DEVOTED TO THE STUDY OF CURRENCY
Saciet9 q Paper litone9 Collecter4
MESSAGE FROM THE PRESIDENT
As we close the year of 1963, we can see an in-
creased interest in the collection of currency of all types,
During the year, several books were published on vari-
ous types of currency, and soon to be released is a new
Fifth Edition of Paper Money of the United States and a
book on Fractional Currency. These are all welcome
additions and it shows the increased interest over the
last few years.
Our organization is young but growing. For any
organization to grow requires some work from many
members. Every effort is being made to up-grade our
quarterly magazine. Since we have, among our mem-
bership, collectors of all types of currency, we beg of
you to take a little time and write a short article, if noth-
ing more, on your collection for one of the issues during
1964. This is your Society—can we count on you?
Before I close, I want to wish each member a very
MERRY CHRISTMAS and happy hunting for
THOMAS C. BAIN
society of Paper Money Collector-4s
OFFICERS — 1964
Thomas C. Bain
Vice President Dr. Julian Blanchard
Secretary George W. Wait
Treasurer Glenn B. Smedley
APPOINTEES — 1964
Historian-Curator Earl Hughes
Attorney Ellis Edlow
BOARD OF GOVERNORS — 1964
Julian Blanchard, Charles J. Af fleck, Ben Douglas, Hank Bieciuk, Robert H.
Dickson, Michael Kolman, Jr., Morris H. Loewenstern, Julian Marks, John H.
Swanson, Arlir Slabaugh, Fred R. Marckhoff.
FALL 1963 NUMBER 4
PUBLISHED QUARTERLY BY THE SOCIETY OF PAPER MONEY COLLECTORS
Editor Hank Bieciuk
Foster W. Rice, Arlie Slabaugh,
Fred R. Marckhoff, C. J. Affleck, Dwight L. Musser
Subscription $4.00 Per Year
One Time Yearly
Outside Rear Cover $35.00 $130.00
Inside Front & Rear Cover 32.50 120.00
Full Page 27.50 100.00
Half Page 17.50 60.00
Quarter Page 10.00 35.00
Direct Advertising to the Editor. The Right Is Reserved to Reject Any Advertisement.
Federal Reserve Bank Notes
By W. A. Philpott, Jr. 5-12
New Membership Roster 12
Ben Holladay—King of the Stage Coach Era
By Fred R. Marckhoff 12
Retirement of Silver Certificates
By Arthur A. Smith 26-27
Request From The Secretary
The end of 1963 also means the end of a fiscal year for the Society. 1964 dues are
due! It would be very much appreciated if each member, on reading this notice,
would send me his check or money order in the amount of $4, payable to the Society.
All of us realize the complications of modern living. Sometimes we find it very
difficult to find sufficient leisure time to enjoy our hobby. If you will now donate
just three minutes of your time to mail your dues, it will save your Secretary many
hours of work sending a reminder to each of you. Please send your dues to me at
Box 165, Glen Ridge, New Jersey. 1964 membership cards will be sent by return
CORRECTION: TREASURER'S REPORT SHOULD READ AS FOLLOWS:
Printing and engraving Paper Money
Postage for mailing Paper Money (3
A. N. A. dues
D. C. Wismer Award at 1962 A. N. A
Bank charges (Canadian checks)
(3 issues) $1,073.44
. Convention 42.54
Net gain or (—) loss
Bank Balance at June 30, 1963 $1,918.58
Glenn B. Smedley,
July 27, 1963 Treasurer
kit K112347204/:—....b., /
$1 denomination was issued by each of the
twelve Banks. All are series of 1918. Total
issued by all twelve banks $478,892,000; total
outstanding for all banks, September 15, 1963,
$773,503. Scarcest $1's are those of the Minne-
VOL. 2, NO. 4
Paper *ono/ PAGE 5
Federal Reserve Bank Notes, Series 1915-1918 *
by W. A. Philpott, Jr.
Secretary, Texas Bankers Association, Dallas, Texas
(The illustrations of the various Federal Reserve Bank
Notes, which accompany this article, are printed by special
permission of the Sacretary of the Treasury, and further
reproduction in whole or in part is strictly prohibited.)
A most engaging and popular series of United States
paper money to collectors is the national currency (old
large size) issued by the twelve Federal Reserve Banks.
There were two series, 1915 and 1918, of this currency,
properly referred to as Federal Reserve Bank Notes. These
notes have many interesting angles for the numismatic
student. Paper money devotees are partial to this series
for several reasons. These notes circulated in comparatively
recent times. The twelve Federal Reserve Banks issued
them in various denominations and signature combinations.
Each note is at once uniform with every other note of like
denomination, yet there is a vast variety because of differ-
ent cities of issue, names of officers, and regional symbols.
Reverse of $1's, uniform for all twelve
Banks, showing flying eagle, perched on U. S.
*Reprinted from The Numismatist, August, 1951, by special
permission of Elston G. Bradfield, editor of The Numismatist.
The twelve Banks issued a total of 126 different notes,
where each denomination and each signature combination
comprise a variety. There are 39 different $1's; 34 differ-
ent $2's; 30 different $5's; 12 different $10's; 10 different
$20's; and only one $50 (issued by the St. Louis Bank).
One Bank (Atlanta) issued 17 different notes; four $1's;
three $2's; five $5's; two $10's; and three $20's. While one
Bank (Richmond) issued only four different notes: two
$1's and two $2's.
Federal Reserve Bank Notes, all denominations, actu-
ally put into circulation, totaled $761,944,000 in face value.
The September 15, 1963, outstanding total is $1,096,966.50
and is becoming less as the years go by.
CONTINUED ON NEXT PAGE
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Reverse of the $2's, uniform for all twelve
Banks, showing U. S. battleship.
HESEM*1-: II.N.N1.1 NOTE
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Paper iltone9PAGE 6 VOL. 2, NO. 4
FEDERAL RESERVE BANK NOTES...CON'D FROM PAGE 5
$2 denomination was issued by each of the
twelve Banks. All are series of 1918. Total
issued by all twelve banks $135,192,000; total
outstanding for all banks, September 15, 1963,
$173,906 or 86,953 notes. Scarcest $2's are those
of the Dallas Bank.
In the 1915 series there were no $1's and $2's issued.
Of the twelve banks, only five put out the series of 1915:
Atlanta, Chicago, Kansas City, Dallas and San Francisco
(the last only with a $5—the other four issued $5's, $10's
Let us take a look at the law behind these notes. The
Federal Reserve Act (December 23, 1913) authorized the
issuance of circulating notes by Federal Reserve Banks
against the deposit of United States bonds, the notes to be
of the same tenor and effect as national bank notes, then
provided by law. These were to be issued and redeemed
under the same terms and conditions as national bank
notes, except that the amount issuable was not limited
to the capital stock of the issuing Federal Reserve Bank
(as was the case with national banks). The original purpose
of these provisions was to prevent a currency stringency,
resulting from the withdrawal of any national bank notes
which might be retired. The designation "national cur-
rency" was carried over to Federal Reserve Bank Notes,
together with other characteristics of national bank notes.
The first issue was made in February, 1916 (series of
1915), and additional issues of series 1915 were made from
time to time until the high point was reached at the end of
October, 1917, when there were $12,970,425 outstanding.
$5 denomination was issued by eleven of
the twelve Banks. The Richmond Bank issued
only $1's and $2's. The $5's were series of 1915
and 1918. Total issued by the eleven banks
$121,460,000; total outstanding for all banks,
September 15, 1963, $103,267.50 or 20,6531/2
notes. Scarcest $5's are those of the Boston
CONTINUED ON NEXT PAGE
1' CO TM, OV.SO
$10 denomination was issued by the Banks
in New York, Atlanta, Chicago, St. Louis, Kan-
sas City, and Dallas. Series of 1915 and 1918.
Total issued by the six banks, $16,440,000; total
outstanding on September 15, 1963, $26,290 or
2,629 notes. Scarcest $10's are those of the
St. Louis Bank.
VOL. 2, NO. 4 Paper iltote9 PAGE 7
FEDERAL RESERVE BANK NOTES...CON'D FROM PAGE 6
Reverse of $5's, uniform for the eleven
Banks, showing Columbus Sighting Land, and
Landing of the Pilgrims.
The Act of April 23, 1918 (Pittman Act), provided for
the issuance of Federal Reserve Bank Notes in place of
silver certificates retired, and, as security, authorized the
use of certificates of indebtedness, a special series of which
was made available. This resulted in the series of 1918 and
all twelve banks issued the notes to the total of many
millions of dollars. The highest amount of Federal Reserve
Bank Notes in circulation at the beginning of any month
during this period was $236,597,570 on January 1, 1921.
Following the restoration to circulation of the silver certifi-
cates, withdrawn from circulation under the Pittman Act,
appropriate steps were taken for the retirement of the out-
standing Federal Reserve Bank Notes, and many millions
were speedily redeemed.
Reverse of $10's, uniform for the six Banks,
showing harvesting scene and manufacturing
By the end of 1922, the Federal Reserve Banks had
ended their liability on these issues of Federal Reserve
Bank Notes (in accordance with the provisions of the law)
by deposit with the Treasurer of the United States of lawful
money to the amount of those notes then outstanding, and
because of this "liquidity" behind these notes the greater
part of them were very quickly retired from circulation.
CONTINUED ON NEXT PAGE
$20 denomination was issued by Banks in
Atlanta, Chicago, St. Louis, Kansas City, and
Dallas. Series of 1915 and 1918. Total issued
by the five banks, $9,760,000; total outstanding
on September 15, 1963, $17,200, or 860 notes.
All 20's are rare.
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VOL. 2, NO. 4
FEDERAL RESERVE BANK NOTES...CON'D FROM PAGE 7
Reverse of $20's, uniform for the five
Banks, showing transportation by railroad,
steamship, automobile, and airplane.
Since October 30, 1944, the redemption department
of the Treasury has not segregated outstanding notes as to
the different Banks—keeping only the outstanding figures
as to denominations. So, today, we know how many of the
several denominations are outstanding, but the figures are
not broken down for any particular one of the twelve
All these notes carried four signatures: the Register of
the Treasury and the Treasurer; and two officials of the
particular bank of issue. The Washington officials who
signed were Teehee (register) and Burke (treasurer) whose
tenure of office was four years, seven months, and twenty-
six days (1915 to 1919); and Elliott (register) and Burke
(treasurer) who were together one year, one month, and
fourteen days (1919 to 1921). These signatures were en-
graved on the plates for all the notes, all Banks. The plates
for the 1915 series (issued only by Atlanta, Chicago,
Kansas City, Dallas, and San Francisco, as pointed out
above) had blank spaces for names of the issuing Banks'
officers (same as national bank notes) and these signa-
tures come very irregularly: from a crude overprint to a
hand-applied rubber stamp.
