Peiping, Jan. 30.
For the purpose of increasing the circulation of its notes and of withdrawing the old legal tender notes still in circulation in the interior, the so-called "Federal Reserve Bank of China" has decided to establish more branches in Hopei, Shansi, Honan and Shantung, according to Chinese reports.
The bank has already sent seven members of its staff to different places in the four provinces to make investigations and, as soon as they return, steps will be taken for the inauguration of the branches.
As a result of the announcement of the second devaluation of the old legal tender notes from 10 per cent.
40 per cent. discount, the Bank of Communications in Tientsin has been reorganized and placed under the jurisdiction of the "Finance Ministry" and the "Federal Reserve Bank" of the "Provisional Government" according to information from Chinese financial circles.
The same circles predict that the Tientsin branch of the Bank of China will also be reorganized before March 10, after which the circulation of old legal tender notes will be prohibited.—Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.