P. M. BRIEFING : Middle-Sized Banks Choose KeyCorp Chief for N.Y. Fed Post

KeyCorp Chairman and President Victor J. Riley Jr. today was elected to serve a three-year term as a director of the Federal Reserve Bank of New York.

Riley was selected by middle-sized banks--those with capital and surplus between $30 million and $400 million--in the second Federal Reserve district to serve as one of the board’s Class A directors, succeeding Alberto M. Paracchini, chairman of the Banco de Ponce.

The middle banks also reelected John A. Georges, chairman of International Paper, to a second term as a Class B director.

Each year a different group of banks elects two directors. Six of the New York Fed’s nine directors are elected by the district’s member banks. The Class A directors, who control three seats, are bankers. The remainder--three Class B and three Class C directors--represent various interests including agriculture, commerce, industry, services, labor and consumers.