$50 denomination was issued by the St.
Louis Bank only. Total issued $200,000; total
outstanding on September 15, 1963, $2,800, or
56 notes. This note is excessively rare in un-
Reverse of the $50's show symbolic figure
draped in U. S. flag, representing the Panama
CONTINUED ON NEXT PAGE
VOL. 2, NO. 4 Paper net, PAGE 9
FEDERAL RESERVE BANK NOTES...CON'D FROM PAGE 8
Banks and their regional numbers are: Boston 1-A,
New York 2-B, Philadelphia 3-C; Cleveland 4-D, Rich-
mond 5-E, Atlanta 6-F, Chicago 7-G, St. Louis 8-H, Minne-
apolis 9-I, Kansas City 10-J, Dallas 11-K, and San Fran-
cisco 12-L. These Bank regional designations appear con-
spicuously in several places on the face of all Federal Re-
serve Bank Notes.
The reverses of all Federal Reserve Bank Notes are
uniform and do not vary, one bank from another.The
$5's, $10's, $20's, and $50's, being identical with the re-
verses of Federal Reserve Notes, series 1914, except the
line "Federal Reserve Bank Note" appears in the design
oval. Also the label "National Currency" appears in the
design oval on all except the $2 and the $50, where it is
in the upper margin. In the upper margin of all notes,
except the $2 and the $50, appears the denomination
spelled out. The ink is green on these reverses. Obverse
plates are printed in black. Seals and serial numbers are
overprinted in blue.
The face of each Federal Reserve Note has a date:
May 18, 1914, on all banks except San Francisco (notes on
the latter Bank bear the date May 20, 1914, with one
exception, noted later). This date is the day upon which
organization certificates of the Banks were executed by
the local groups. But since there was no airmail in those
days, the Secretary of the Reserve Bank Organization Com-
mittee in Washington allowed two extra days (or May 20)
to the 12-L (San Francisco) District.
In the following treatment, each Bank will be given a
heading, and last segregated outstanding totals (as of Octo-
ber 30, 1944) will be shown.
The Federal Reserve Bank of Boston (1-A) issued seven
different notes: three $1's, three $2's, and one $5. They
are all 1918 series: $39,600,000 in $1's, $24,936,000 in $2's,
and $2,200,000 in $5's, or a total of $66,736,000. The sig-
natures are as follows:
1918 Teehee & Burke, Bullen & Morss, $1, $2, $5
1918 Teehee & Burke, Willett & Morss, $1, $2
1918 Elliott & Burke, Willett & Morss, $1, $2
The scarcest note of the Boston Bank is the $5, there
being only 375 ($1,875) outstanding on October 30, 1944.
The $1 Teehee & Burke, Willett & Morss, is rare in uncir-
culated state, and seldom found better than very fine. The
other $1's can be found uncirculated without too much of a
hunt. To recapitulate: total (all denominations) $66,736,-
000 issued, total outstanding October 30, 1944, $142,787.
Eight different notes were issued by the New York Bank
(2-B); three $1's, three $2's, one $5, and one $10, totaling
$171,156,000. $1's were $106,724,000; $2's totaled $30,-
432,000; $5's were $32,000,000; and $10's added up to
$2,000,000. Notes on the New York Bank are not too
scarce, except the $10-its outstanding on October 30, 1944
being only 343. Here are the different signatures:
1918 Teehee & Burke, Sailer & Strong, $1, $2
1918 Teehee & Burke, Hendricks & Strong, $1, $2, $5,
1918 Elliott & Burke, Hendricks & Strong, $1, $2
The New York $10's are a bit scarcer than the Boston
$5's-there being half as many issued, and only 343 out-
standing as of October 30, 1944. Total outstanding New
York notes, all denominations, on October 30, 1944,
The Philadelphia Bank (3-C) issued ten different notes,
totaling $75,064,000; four $1's, four $2's, and two $5's. Of
the $1's there were $51,056,000 issued; $16,008,000 in $2's;
and only $8,000,000 in $5's. The signatures are:
1918 Teehee & Burke, Hardt & Passmore, $1, $2, $5
1918 Teehee & Burke, Dyer & Passmore, $1, $2, $5
1918 Elliott & Burke, Dyer & Passmore, $1, $2
1918 Elliott & Burke, Dyer & Norris, $1, $2
The rarest of the Philadelphia notes is the $2, Elliott &
Burke, Dyer & Passmore; and the $1 with the same signa-
ture is scarce. Also scarce is the $1 Teehee & Burke, Dyer
& Passmore. The $5's on Philadelphia, uncirculated, are
not too plentiful, outstanding on October 30, 1944, were
less than 1000 for both signatures-or less than 500 each.
The total outstanding on Philadelphia as of October 30,
1944 was $180,743 out of $75,064,000 total issued.
Nine different notes were issued by the Cleveland Bank
(4-D), totaling $64,864,000: three each of $1's and $2's
and $5's. They were all of the 1918 series and bear the
1918 Teehee & Burke, Baxter & Fancher, $1, $2, $5
1918 Teehee & Burke, Davis & Fancier, $1, $2, $5
1918 Elliott & Burke, Davis & Fancher, $1, $2, $5
All of $2's of the Cleveland Bank are now scarce-less
than $3,000,000 of each signature combination having been
issued, and less than $23,000 (1150 pieces) of all three
signatures now outstanding. The most difficult Cleveland
note to secure in uncirculated state is the $5 Teehee &
Burke, Davis & Fancher. It can be classed as rare. Notes
of the Cleveland Bank come in "low numbers" on all the
nine different varieties for this simple reason: the late
Charles Bickford was assistant cashier of the Cleveland
Bank and head of the Cash Department at the time these
notes were issued. He was a paper money collector himself.
As these notes were issued he held back the first 1000
notes of each signature combination. Hence, today notes
on the Cleveland Bank with serial numbers under 1000
are more common than those with higher serial numbers.
Total outstanding on Cleveland, all denominations, on
October 30, 1944, was $194,668.
To own all notes issued by the Richmond Bank (5-E)
it is necessary to secure only four specimens: two $1's, and
two $2's. Total $1's issued was $28,384,000 and $2's was
$7,472,000, adding up to $35,856,000. Here are the signa-
1918 Teehee & Burke, Keesee & Seay, $1, $2
1918 Elliott & Burke, Keesee & Seay, $1, $2
CONTINUED ON NEXT PAGE
Paper *hey VOL. 2, NO. 4
FEDERAL RESERVE BANK NOTES-CON'D FROM PAGE 9
On October 30, 1944 there were 90,609 $1's and 8,498
$2's outstanding. Uncirculated $2's on the Richmond Bank
are not too easy to find.
The largest number of different notes was issued by the
Atlanta Bank (6-F): seventeen, comprising four different
signature combinations, and two different series (1915 and
1918), totaling $50,148,000. On October 30, 1944, only
$148,974 was outstanding. There are five different $5's,
four different $1's, three different $2's, and two $10's and
three $20's. Notes of the series of 1915 ($5's, $10's, $20's)
are all scarce: barely $1,000,000 in the three denominations
issued, and less than $10,000 outstanding. Here are the
1915 Teehee & Burke, Bell & Wellborn, $5, $10, $20
1915 Teehee & Burke, Pike & McCord, $5, $20
1918 Teehee & Burke, Pike & McCord, $1, $2, $5
1918 Teehee & Burke, Bell & McCord, $1, $2
1918 Teehee & Burke, Bell & Wellborn, $1, $5
1918 Elliott & Burke, Bell & Wellborn, $1, $2, $5, $10,
All Atlanta $5's are scarce, the 1915, Teehee & Burke,
Pike & McCord, being rare. Of the $10's (two signatures)
only 270 are outstanding, or 135 for each signature. The
$20's (three signatures) are scarce, only 361 being unre-
deemed. Of Friedberg's No. 822-a, only one known (in
Philpott collection). There is a possibility of a $10 of this
series (1915, Teehee and Burke, Pike & McCord) being dis-
covered, as it was undoubtedly issued. Of all banks Atlanta
$2's are second scarcest (Dallas $2's are rare) for two rea-
sons: only 2,300,000 were issued, and superstitious Negroes
(and maybe white folks too) in the Atlanta District tore
off the corners. The author has seen several hundred
Atlanta $2's, each with two and three corners missing.
Twelve different notes were issued by the Chicago
Bank (7-G) in total amount of $105,488,000 of which
$322, 106 was outstanding on October 30, 1944. There were
issued five denominations: $1, $2, $5, $10, $20. The signa-
tures were four, as follows:
1915 Teehee & Burke, McLallen & McDougal, $5, $10,
1918 Teehee & Burke, McCloud & McDougal, $1, $2, $5,
1918 Teehee & Burke, Cramer, & McDougal, $1, $2, $5
1918 Elliott & Burke, Cramer & McDougal, $1, $2
The rarest Chicago note is the $5, 1918, Teehee &
Burke, Cramer & McDougal. Of the $10's (two signatures)
only 847 are outstanding, and of the $20's only 170 are
unredeemed. There are still 222,583 Chicago $1's (three
different signatures) outstanding, even though 64,432,000
were issued. The Chicago $2's are fairly common, 28,627
remaining out of 9,528,000 issued.
The only Bank to issue the $50 denomination was St.
Louis (8-H). Exactly 4,000 ($200,000) of the $50's were
issued, and on September 15, 1963, there were only 56 out-
standing. All these were printed from obverse plate No. 1,
and no serial number goes above 4,000. Most of those
in collections are numbered below 500. There were four-
teen notes issued by the St. Louis Bank: $27,908,000 in
$1's; $6,600,000 in $2's; $7,620,000 in $5's; $1,000,000 in
$10's; $480,000 in $20's; and $200,000 in $50's. There are
the four signature combinations:
1918 Teehee & Burke, Attebery & Wells, $1, $2, $5,
$10, $20, $50
1918 Teehee & Burke, Attebery & Biggs,
1918 Elliott & Burke, Attebery & Biggs, $1,
1918 Elliott & Burke, White & Biggs, $1, $2, $5
The St. Louis Bank's $10's, $20's, and $50's are the
scarcest of these denominations, 237 $10's, 93 20's, and 56
$50's. The St. Louis $1's are the second scarcest of the twelve
Banks, there only being fewer Minneapolis $1's than St.
Louis $1's. St. Louis $1's outstanding as of October 30,
1944, was 82,511 for four different signatures, or about
20,626 for each.
