17:9A-48 - Nonmembers of Federal Reserve System

17:9A-48.  Nonmembers of Federal Reserve System
    A.  A bank which is not a member of the Federal Reserve System shall, subject to the provision of subsection B of this section, at all times have in available funds consisting of (1) lawful currency of the United States, or (2) balances due on demand from reserve depositaries, or (3) direct obligations of the United States which have a maturity of not more than 18 months, or (4) such  other assets as the Commissioner of Banking may from time to time prescribe by  regulation, reserve balances on deposits and such other liabilities in amounts  as prescribed by the Federal Reserve Board pursuant to the  "Depository  Institutions Deregulation and Monetary Control Act of 1980," P.L. 96-221, and  in such additional amounts as the Commissioner of Banking may prescribe by  regulation, if he deems those additional amounts necessary for the safety and  soundness of the institution.  Any additional reserve amounts prescribed by the  commissioner pursuant to this subsection shall not exceed the amount  established for like institutions by the Federal Reserve Board.  Not more than  50% of the additional reserve balances required by the commissioner under this subsection may be made up of obligations of the United States or of instrumentalities of the United States maturing within 1 year.

    B.  The Commissioner of Banking may by regulation prescribe the method to be  used in computing the required reserve.

     L.1948, c. 67, p. 231, s. 48.  Amended by L.1950, c. 122, p. 230, s. 1; L.1954, c. 142, p. 643, s. 1;  L.1979, c. 215, s. 1, eff. Oct. 11, 1979; L.1981, c. 373, s. 1, eff. Dec. 30, 1981.