE NOTES
Sec. 413. Distinctive letter and serial number of notes;
cancellation of notes unfit for circulation; accounting;
apportionment of credit among Federal Reserve banks
Federal Reserve notes shall bear upon their faces a distinctive
letter and serial number which shall be assigned by the Board of
Governors of the Federal Reserve System to each Federal Reserve bank.
Federal Reserve notes unfit for circulation shall be canceled,
destroyed, and accounted for under procedures prescribed and at
locations designated by the Secretary of the Treasury. Upon destruction
of such notes, credit with respect thereto shall be apportioned among
the twelve Federal Reserve banks as determined by the Board of Governors
of the Federal Reserve System.
(Dec. 23, 1913, ch. 6, Sec. 16 (par.), 38 Stat. 266; June 21, 1917, ch.
32, Sec. 7, 40 Stat. 236; Jan. 30, 1934, ch. 6, Sec. 2(b)(3), (4), 48
Stat. 338; Aug. 23, 1935, ch. 614, title II, Sec. 203(a), 49 Stat. 704;
June 12, 1945, ch. 186, Sec. 1(a), 59 Stat. 237; July 19, 1954, ch. 547,
68 Stat. 495; Pub. L. 89-3, Sec. 1, Mar. 3, 1965, 79 Stat. 5; Pub. L.
89-427, Sec. 3, May 20, 1966, 80 Stat. 161; Pub. L. 90-269, Sec. 3, Mar.
18, 1968, 82 Stat. 50.)
Codification
Section is comprised of third par. of section 16 of act Dec. 23,
1913. For classification to this title of other pars. of section 16, see
Codification note set out under section 411 of this title.
Amendments
1968--Pub. L. 90-269 substituted requirement that Federal Reserve
notes bear upon their faces a distinctive letter and serial number which
shall be assigned by the Board of Governors to each Federal Reserve bank
for former requirement that each Federal Reserve bank maintain reserves
in gold certificates of not less than 25 percent against its Federal
Reserve notes in actual circulation and former provisions respecting
redemption by the Treasury of Federal Reserve notes.
1966--Pub. L. 89-427 substituted provisions that Federal Reserve
notes unfit for circulation be canceled, destroyed, and accounted for
under procedures prescribed and at locations designated by the Secretary
of the Treasury and that credit with respect to the destruction of the
notes be apportioned among the twelve Federal Reserve banks as
determined by the Board of Governors of the Federal Reserve System for
provisions that Federal Reserve notes unfit for circulation be returned
by the Federal Reserve agents to the Comptroller of the Currency for
cancellation and destruction.
1965--Pub. L. 89-3 struck out requirement that each Federal Reserve
bank maintain reserves in gold certificates against deposit liabilities.
1954--Act July 19, 1954, struck out provisions prohibiting a Federal
Reserve bank from paying out notes of another Federal Reserve bank.
1945--Act June 12, 1945, amended first sentence generally by
striking out ``or lawful money'' after ``reserves in gold
certificates'', substituting ``25 per centum'' for ``35 per centum'' and
``40 per centum'', respectively.
1934--Act Jan. 30, 1934, amended first, fifth, and sixth sentences.
Change of Name
Section 203(a) of Act Aug. 23, 1935, changed name of Federal Reserve
Board to Board of Governors of the Federal Reserve System.
Transfer of Functions
For transfer of functions to Secretary of the Treasury, see note set
out under section 121 of this title.
Section Referred to in Other Sections
This section is referred to in sections 348, 420, 421, 467 of this
title.