The Minneapolis Bank (9-I) issued three $1's, two $2's
and one $5-totaling $23,892,000, the lowest total of any
Bank. Total outstanding, as of October 30, 1944, was
$59,777 in $1's; $19,486 in $2's and $9,372 in $5's-grand
total of $88,635, the only Bank with less than $100,000 out-
standing. This explains why those who collect the $1's
and $2's of the Federal Reserve Bank Notes find Minne-
apolis so difficult to find in acceptable specimens. Here are
the signature combinations:
1918 Teehee & Burke, Cook & Wold, $1, $2, $5
1918 Teehee & Burke, Cook & Young, $1
1918 Elliott & Burke, Cook & Young, $1, $2
The rarest of the six notes issued by Minneapolis is the
$1 Teehee & Burke, Cook & Young. In uncirculated state it
is very rare and difficult to find. On October 30, 1944 there
were 59,777 $1's out, three signatures, or 19,925 for each
signature combination; 9,743 $2's out or 4,871 for each
signature; and 1,874 $5's.
The Kansas City Bank (10-J) issued fifteen different
notes: totaling $62,804,000 as follows, $24,820,000 in three
different $1's; $5,304,000 in two different $2's; $24,040,000
in five different $5's; $5,040,000 in three different $10's;
and $3,600,000 in two different $20's. On October 30, 1944,
these were outstanding: 98,225 $1's; 7,846 $2's; 13,404 $5's;
1,480 $10's; and 674 $20's. Here are the signature combi-
1915 Teehee & Burke, Anderson & Miller, $5, $10, $20
1915 Teehee & Burke, Cross & Miller, $5, $10, $20
1915 Teehee & Burke, Helm & Miller, $5, $10
1918 Teehee & Burke, Anderson & Miller, $1, $2, $5
1918 Elliott & Burke, Anderson & Miller, $1
1918 Elliott & Burke, Helm & Miller, $1, $2, $5
The rarest of the Kansas City notes are the 1915 series,
Helm & Miller, $5 and $10, in uncirculated condition. The
CONTINUED ON NEXT PAGE
VOL. 2, NO. 4
Papep iiteney PAGE 11
FEDERAL RESERVE BANK NOTES...CON'D FROM PAGE 10
two $20's total only 674, or 337 for each signature. Of these
the Anderson & Miller are scarcer than the Cross & Miller.
There were fourteen notes issued by the Dallas Bank
(11-K) totaling $27,648,000, the lowest of all (except the
Minneapolis Bank) : $17,864,000 in $1's; $2,424,000 in $2's;
$2,960,000 in $5's; $2,400,000 in $10's; and $2,000,000 in
$20's. On October 30, 1944, there were outstanding 85,789
in $1 .s; 4,017 in $2's; 1,437 in $5's; 804 $10's and 230 $20's.
Here are the signatures:
1915 Teehee & Burke, Hoopes & Van Zandt, $5, $10, $20
1915 Teehee & Burke, Gilbert & Van Zandt, $10, $20
1915 Teehee & Burke, Talley & Van Zandt, $5, $10, $20
1918 Teehee & Burke, Talley & Van Zandt, $1, $2, $5
1918 Elliott & Burke, Talley & Van Zandt, $1, $2
1918 Elliott & Burke, Lawder & Van Zandt, $1
The Dallas Bank's $2 is scarcest of all Federal Reserve
Bank Note $2's, there only being 4,017 outstanding (two
signatures) on October 30, 1944. Total $2's issued by Dallas
Bank were a good half million dollars below any other of
the eleven Banks ($2,424,000). Dallas' total $20's is 230
with three signatures (77 for each signature). The three
$10's total only 804, or 268 for each signature. The rarest
signature is on the 1915 series, Gilbert & Van Zandt ($10's
and $20's) and the $5 in this may turn up some day. The
most difficult note to get uncirculated of the Dallas Bank's
fourteen notes is the $1 Elliott & Burke, Talley & Van
Zandt. The writer has seen many extremely fine-but
waited a long time for an uncirculated one.
Nine notes were issued by the San Francisco Bank
(12-L). The Bureau of Engraving, however, prepared
plates and printed $10's, $20's, and $50's for this Bank. The
finished notes even went to the Pacific Coast city, but for
some reason these larger denomination notes were never
issued. Presumably they were of the 1915 series, but only
the $5 of that series was issued, $1,680,000 of them. The
Bank put out $23,784,000 in $1,'s; $6,376,000 in $2's; and
$4,280,000 in $5's-totaling $34,440,000. Outstanding totals
on October 30, 1944 were: 84,081 $1's; 13,553 $2's; and
2304 $5's. Here are the five signature combinations:
1915 Teehee & Burke, Clerk & Lynch, $5
1918 Teehee & Burke, Clerk & Lynch, $1, $2, $5
1918 Teehee & Burke, Clerk & Calkins, $1
1918 Elliott & Burke, Clerk & Calkins, $1, $2
1918 Elliott & Burke, Ambrose & Calkins, $1, $2
All these notes bear date of May 20, 1914, while the
date on obverse of all series issued by the other eleven
Banks is May 18, 1914 (see explanation in a preceding
paragraph). However, there is a $5 note, series 1918
Teehee & Burke, Clerk & Lynch which has the "regulation"
date, May 18, 1914, on its face, evidently an engraver's
error in making the first (?) plate for the San Francisco
$5, series 1918. The writer considers the May 20, 1914, $5
the later one, after the error was discovered and corrected.
This May 18, 1914, San Francisco $5 note is very rare.
In order that the collector may have a table of "rarity"
on the different Banks and denominations, there are
arranged some tables, showing the outstanding figures of
different denominations from the twelve Banks. The figures
of outstanding notes on different Banks, all denominations,
are as of October 30, 1944, when the Redemption Division
of the Treasury discontinued breaking down different de-
nominations of the different Banks. Since that date all $1's,
all $2's, etc., have been dumped together without regard
to Banks of issue. Since the $50 was only issued by St.
Louis, the exact outstanding figure as of September 15,
1963, is given. Percentagewise, the different banks will hold
the places they had October 30, 1944, so that there can be
reductions made from the 1944 outstanding figures right
across the board.
TOTAL OUTSTANDING AS OF OCTOBER 30, 1944,
BY BANKS AND DENOMINATIONS
Boston $ 101,629.50 $ 39,280.00 $ 1,877.50 $ $ $
New York 300,734.50 70,869.00 32,635.00 3,430,00
Philadelphia 134,608.00 37,783.00 8,352.50
Cleveland 144,014.50 27,671.00 22,982.50
114,596.50 14,395.00 10,062.50 2,700.00 7,220.00
Chicago 222,583.00 57,253.00 30,395.00 8,475.00 3,400.00
St. Louis 82,511.50 18,404.00 11,912.50 2,370.00 1,860.00 4,100.00
Minneapolis 59,777.00 19,486.00 9,372.50
Kansas City 98,225.50 15,692.00 67,022.50 14,800.00 13,480.00
Dallas 85,789.00 8,035.00 7,185.00 8,040.00 4,610.00
San Francisco 84,081.00 27,107.00 11,520.00
ALL BANKS, ALL DENOMINATIONS
Total Total Outstanding
Issued Sept. 15, 1963
$20's 9,760,000 17,200.00
$50's 200,000 2,800.00
BANK $1 $2 $5 $10 $20 $50 TOTAL
$1,519,159.00 $352,972.00 $213,317.50 $39,815.00 $30,570.00 $4,100.00 $2,159,933.50
CONTINUED ON NEXT PAGE
Paper iitene9 VOL. 2. NO. 4
FEDERAL RESERVE BANK NOTES...CON'D FROM PAGE 11
SIX SCARCEST $1's,
St. Louis 82,511
San Francisco 84,081
Kansas City 98,225
New York 300,734
SIX SCARCEST $2's,
Kansas City 7,846
St. Louis 8,202
New York 35,434
SEVEN SCARCEST $5's,
San Francisco 2,304
St. Louis 2,382
New York 6,527
SIX SCARCEST $10's,
St. Louis 237
New York 343
Kansas City 1,480
Since these six Banks were the only
ones to issue $10's, there was on Jan-
uary 15, 1951 a total of only 3,649
$10's, all signatures on all six Banks.
ALL $20's ARE SCARCE:
St. Louis 93
Only five Banks issued $20's, so all
the $20's Federal Reserve Bank Notes
outstanding September 15, 1963, were
860, and by now they are probably
down to 700.
The St. Louis $50's are easy to
check. Outstanding total dollars on
September 15, 1963 in these $50's was
$2,800 or 56 pieces.
HERE ARE THE TWELVE
St. Louis $50 56
St. Louis $20 93
Chicago $20 170
Dallas $20 230
St. Louis $10 237
Atlanta $10 270
New York $10 343
Atlanta $20 361
Boston $5 375
Kansas City $20 674
Dallas $10 804
Chicago $10 847
ACCORDING TO BANKS:
Boston $5 375
New York $5 6,527
Philadelphia $5 1,670
Cleveland $5 4,596
Atlanta $2 7,197
Chicago $5 6,079
St. Louis $5 2,382
Minneapolis $5 1,874
Kansas City $10 1,480
Dallas $2 4,017
San Francisco $5 2,304
New Membership Roster
No. NAME AND ADDRESS SPECIALTY
562 George M. Baude, 14208 Vanowen Street, Van Nuys, C CSA, Southern States, Inflation Notes, World War II
563 Alphonse Beck, 1314 Pembroke Street, Victoria, B.C., C Canadian and American
564 James R. Hosier, 80 South Main Street, Manheim, C Colonials and Continentals
565 Dr. Bernard J. Schaaf, 203 Marshall St., Syracuse 10, C Small sized currency
New York, 13210
566 L. Candler Leggett, 4648 Cedarhurst Dr,, Jackson 6, C CSA and Mississippi Obsoletes
CHANGE OF ADDRESS
120 Alfred D. Hoch, 2218 Hartford Avenue, Fullerton, Cal-
437 Robert D. McCarron, 69 Waban Hill Road, N. Chestnut
C Broken Bank Notes and Early American engravings
Hill 67, Massachusetts
VOL. 2, NO. 4
Paper litche PAGE 13
Ben Holladay—King Of The Stage Coach Era
His famous Stages Carried Most of the Passengers, Mail
and Express To the West Before the Advent of the Rail-
By Fred R. Marckhoff
At this very minute, exactly one hundred years ago,
the thundering hoofs of strong, fast horses drawing the
Overland Stage Company coaches could be heard resound-
ing across the countryside of the vast western plains.
They were bringing passengers, mail and express to
cities of the west on regularly scheduled routes, for the
first time in many instances. Their service extended over
the desert, across the mountains, through deep forests and
into remote mining camps. In good weather and bad,
these early stages kept a remarkably good schedule.
