Section 53
SEC. 53. Section one hundred six of the same Act is hereby amended to read as follows: "SEC. 106. Reserve deficiencies. — Whenever the reserve position of any bank, computed in the manner specified in the preceding section of this Act, is below the required minimum, the bank shall pay the Central Bank one-tenth of one per cent (1/10 of 1%) per day on the amount of the deficiency: Provided, however, That banks shall ordinarily be permitted to offset any reserve deficiency occurring on one or more days of the week with any excess reserves which they may hold on other days of the same week and shall be required to pay the penalty only on the average daily deficiency during the week. In cases of abuse, the Monetary Board may deny any hank the privilege of offsetting reserve deficiencies in the aforesaid manner. "If a bank chronically has a reserve deficiency, the Monetary Board may limit or prohibit the making of new loans or investments by the bank and may require that part or all of the net profits of the bank be assigned to surplus. "The Monetary Board may modify or set aside the reserve deficiency penalties provided in this section, for part or the entire period of a bank strike or lockout as defined in the Industrial Peace Act, or of a national emergency affecting bank operations."