The trail of historic and numismatic experiences left
by the largest of these pioneer transportation companies,
The Overland Stage Company and its later title: "The
Holladay Overland Mail & Express Company", is second
to none on the North American continent in scope and
Obstacles which had to be overcome were many. West
of the Missouri River was still "Indian Country". Emi-
grant wagon trains, stage coaches and even Army scout-
ing patrols were prime targets for Indian attacks when-
ever the odds were favorable. In the South and East the
Civil War was being fought. The southern route through
Texas and Arizona had been closed by the hostilities. The
railroads had not yet penetrated the area west of the
Mississippi River to any extent.
Earliest Years of Holladay
Out of circumstances such as these a man named
Ben Holladay carved his empire—an empire built on
wheels—the first successful large scale stage coach opera-
tion in the west.
More timid men would not have accepted the chal-
lenge. Perhaps it was the successively greater steps in
this chosen field which Holladay made as a young man
which fitted him for his role of stage coach king when
the time came.
For Holladay's life was exciting, eventful and haz-
ardous from the moment he stepped off the boat at St.
Louis, Missouri in 1836 at the age of 16, along with his
two brothers and parents, who had decided to move from
Kentucky to Missouri. They made their way across the
State to Weston, which was just across the Missouri River
from Fort Leavenworth, Kansas.
Holladay's first major employment came at the age of
18, when he joined Col. Alexander Doniphan's Army ex-
pedition to the far west as a civilian courier. From this
experience he received his first lesson in how to handle
transportation problems. It was the first step on his road
to fame and fortune.
Ben Holladay, in the latter part of
CONTINUED ON NEXT PAGE
Paper litanel VOL. 2, NO. 4
BEN. HOLLADAY... CON'D FROM PAGE 13
Upon returning home almost a year later, he became a
store clerk in Weston, which was booming from its hemp
and tobacco exports. On May 11, 1839 he took out a dram
shop license and six months later was operating a tavern.
At the age of 21, he operated a small hotel. Later he
became a drug store owner, a general merchandise store
proprietor in conjunction with his brother Jesse, and a
packing plant owner, run jointly with his other brother
Dave. For a short time he also was postmaster of Weston, a
far cry from such a post today, however.
In 1840 he married Ann Notley Calvert, who claimed
descendency from Lord Baltimore, founder of the Mary-
Despite his many and varied activities, most of which
were at least average financial successes, Holladay was
restless and looking for bigger worlds to conquer. It was
the Mexican War of 1846 that gave him just such an
opportunity. General Stephen W. Kearney's army com-
mand stationed at Fort Leavenworth had orders to leave
for the far west. The usual contract bids went up for
private contractors to supply various staples, wagons,
mules, etc. for the trip.
There were numerous bidders, but the successful bidder
to supply flour, bacon, wagons and mules was Ben Hol-
laday of Weston, Missouri. Just how he outbid veteran
contractors probably will never be known, but he fulfilled
his contract to the letter. Profits on some parts of the
contract ran as high as 200%. Upon receipt of payment,
Holladay could already be considered a wealthy man at
the age of 28, by all standards of that day at least. After
the war ended and the expedition had returned, he bought
back the excess oxen, mules, wagons and supplies, as sur-
plus at very low prices.
Holladay's Freighting Ventures
The purchase of these excess items was for a definite
purpose and motive. The knowledge and experience gained
in his earlier ventures in this field were being used by
Holladay in planning for his next big step, a 1200 mile
trek into the new Mormon settlements of Utah with a
wagon train load of merchandise. He formed a partner-
ship with Theo. W. Warner, a leading Weston merchant,
the latter supplying most of the trade goods while Hol-
laday took care of all transportation needs. From February
to June, 1849, the assembling of drivers, goods, wagons and
animals took place.
In June, 1849 fifty wagons loaded with $70,000 in
merchandise of all descriptions rumbled out of what was
in a few years, Leavenworth, Kansas, guided by Holladay
It was a huge gamble, to say the least, for an attack
by Indians, extremely bad weather or even an unreceptive
Mormon colony would have meant failure. In this latter
regard, Holladay was at least partially fortified, having
been given a letter of introduction to Brigham Young, the
Mormon leader, from his former employer, Colonel, now
General Alexander Doniphan. All went well, and with
the Mormon leader's approval all merchandise was sold
quickly to the short handed Mormons at a very good
Exulted at the results, the wagon train operators re-
turned to Weston in the fall of 1849. Holladay bought a
mill and a sixteen room house just east of Weston. He
already owned a 1200 acre farm near Union Mills, now
But the freighting venture of 1849 proved to be only
a stepping stone to an even greater operation in 1850.
This time a 100 wagon train, a mile or more in length,
carrying goods valued at $150,000, again set out for Utah
Territory. Each wagon held between 5000 and 6000 pounds
of freight, pulled by five or six yoke of oxen.
At night the animals were corralled for protection, by
surrounding them with overlapping wagons in a heart
shape. Each wagon was in charge of a professional driver
known as a "bush whacker", a very tough breed of out-
door men. Advance riders and roving outriders kept watch
constantly for Indians, both near and far. Flanking guards
rode alongside the wagons, protecting the sides of the long
train. Hunters were constantly riding out to bring down
game for the provisions.
Although the trip was made without mishap, this time
not all the merchandise was sold in Utah for cash. Much
of it was traded for a large herd of cattle, of which the
Mormons had a plentiful supply. This entire herd was
then driven on foot from Utah to California. Here most
of it was sold for thirty cents a pound on the hoof, although
acquired on the basis of only $6. a head.
Before returning home, the two partners contracted to
supply the Benecia, Cal. army post with fresh beef for a
year. This completed the disposition of all cattle on hand
and the men were at last free to return to Weston.
Holladay Turns To The Stage Coach
No more freighting trips to the west were made,
whether from choice or because competition from the
well established firm of Russell, Majors & Waddell was
overwhelming. This huge company absorbed almost all
freighting contracts to the exclusion of smaller outfits. By
the late 1850s thousands of men, wagons and livestock
were in their employ.
In 1859 they decided to branch out and set up a new
stage coach line between Atchison and Colorado Territory.
Holladay was hired to buy equipment for the new line.
There is reason to believe he also became a stockholder at
the same time, or extended a financial loan as part of the
deal for his services.
CONTINUED ON NEXT PAGE
VOL. 2, NO. 4
Paper #toney PAGE 15
BEN HOLLADAY ...CON'D FROM PAGE 14
Holladay's first experience in the stage coach business was with Russell, Majors & Waddell. Portrait on note is that of Mr.
Waddell. This firm owned The Kansas Valley Bank of Atchison, Kansas when Holladay joined them.
Earlier he had made a similar act in becoming finan-
cial surety for W. L. Blanchard, successor to George
Chorpenning, who had the original mail route between
Salt Lake City and Sacramento in 1853. This operation
was not a stage coach route, however, but rather a covered
wagon only, drawn by a four mule team. And as early as
1856 he had made an unsuccessful bid to carry mail be-
tween Independence, Mo. and Salt Lake City, but his
$45,000. bid was far above the winning bid of $23,000.
by Hiram Kimball.
But while the Russell, Majors & Waddell Co. was hand-
ling many contracts it was putting more money into its cap-
ital structre for new operations far faster than its income
warranted. Their historic Poney Express enterprise, while
heroic and thrilling to read about, was a heavy financial
failure. Marauding Indians destroyed equipment and stole
animals in large numbers.
By early 1861, the abbreviation of their Central, Over-
land, California & Pikes Peak Express Co. title, The C. 0.
C. & P. P., was jokingly referred to by its employees who
often were not paid when pay day came, as "The Clean
Out of Cash & Poor Pay".
Holladay assumed an increasingly important role in
the finances of the company as the money condition wor-
sened. At first his advances were only to help meet their
heavy new capital requirements. But by late 1861 he was
loaning them money to pay the current operating expenses,
With outgo exceeding income and no visible improve-
ment in sight, Holladay pressed for a judgment without
further delay. In the Leavenworth (Kans.) Conservative
newspaper on Nov. 21, 1861, a notice appeared offering
assets of the company to be sold at auction. A Kansas judge
had the sale delayed, however, until Feb. 1862, when the
sale was again advertised to take place, this time at Atchi-
son on March 21, 1862.
Highest and only serious bidder for the line was Ben
Holladay. It came out in the legal proceedings that his bid
of $100,000. was for the purpose of protecting his previous
loans of $208,000., making the total value of his bid $308,-
Holladay's Overland Stage Co.
The man from Weston, Missouri went into his new
business with his usual vigor, determination and sharp
His first act was to change the name of the company
on all coaches to "The Overland Stage Company". He had
this name printed in large letters on each side of the coach,
which was painted in brilliant red, striped in black, and
with a straw colored chassis.
Also, he was not satisfied with the horses of his prede-
cessor. He had to have the fastest, strongest animals avail-
able, in order to outrun the smaller Indian ponies. Even
though the Civil War had placed a premium on such ani-
mals, Holladay paid the price, nevertheless. At the start
of the war a good horse cost $200., a mule $150. and a
yoke of oxen $165., but as the hostilities continued, it be-
came necessary to pay much more. Holladay is estimated to
have paid out at least $500,000 just for horses, mules and
oxen while in business.
The next change was made in the addition and improve-
ment of the lonely relay or swing stations, usually spaced
from ten to twenty miles apart. Likewise, the larger main
or "home" stations were improved. Most of these served
hot meals, had large repair shops for the whole division
and had permanent sleeping quarters for the drivers and
messengers. From these headquarters supplies of all kinds
were received and distributed to the smaller relay stations.
CONTINUED ON NEXT PAGE
ittil its Itiest 6 tiaSt 11*1
Timid Mails Intwva the Maui? RV, Nem: mot..
MEN NOLL AOAY, FaCfaBJETOR
In ivinvid•ration or 'he price paid for Tkael, a i• ere•oody .iipoluved and Agnva ittghlet. ,I n e•retof nod tit. froprittt, tht. Stag.
1.111 • . that th. •Ana Proprietor *ban ta .410 e•P• /PP Lold resfooi Mold Ito.t. C•tt t, Itt,111.4+. Bank amt 1 M3 . 137.. cat t+.4 ttt,t
nn ••••• •
.Each adult paesoapli
allowed Olt.. of Isogaltste
raw. Bat neither Gold
i,ort. Tiollioo,Cola, Book
or Trealary Note. Win be
carried under tho deaf
-nation of la,Tansa.
Paper *hey VOL. 2, NO. 4
BEN HOLLADAY... CON'D FROM PAGE 15
These main terminals included Atchison, Denver, Jules-
burg, Salt Lake City, North Platte (Fort Steele), Green
River and Virginia Dale (Colorado Territory). Julesburg,
a center of freighting activity for the mines, had 3574
freight wagon arrivals in 1864, with 4258 men and 28,592
horses or mules employed to handle the traffic at one time
The Overland Stage Co. began with two main lines,
the first one from Atchison to Denver, the second from
Denver to Salt Lake City. Later a network of lines ex-
tended into the mining regions of Montana, Idaho, Oregon
and California. The stage coach empire finally covered a
total of 3300 miles. The busy mining centers of Colorado
Territory were especially lucrative; these were Arapahoe,
Golden City, Missouri City, Central City, Mountain City
Ticket used in Sept.,
1866 between Boise
City, Idaho Territory,
and Helena City, Mon-
tana Territory. Title
used was that of "Ov-
erland Stage Line,"
even though this name
had been changed in
While Holladay worked feverishly to get the lines
working the way he wanted them to by early 1862, it was
also this year that he experienced his first serious losses
from Indian raids. The Civil War made any requests for
army patrols almost out of the question. Even when prom-
ised these patrols frequently could not be diverted from
military duties. It became not uncommon to arrive at a
small relay station only to find the occupants scalped, the
cabin burned and the horses stolen. Even stage coaches
were waylayed while en route from town to town, in which
case not only life and property were lost, but the mails
were burned, stolen or lost in the depredations. Holladay
appealed vainly for relief until the losses became so great,
especially in Utah Territory, that the matter was brought
to the attention of President Lincoln. The President sug-
gested that Brigham Young raise a company of cavalry to
protect the mail route. Mr. Young responded willingly,
after which Holladay sent the following telegram to the
MANY THANKS FOR YOUR PROMPT RE-
SPONSE TO PRESIDENT LINCOLN'S RE-
QUEST. AS SOON AS THE BOYS CAN GIVE
PROTECTION, THE MAILS WILL BE RE-
SUMED. I LEAVE FOR YOUR CITY SUNDAY
Evidently Mr. Young could not cope with the maraud-
ings entirely either. For not long afterward, Holladay met
in Washington personally with President Lincoln, Post-
master Blair, Secretary of War Stanton and Senator Milton
Latham of California. At this conference Mr. Lincoln said
emphatically, "Mr. Holladay, you must have protection,
the mails must be carried!" And despite their scarcity
cavalry units of the regular army were assigned the task
of keeping the roads open. This improved the situation
considerably but occasional raids still occurred. The prob-
lem never was solved to Holladay's complete satisfaction.
In 1862 alone, he submitted bills of $51,543.00 to Congress
for Indian damages.
But these losses were one field in which Holladay failed
badly. In January, 1866 he presented his total claims of
about $500,000. to Congress, but was referred to the Court
of Claims. The claim was repeatedly postponed by this
body until 1877, when Congress offered $100,000. to settle
the account in full, about one-fifth of the original claim.
Heirs continued the fight, but it was a losing one, as the
claim was eventually thrown out.
An unusual accident in 1862 almost cost Holladay his
life. He was vacationing on the "Golden Gate" in the
Pacific when the boat caught fire. The flames got out of
control and the ship was headed for the breakers. Disaster
seemed certain from either fire or shipwreck. Holladay
climbed down the side of the boat to get away from the
flames. For two hours he clung to a ladder despite injuries
received from the rudder. A rescue ship finally came along-
side and he was taken safely aboard.
CONTINUED ON NEXT PAGE
The Overland ..Stagiarae'
Atlantic and Pacific States.
/11HIS LINE is now running its Daily Coaches
1 to and from Atchison, Kansas, and Placer-
ville, California, through the City of Denver.
Coaches for Salt Lake, Carson Valley. and
California, leave every morning at eight o'clock.
Coaches for Atchison leave every morning at
Quick tinae, and every convenionee afforded
A Treasure and Freight Express carried week-
ly between Denver and Atchison, in charge of
the most competent and trustworthy 'messen-
The Express leaves Denver every Tuesday
morning, and secures to shipments certainty,
security, and celerity.
This Line also runs Large Six Horse Daily
Coaches. carrying Passengers, Mails, and Ex-
press matter between Denver and the Gregory
Coaches tor Central City leave every morning
at seven o'clock.
Retaining, leave Central City every morning
at the same hour.
Close connections made to and from all points
East, West, and in the Mines.
Far THE ONLY DIRECT ROUTE TO-
Toledo, Cincinnati, Washington,
And all other principal cities in the United
States and Canadas.
Through Tickets for sale at the Oho, of
Overland Stage Line, Denver City. fat all points
east of the Missouri River,
Time to Atchison 6 days.
Time to Salt Lake City 5 days.Tian. to Placerville 13 d7s.
Full particulars will be lvenat the ogles, an-der the Planter's House, in Denver' and at all
other Aces on the Line.
C. F. DAHLICR, Aasat
BEN HOLLIDAY, Proles-.
CARRYING THE GREAT THROUGH MAIL
VOL. 2. NO. 4
Paper Bonet, PAGE 17
BEN, HOLLADAY ... COWL) FROM PAGE 16
One task that Holladay did not assign to others was
the personal checking of all the details of equipment and
personnel over the entire network of routes. For this pur-
pose he had his own inspection coach, which was specially
built with extra comforts and facilities not found on the
regular coaches. His coach had cushioned seats mounted
on spiral springs, expensive side curtains, beautiful oil
lamps with silver cases and a writing table. Always fol-
lowing this one was another coach, carrying a cook, sev-
eral bodyguards and a supply of everyday needs or luxur-
ies, including mattresses, extra clothing, cigars, brandy,
etc. Each coach was drawn by a six horse team.
While 1863 was a comparatively quiet year for the
Overland Stage Co., 1864 was just the opposite. One of its
biggest events was the contract to haul 100 million pounds
of freight from the Denver area to the railheads along the
Missouri River. Before the job was completed, 15,000 men
and 20,000 wagons were used. Considering the fact that
freight charges were usually seventeen cents a pound for
each one hundred miles, it may seem that a small fortune
Wagons capable of holding three tons of freight were
used for this kind of job. These were the "J. Murphywagon"
brand, made in St. Louis. These long, heavy caravans
probably did more than anything else to create permanent,
recognizable roads in the west. For the single vehicles in
open country followed no set path, one place usually
being as good as another, and no visible trail was left
after a short time. Only through narrow valleys or canyons
did these single travelers ever follow the same well defined
Also in 1864, Holladay bought out the Western Stage
Co. of Nebraska City, Nebr., a center of freighting activ-
ity itself at that time.
This was also the year that this far flung stage empire
reached its full growth. It extended into the mining camps
of Idaho and Montana by making connections with the
Helena-Salt Lake City Line. On July 1, 1864 the stages
reached The Dalles, Oregon, but due to Indian raids, they
did not reach Boise City until Aug. 11, 1864. Holladay
had the first mail contract in Idaho Territory.
Traffic in gold dust and bullion finally became so
heavy that after Dec. 10, 1864, special express coaches,
operating as often as once a week, carried nothing but
these valuables. Charges were 1 1/2 % of the value declared,
in sums of $100. and upward. Express rate was $1.00 per
pound until 1866, when the price was reduced slightly.
As might be expected, by terms of the ticket, no gold dust,
bullion, coin or bank and treasury notes could be carried
as baggage—this, of course, to prevent excessive loss
claims in case of holdup. This provision is clearly indi-
cated on a ticket of Gilmer & Salisbury, one of Holladay's
inheritor companies, by way of Wells, Fargo & Co., and
But this increased passenger and express service was
hurting, rather than helping the city of Denver. It became
almost impossible to secure seats on coaches returning east,
the coaches being already filled with through passengers
This advertisement of The Overland Stage Line
appeared in a Denver, Colorado Territorial news-
paper in 1864 and clearly shows extent of Holla-
from the mining areas before even reaching Denver. The
only alternative was to wait until an unfilled coach arrived.
A notice in the Rocky Mountain News of Denver on
June 30, 1864, read in part, "For 4 years more Colorado,
Utah and Nevada belong to Ben Holladay for a footstool
and may the Lord have mercy on them." This was directly
in reference to the four year contract won by Holladay,
extending into 1868.
The good fortunes of 1864 had made Holladay a mil-
lionaire several times over. As the war activities died down
by late 1864 and early 1865, more and more people were
able to go west to seek their fortunes.
CONTINUED ON NEXT PAGE
Paper iitotteyPAGE 18 VOL. 2, NO. 4
BEN, HOLLADAY... CON'D FROM PAGE 17
1,D _Franklin, Idaho,.
a of is entitled to._":
TERM AND CONDITION acli adult passenger is allowed twenty-fire pounds of baggage ,
free. But neither Gold Dust,
Bullion, Coin, nor Bank or Trees otes be carried under the designation of baggage. And this passage is taken, and ticket
accepted by said passenger under t xpress agreement and condition that the carriers will not be responsible for the baggage so allowed
said passenger, but the same is wholly at the risk of the owner thereof. And that all care, custody and control of such baggage,-and
all other property belonging to said passenger, by the ar hands and employees of the carriers, and all handling, changing and ar-
ranging of the same shall be deemed, and they are he y de red to be, the. acts of the agents, hands and employees of the said
_Franklin lly to
Actual passenger ticket issued by a successor to the Holladay Line, on the Salt Lake City to Helena, Montana run. It is an excellent
example of the terms anti conditions under which stage coach passengers rode.
The remunerative shipments from the gold and silver
fields stirred Holladay's interest in gold itself as a com-
modity to buy and sell. Early in 1865, he and W. L. Halsey
of Salt Lake City formed a partnership in the exchange
and banking business, notably the purchase of gold dust
brought in by miners. Gold had about a 10% premium
over greenbacks at that time.
One of the advertisements of this firm appeared in the
Camp Douglas (Utah) Daily Union Vedette on May 4,
1865 and read as follows:
BEN HOLLADAY W. L. HALSEY
New York Great Salt Lake City
Holladay & Halsey
At the office of the Overland Stage Line, Great
Salt Lake City, we will pay the highest rates for
gold dust and coin. Dust bought for coin or currency.
Cash paid for government vouchers. Drafts pay-
able in coin or currency sold in New York; San
Francisco, California; Virginia City, Idaho; Denver
City, Colorado; Atchison, Kansas; Portland, Oregon
and Victoria, British Columbia.
Postage currency and revenue stamps for sale.
The postage currency mentioned in the advertisement
evidently is in reference to the pre-printed revenue stamped
checks, usally considered a philatelic item. There were two
general types of these checks, (1) the pre-printed kind and
(2) the revenue stamp attached to the check at the time
of issuance. Some States, notably Nevada, also issued these
early revenue stamps for use on checks.
But 1865 was not all roses for Holladay. Railroad ties
were now being laid at an unheard of rate of speed toward
the west by former Civil War soldiers, just mustered out
of service. Holladay's contracts of 1864 were being attacked
in Washington by the railroads for each new large town
their tracks reached into for the first time. The possibility
of having an obsolete, worthless stage line was beginning
to haunt Holladay.
The superiority of the stage coach would have to be
proven beyond all doubt, not only to the public at large
but to the new rival. Holladay and his attorney, Bela M.
Hughes, discussed various possibilities. The plan must be
sensational enough to receive much favorable publicity
and also to be completely convincing.
There evolved only one plan which seemed to satisfy
all these requirements, but a most difficult one to say the
least. This was the making of a transcontinental run from
San Francisco to Atchison in the absolute minimum of
time. How much time could be cut off the seventeen day
schedule for this run then in effect?
Once the decision was made, events happened fast.
Holladay himself would make the run. Every main and
relay station was notified in advance of the record-break-
ing attempt. Preparations to have the best horses, coaches
and personnel held in readiness at all stations was made.
But Holladay was in a hospital with a minor ailment
when word came through that everything was ready. With-
out awaiting his doctor's consent, Holladay left the hospital,
took the ferry from San Francisco across the bay to Oak-
land, climbed into the waiting coach and the transconti-
nental race against time had begun.
Up the Sacramento Valley the stage hurtled forward
from Folsom to Placerville, California. Here the first re-
placement team took over. According to accounts, Holladay
ate only a large sized sandwich while the teams were being
CONTINUED ON NEXT PAGE
VOL. 2, NO. 4
Paper honey PAGE 19
BEN, HOLLADAY ... CON'D FROM PAGE 18
lintlalla ,‘ anti 11:41,e ,). 1;anIc
The only issue of currency with Holladay's
name on it is the $50.00 Certificate of Deposit
note of Holladay & Halsey, Bankers, of Salt
Lake City, Utah Territory. Portrait on this
note is that of Brigham Young, Mormon leader.
As the coach began to climb the narrow ledges and
hairpin turns of the High Sierras the speed was neces-
sarily reduced almost to a walk for much of the way. The
stagecoach king chafed bitterly at this unavoidable slow-
down, but only an experienced driver could have made
even reasonable headway in these treacherous and almost
invisible mountain trails. Finally, the land leveled off and
the arid stretches of Nevada loomed ahead. New drivers
and new teams kept the stage moving now at top speed
every minute at the head man's repeated demands.
Around the great Salt Lake and into the important
home station stop of Salt Lake City rolled the special
coach. Here General P. E. Connor, Commander of the
Army post at Camp Douglas was taken on as a passenger
as far as Denver.
From Fort Bridger on the stage was definitely in "In-
dian Country". Holladay never left the driver's side now,
remaining on top with a loaded carbine in his lap. At
one of the first relay stations beyond the Fort, they came
upon the charred ruins of the cabin. The three stock
tenders, all scalped, were lying dead among the ruins.
The horses had disappeared, evidently stolen by the raid-
ers. The tired team continued on to the next station, only
to find almost the same condition there. The two atten-
dant's bodies were filled with arrows. The buiding was
wrecked and again the horses were gone.
The overworked team continued on at a somewhat
slower pace. One horse finally fell dead in its tracks. A
second died later from a heart seizure. Even the coach
suffered from this extra heavy duty. Coming down a steep
grade, a wheel fell off and the stage turned over on its
side. Fortunately, a spare wheel was carried along.
Limping into Green River, Wyoming Territory, a new
Concord was pressed into service, plus a fresh team, of
course. But not far out of Green River a terrific storm
broke, flooding roads and reducing visibility to zero. There
was nothing to do but wait until early the next day when
the storm lifted.
Across the Wyoming hills the coach rolled at break-
neck speed wherever possible. Through Salt Wells, Sulphur
Springs, Medicine Bow and Big Laramie it sped. A dust
storm slowed the pace down to a walk for awhile. Then the
path turned down into the important stop of Virginia Dale
in Colorado Territory, the place where Jack Slade, the fa-
mous outlaw got his start.
Next was the stop at the big home station in Denver.
Here reporters were lined up, waiting for a statement from
Holladay as to how much ahead of schedule he was. The
latter refused to be quoted, preferring the reporters esti-
mate this for themselves. The Rocky Mountain News be-
lieved him to be five full days ahead of schedule. A big
ham sandwich and a few pickles was Holladay's meal here
and not much more over the usual fifteen minutes was
spent here, despite the importance of the stop. He had
not changed clothes or bathed since the trip began but
this evidently was considered of secondary importance
where a record breaking attempt was being made.
From Denver to the next home station stop at Julesburg
and then downhill onto the plains of Nebraska where break-
neck speed was made. But not far into Nebraska a band
of Sioux Indians came charging out of the brush ready to
attack. Holladay dropped down to the roof of the coach
from which position he put his rifle into effective use.
Instantly the driver had put the whip to the big, fast team
which burst forward at an even greater speed when called
upon for every ounce of speed and power to outdistance
the numerous but smaller Indian ponies. The speed of
these big horses plus a few well placed bullets from Hol-
laday's rifle ended the danger without loss.
This was the last incident of note and the coach fairly
streaked across the plains of Nebraska and then Kansas.
At no time were the horses spared to add every possible
minute to the record breaking performance.
At long last, Atchison, Kansas, the destination point,
could be seen.
"Make it look good," Holladay told the driver, "Lay
on the whip and come in at a dead run." To the cheers
of the waiting crowd, who had been kept informed of his
progress, the team of six black horses roared up in front
of the Overland Stage Co. station at full speed before
being reined to a sudden stop.
CONTINUED ON NEXT PAGE
VOL. 2, NO. 4
BEN, HOLLADAY , CON'D FROM PAGE 19
The Overland Coach Office in Denver, Colorado,
as depicted in HARPER'S WEEKLY of January, 1886.
Kansas State Historical Society
The Overland Stage Line Office in
Denver is shown at the left, above the
Cook & Co., Bankers location, as pic-
tured in HARPER'S WEEKLY in
Holladay fired his rifle in the air, jumped to the ground
and opened up his large expensive gold watch. Studying
it for a moment, he almost shouted, "Twelve days and two
hours!" This was five days faster than any other stage had
gone the distance before.
A great practical and dramatic victory had been won.
Stage coaches could make good time and the Overland
Stage Co. in particular could make the best time of them
all! Let the railroads and rival stage lines took to their
laurels. The feat was the conversational topic from coast
to coast. Holladay recognized the great value of the pub-
licity as his fame plummeted both in this country and
abroad. Mayors vied to present him with the key to their
city. In New York City there was a parade down Fifth
Avenue, as the king of the stage coaches nonchalantly
tossed gold coins about to the cheering crowd.
Despite all the excitement, Holladay kept a wary, anxious
eye on the numerous express companies that were making
inroads into the mining regions of the far west. He could
not hope to cover every mine operation in every State and
this inability gave rise to numerous small competitors.
These small firms were, in turn, often bought up or con-
solidated with others, and soon a network of connecting
routes was established. Chief among these was Wells,
Fargo & Co., which had begun in a small way in. Cali-
fornia not long after the gold rush of 1849. Competition
like this in the express field and from the railroads in the
passenger and mail field was giving Holladay uneasy
A third and more immediate rival was the Butterfield
Overland Dispatch, commonly known as the B. 0. D.,
which was organized early in 1865 and operated in much
of the same territory that the Overland Stage Co. was
But Holladay was able to cope with this situation. His
agents had learned almost to the penny how much the
Butterfield line was losing each month, as well as how
much in loans it had received from Wells, Fargo & Co.,
the American Express Co. and the United States Express
Co. It was an open secret that these firms were keeping
the Butterfield line up financially, very likely to embarass
or even ruin the Overland Stage Co.
Armed with this data, Holladay arranged luncheon
with Edward P. Bray, the main stockholder of the Butter-
field line, in a quiet corner of the famous Delmonico's
Restaurant in New York City in 1865. To Bray's amaze-
ment and consternation, Holladay revealed his intimate
knowledge of the line's financial condition.
Confronted with these facts, together with Holladay's
generous offer to pay off all the Butterfield line debts and
return the original investment in cash, Bray could do no
other than agree to what otherwise would have been a
financial fiasco. Shortly afterward the B. 0. D. ceased op-
erations and the line that was being used as a lever against
Holladay became a lever for him.
In April, 1866, the Overland Stage Line became The
Holladay Overland Mail & Express Co. with this consoli-
dation, which also included new charters to operate in,
Colorado. Actually, very little was changed in the overall
operation, over and above the change of names on coaches,
stations, checks, forms, etc.
CONTINUED ON NEXT PAGE
THS HOLLADAY MIDLAND NAIL & HUMS GO,
( c4i/PK-/ 18/6(
FOR CARRYING C THE
giecei tied A;..124.
spp•rrnt rod a*, I
NARKED_ !C•42!'t AV A 4F4K_---
7 ••1. TS /10111.0. and I. paja, the
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Paper iNane9 PAGE 21VOL. 2, NO. 4
BEN HOLLADAY ...CON'D FROM PAGE 20
A Way Bill from Wells, Fargo & Co, to The
Holladay Overland Mail & Express Co. at Salt
Lake City in 1866.
The Overland Co. Rates and Contracts.
Passenger rates charged varied with the extent of In-
dian depredations in a particular area. The usual charge
varied from 12 1/2c to 15c per mile. The following chart
gives a good index of the rates charged:
RATES FROM ATCHISON, KANS.
1862 1863 1864 1865 1866
To Denver $ '75. $ '75. $125. $175. $175.-$125.
To Salt Lake City 150. 150. 250.- 350. 250.- 225.
To Placerville, Cal. 225. 225. 200. 450.-500.
', In operation only part of a year.
It was not unusual for the Atchison office alone to
take in $2000. from passenger fare in a single day. Al-
though passengers were allowed twenty five pounds of
baggage free with their fare, an additional charge of $1.00
a pound was made for all weight over that amount.
Actually, rates were raised or lowered to whatever the
traffic would bear. The best example of this occurred when
the Overland Stage Co. the California Stage Co. and the
A. J. Oliver & Co. began to provide service between Vir-
ginia City and Helena. A terrific price cutting war resulted.
The latter two companies were too small, however, to con-
tinue this war very long, and were obliged to discontinue
business. Shortly afterward, the Overland Stage Co. raised
its very low fares to higher than they were before the
price cutting began, $25.00 in gold dust, or $37.50 in
green backs, which had the nickname of "Lincoln skins".
A receipt of this California Stage Co., which became the
Oregon Stage Co., operated by Al Guitwitz and Ben Staf-
ford, is illustrated herewith.
Great competition also developed in the letting of mail
service for a stipulated period and route. Perhaps the
largest and most contested of these was the mail contract
to Folsom, California, when the stage line was extended
there for the first time. Holladay's bid of $820,000. was
lower than the Overland Mail Co. bid of $880,000. for a
four year period. But a second company, also organized
for the sole purpose of obtaining mail contracts, was rep-
resented by John A. Heistand and had a low bid of $750,-
A rare draft used as currency when completed, by miners who bring their gold dust into the Holladay office for a more
convenient medium of exchange.
CONTINUED ON NEXT PAGE
111f7- +Its; 6,1/ 1'J ail111Inaral8 afita )
,/,, (ft '6,1111+011y ta.eA,74t
s $S0 s$1.
Paper Iitone9 VOL. 2, NO. 4
BEN. HOLLADAY ... CON'D FROM PAGE 21
000. Having won the contract, Heistand made desperate
last minute attempts to obtain equipment, livestock, etc.
Telegrams flew back and forth between Washington, D. C.,
Heistand and Holladay, each seeking status and clarifi-
cation. Holladay knew Heistand couldn't make good on
the contract and tried to make Washington recognize this
fact. Heistand finally had to forfeit his bid, which then went
to the Overland Stage Co., the next low bidder.
During its lifetime, this company received about $2,000,
000 in mail contracts. It is estimated that this amount
almost covered all operating costs, while the passenger,
express and freighting business produced the profit over
and above expenses.
Receipts from express charges alone often were from
$150,000. to $200,000. a month. But how it was often done
is perhaps best described by C. Aubrey Angelo in his
"Sketches of Travel in Oregon and Idaho," written in 1866.
He wrote, "—the stages driven by experienced and civil
men, and the horseflesh, first rate. I, however, do decidely
enter my protest against the practice of incommoding the
passengers by loading the stages inside, as well as out, with
"fast freight", "express matter" and forage for other sta-
tions. This is a common practice and ought to be discon-
tinued. In our case, we were uncomfortably crowded
together to make room for twenty bushels of oats. Passen-
gers who pay sixty dollars for a three day ride from Walla
Walla to Boise City, expect "stage rights" to be observed."
Usually, the box express packages and other valuables
were placed beneath the driver's seat, while the passenger
baggage was carried in the rear compartment, along with
the mail sacks. An overflow of any type of item carried
meant its being thrown on the floor of the interior of the
coach, free to slide about at the feet of the riders.
One of the competitor companies Holladay forced out of business in a price cutting war was the California Stage Co. Its assets
were bought by the Oregon Stage Co., as this receipt for services rendered will clearly indicate.
The Overland Co. Stage Coaches
Holladay had about 110 coaches in regular service or
in reserve at all times. They were made by the Abbot-
Downing Co. of Concord, N. H., and were about the most
rugged ones available at the $1000. to $1500. per coach
price range. Each weighed about a ton and had a sand
box attached underneath from which sand could be drop-
ped on the long brake sticks in case a quick stop was
necessary. Interiors had large glass lamps, while there
was a side light on each coach on the outside. Wheels
were of solid white oak, with thick "tires" nailed on.
They were braced with iron bands and slung upon thick
leather springs, known as thoroughbraces, giving the
coach a constant side swaying motion. Adjustable leather
curtains which could be fastened down, kept out most,
if not all, the wind, dust, rain or snow. Although early
coaches could accomodate only nine passengers on the
average, later many were built to hold seventeen people.
If passenger loads were light, especially in the short
mining region runs, a "mud-wagon" replaced the Concord
coach after a few miles, much to the disapproval of the
passengers. The mud wagon was a low slung, compact
affair. It was also slung on leather springs, but was without
much protection from the weather and much cheaper
than the Concord coach. The sides were of cloth or canvas
entirely, giving them the appearance of a covered wagon.
But they were very adaptable to narrow, rough mountain
trails, being difficult to overturn because of their low center
Another type of coach used was a double deck omnibus,
such as those used between Denver and the mining region
of Missouri City, Colorado Territory. These were suitable
only for short, heavily traveled daylight trips.
CONTINUED ON NEXT PAGE
VOL. 2, NO. 4
Paper )Honey PAGE 23
BEN, HOLLADAY ...CON'D FROM PAGE 22
Type of stage coach used in the 1860's by the Holladay and other express lines.
The Overland Co. Employees
The main cog in the stage coach operation was the
driver. He had to be a man of many skills. Besides being
an expert with the reins, he had to be a crack shot, an
able repairman in case of breakdown and of strong phys.-
ical endurance to withstand the outdoor rigors of his
post, regardless of the type of weather. One of his other
chores was to grease the coach wheels at every home
station. If this job, which was called "doping" the wheels,
was forgotten, a hot box invariably resulted.
Although the time and length of period of duty varied
with the total length of the run, an average period of duty
ran for six days and nights on the road, in between nine
day rest periods in a given three week period. His pay
averaged from $75. to $100. per month, plus board. And
he was one of the few who had sleeping quarters always
available at every home station.
William Cody, better known as "Buffalo Bill", drove
for Holladay on the Fort Kearney to Plum Creek, Neb-
raska Territory run for awhile, and also on a line in
Dakota Territory for a short time.
Always riding next to the driver was an employee
known as a messenger. In addition to being an assistant
driver and expert rifleman, he acted as conductor to the
passengers, taking care of handling their luggage and mak-
ing any fare arrangements necessary. Most of the time he
rode with a loaded shotgun across his lap, ready for action,
and serving as a constant armed lookout, front, sides and
rear. His period of duty corresponded to that of the driver
but his pay averaged only $61.50 per month, plus board.
CONTINUED ON NEXT PAGE
Paper rneney VOL. 2. NO. 4
BEN HOLLADAY ... CON'D FROM PAGE 23
Unsung heroes of the operation were the stock tenders,
or relay station attendants, who kept their lonely vigil in
the wilderness. Their job was to keep the horses or mules
in top condition, provide for their feedings, and be ready
to make the rapid change of teams when the stage arrived.
In addition to the constant loneliness, these men were
always subject to Indian attacks, and this not infrequently
happened. Their station usually consisted of a two room
log cabin, although in the Snake River Valley run in Idaho
all of Holladay's stations were made of natural lava rock.
Monthly pay for this service varied from $40. to $50. In
mining areas, quite often a man and wife performed this
service on a part time basis.
Artist's version of an early stage
coach attempting to outrun pursuing
Indians, possibly inspired by Holla-
day's similar escapade during his rec-
ord breaking run from California to
Kansas, as shown in HARPER'S
MONTHLY in 1887.
Kansas State Historical Society
Early stage coach trips were often perilous. T. R. Davis
depicted this ride in an 1887 HARPER'S MONTHLY.
Despite the consolidation with the Butterfield line,
no one could see the handwriting on the wall as to the
future of the stage coach better than Ben Holladay himself.
The railroads were far across the western plains and plans
were being made to join the rails from the east and west
in Utah Territory. The big mail contract, due to expire in
1868, was certain to go to the railroads for the first time.
The western express companies to the mines were too
numerous to fight, and even their domain was in jeopardy
from the railroads sooner or later.
Holladay let it be known that he might sell out, but
when an offer was made he ignored it, probably in hopes
of a better offer. The figure was raised until finally Holla-
day capitulated and announced he would accept the
$1,500,000. cash offer of Wells, Fargo & Co., plus $300,000.
in their stock and a directorship as well. The sale was con-
summated late in 1866.
Being still a comparatively young man, Holladay turned
his interests to a silver mine in Nevada. His "Ophir" mine
produced a small fortune in silver, and around his mag-
nificent estate at White Plains, N. Y., the "Ophir Place,"
he was known as the "silver king." Besides this mansion
and the 16-room house in Weston, Missouri, he also had
a home in Washington, D. C. and a brownstone mansion
in New York City.
But Ophir Place was sold at public auction after his
first wife died there. They had two children, Pauline and
His second marriage occurred after his "retirement" to
the Pacific Coast. Two children were also born of this
marriage—Ben C. and Linda.
He took a venture in the steamship business on the
west coast for awhile. On one occasion, he and a party
including General U. S. Grant, cruised about on one of
his steamers in the Pacific, engaging in a poker game that
lasted four days and four nights.
But Holladay's biggest venture after leaving the stage
coaches, was also his most disastrous. After selling his stock
in Wells, Fargo & Co. and relinquishing his directorship
in that company, he invested his time and money in the
building of the first railroad from Portland, Oregon to
After pouring almost a million dollars in purchasing
right of way and laying tracks, a panic of '73 hit without
warning. Holladay could only default when the bonds he
had sold for financing were presented for payment, because
of an unusual circumstance. He had placed most of his
property in the name of his brother, but when he wanted
it back the brother refused, and won a court suit to keep
it. His last days were spent in comparative poverty. The
same quality that had brought him wealth also brought him
poverty—the refusal to be satisfied with that which he had.
His death in 1887 brought little notice.
And yet, few men have lived more fully, more danger-
ously or more profitably than the king of the stage
CONTINUED ON NEXT PAGE
VOL. 2. NO. 4
BEN, HOLLADAY ... CON'D FROM PAGE 24
The Trading Post
At the annual meeting of the Society of Paper Money
Collectors in Denver, many suggestions were made wherein
the collectors could be best served.
One was to establish a Trading Post section in our
Magazine, at a small cost to the collector, so more interest
in trading currency could be activated. This would cover
all fields of paper money and a meeting will be held soon
tak with the editor to see if something cannot be worked out
along this line. Our Magazine now has a good circulation
dl) and many collectors should be interested in taking a small
0 ad on what they are looking for—sale or trade. You do not
have to be a dealer to do this.
0 A good many collectors at the meeting wanted to
know how they could secure the various Federal Reserve
Notes, both present and future. An effort has been made
CO" with the Treasury Department to make them available in
Washington, like mint sets, but nothing definite has been
decided. In order to get this phase started, I am willing
to act as a coordinator for current U.S. small notes and all
those that are interested please send me your list of wants
ea and the Federal Reserve Notes you can furnish from your
district. The one dollar notes will be out soon and col-
lectors from every Federal Reserve District should be known
as it will assist all collectors.
:44 We hope to work out something similar on Broken
Bank Notes, Foreign Notes, State Notes and etc. in the
I would appreciate hearing from those interested and0
those with suggestions. Mail to Thos. C. Bain, 3717 Mar-
quette Drive, Dallas 25, Texas 75225.
Paper Iitene9 VOL. 2, NO. 4
Retirement Of Silver Certificates
By Arthur A. Smith, Vice President and Economist,
First National Bank in Dallas
When silver certificates are retired, a monetary era
will have come to an end in this country. Already the
process of retirements is under way. It began with an
official order to replace $5 and $10 silver certificates with
Federal Reserve notes and continued into the final official
step when on June 4, 1963, the Congress enacted Public
Law 88-36, repealing the silver purchase acts and the
related transfer tax on silver bullion, as well as authorizing
the issuance of $1 and $2 Federal Reserve notes.
A monentary era will have come to an end because
we will no longer have any circulating paper currency with
a specific metallic redemption. Our paper money will con-
sist of (1) Federal Reserve notes which on their obverse
say in fine (very fine) print "This note is legal tender for
all debts public and private and is redeemable in lawful
money at the United States Treasury or at any Federal
Reserve Bank" and (2) a relatively small amount of
United States Notes (a carry-over from the Civil War
period) which simply are promises of the United States to
pay dollars. If you try to redeem a Federal Reserve Note in
"lawful money" or a United States note in dollars, you may
get other money just like it. There is no assurance that you
will get 371.25 grains of pure silver for each dollar or any
silver at all. You can be sure that you will get no gold.
Demise of silver certificates will not be sudden. We will
see them around for a while. The Treasury has indicated
that they will be retired gradually, perhaps over a period
of as long as ten years. But circumstances might bring
about their retirement much sooner. One very important
development conceivably could hasten the process; namely,
a rise in the market price of silver resulting from continued
demand for the metal exceeding new production.
Careful reading of Section 2 of the Act of June 4, 1963,
will indicate how the process of retirement could be hast-
"The Secretary of the Treasury shall maintain the
ownership and the possession or control within the
United States of an amount of silver of a monetary
value equal to the face amount of all outstanding silver
certificates. Unless the market price of silver exceeds
its monetary value, the Secretary of the Treasury shall
not dispose of any silver held or owned by the United
States in excess of that required to be held in reserves
against outstanding silver certificates, but any such
excess silver may be sold to other departments and
agencies of the Government or used for the coinage
of standard silver dollars and subsidiary silver coins.
Silver certificates shall be exchangeable on demand at
the Treasury of the United States for silver dollars, or
at the option of the Secretary of the Treasury, at such
places as he may designate, for silver bullion of a mone-
tary value equal to the face amount of the certificates."
The law seems quite clear that (1) the Secretary of the
Treasury cannot sell silver at less than $1.2929 per ounce
(incidentally, the legal monetary or mint value of silver
since the first coinage act of 1792), but he can sell it at
any price above that figure and (2) holders of silver cer-
tificates can demand and get silver dollars or silver bullion
at an exchange of 371.25 grains of pure silver per dollar
of silver certificates.
Recently an industrial user of silver did present to the
Treasury via Federal Reserve Bank channels a request for
a large amount of silver and got it under the law. Now he
did not first obtain a sum of silver certificates and present
them physically, but he could have. The only thing the
Treasury insisted upon was the submission of an equiva-
lent amount of silver certificates for retirement, a step
easily handled through the Federal Reserve.
Secretary Dillon has said that one reason for elimin-
ating silver certificates was to assure the Government of
enough silver for the coinage of subsidiary coins. This
poses no very serious problem because substitution of Fed-
eral Reserve notes for the $5 and $10 silver certificates plus
any retirement of $1 silver certificates the Treasury cares
to make at any time on its own account would easily afford
plenty of silver for subsidiary coinage. Then, let's face it,
since all our money is going to be irredeemable anyway,
why continue to mint coins 90% of whose weight is pure
silver? Why not 50%? Or 25? Or why any silver at all?
Who's kidding whom?
Some indication of the extent to which silver certificates
have been reduced already may be had from the Circula-
tion Statement of United States Money issued by the
Treasury. On September 30, 1963, silver certificates of all
denominations in circulation amounted to $1,815,534,490
compared with $1,942,956,663 on September 30, 1962, or a
reduction of $172,422,173. The following table shows dis-
tribution by denominations:
Denomination September 30, 1963 September 30, 1962
$ 1 $1,569,534,443 $1,512,359,546
2 1,404,772 1,405,262
5 203,983,570 382,612,645
10 40,143,565 46,050,990
20 323,190 323,220
50 78,950 79,000
100 50,000 50,000
500 7,000 7,000
1,000 9,000 9,000
Collectors will readily observe in the above figures some
denominations long since unseen in circulation (2, 20, 50,
100, 500, 1,000). The Treasury reports that about $15 mil-
lion worth of silver certificates outstanding were issued prior
to July, 1929, when the small size notes were first printed—
really not such a large quantity considering the number
that may be destroyed, or lost, or in the hands of collec-
CONTINUED ON NEXT PAGE
VOL. 2, NO. 4 Paper 1itefte9 PAGE 27
RETIREMENT OF SILVER CERTIFICATES
CON'D FROM PAGE 26
Space does not permit a lengthy account of the history
of silver certificates—how they came to be in the first
place—but a brief summary might suffice here.
Their origin is traceable to a set of circumstances affect-
ing the market price of silver, chief of which were (1)
demonetization of silver in Europe in the early 1870's and
(2) the discovery of big, rich silver mines in Nevada (the
Comstock Lode, the Belcher Bonanza, the Chollar-Potosi,
and the Hale and Norcross Bonanza), the production from
which began to dump very large quantities of silver on the
market in the 1870's. When silver producers sought to have
their silver coined at the U.S. Mint, they found that the
Coinage Act of 1873 had dropped the free coinage of the
standard silver dollar (the famous Crime of '73) and the
Act of 1853 had provided for the coinage of subsidiary
silver coins on government account only and at about 7%
reduction in pure silver content.
So, for the first time since our coinage system was set
up in 1792, there was no free coinage of silver. Obviously
this did not set well with silver producers, and little won-
der they called the Act of 1873 a crime because it shut off
one source of demand for silver and at the same time
removed a legal price floor. De facto the Act of 1873 put
an end to the bimetallic standard provided by our first
coinage act, but which had not operated very well most
of the time anyway.
Legally the United States abandoned bimetallism in
1900 when gold was adopted as the single standard, bring-
ing to an end one of the most colorful political periods in
our history. Roughly the period dates from the close of the
Civil War to the turn of the century, but climaxed in the
Presidential Election of 1896—the celebrated "free-silver"
The "free-silver" demands were part of the broader
cheap-money movement which first found expression in
the "Greenback movement" that sought to prevent the
resumption of specie payments and to increase the amount
of fiat paper money in circulation. With the sharp decline
in the market price of silver the world over, the cheap-
money advocates found a new and powerful group of allies
in the silver interests, and the issue shifted from more
paper money to more silver money which would accom-
plish the same end, namely, cheap money.
The contest over cheap v. sound money, as it was often
referred to, especially by the opponents of cheap money,
was a bitter fight, indeed—one which cut across party
lines to a considerable extent and tended to become sec-
tional with the agricultural mid-west and south, hungry
for higher prices for their produce, being strong for cheap
money and the financial and industrial northeast the
center of powerful opposition.
Agitation to restore the free coinage privilege to silver
grew rapidly in the years immediately after 1873. Several
bills to that end were defeated either in Congress or by
Presidential veto. Then came the Bland-Allison bill, a com-
promise enacted in 1878, which did not provide for the
restoration of the free coinage of silver, as Congressman
Bland proposed in his bill, but for the coinage on govern-
ment account of not less than 2 million or more than
4 million standard silver dollars monthly, and leaving
them full legal tender. The bill was passed over President
Hayes' veto by a wide majority.
For purposes here it is important to note that the Act
of 1878 provided that these silver dollars might be deposited
with the Treasury and silver certificates in denominations
from $10 to $1,000 be issued for them. These were the
first silver certificates "and had on their obverse the words
"Certificates of Deposit." These were not endowed with
full legal tender power, but were made receivable for all
Except in the West, silver dollars have never been
accepted willingly by the general public as a circulating
medium, principally because of weight. So silver dollars
coined under the Bland-Allison Act just piled up in the
Treasury, and the certificates (Series of 1878 and Series
of 1880—Fr. 73, 76, 79, 81, 83, 84) were in too large
denominations to have much circulation. As a result, Sec-
retary of the Treasury Manning in an effort to force
silver currency into trade forbade any further issuance of
United States notes (Greenbacks) in denominations less
than $5, then asked and received from Congress legislation
(Act of June 30, 1886) which called for the issuance of
silver certificates in denominations of $1, $2, and $5.
(These are Fr. 59, 64, and 68—all Series of 1886.)
The original intention behind the silver certificates
was to make them representative of actual silver dollars
lodged with the Treasury. All of the eight series of large
size certificates and the small size before Series 1934 stated
on their obverse that the certificates were payable in a
specified number of silver dollars, meaning that they were
redeemable in coin, not bullion. As a consequence, no more
silver certificates were issued than silver dollars held by the
Treasury. But beginning with Series 1934 (Fr. 188-c) the
wording was changed and stated: "This certifies that
there has been deposited in the Treasury of the United
States one dollar in silver payable to the bearer on de-
mand," as in the case of the $1 denomination, and cor-
respondingly for the other denominations. The effect of
this change was to allow the issuance of silver certificates
without the necessity of coining silver dollars, which
accounts for the fact that after 1934 there were so many
more units of silver certificates in circulation than actual
number of silver dollars in existence. Bullion now serves as
Although there is much more to the history of silver
certificates, suffice it to say that we have had them since
1878 and the $1 silver certificate can claim the role of the
great work-horse of our currency. Some of the large-size
series were the most beautiful paper currency ever issued.
Obsolete and Broken Bank Notes
Canadian Obsolete Notes
Colonial and Continental Notes
of Southern Colonies
• Uncut Sheets
• Or ... What Have You?
B. M. Douglas
402 Twelfth St. N. W. Washington 4, D. C.
Buy or Trade
Colonial, Broken Bank,
State, County, Town
Notes and Bonds
Charles J. Affleck
34 Peyton Street Winchester, Virginia
Can Always Use
Large U.S. Currency,
$1.00, $2.00, $5.00 & $10.00
Write what you have in whole-
sale lots, any amount V.G.F. or
633 Bixel St.,
Los Angeles 17
• Obsolete and Broken Bank Notes
• Uncut Sheets
• U.S. Fractional Currency
• Foreign, Current and Obsolete of
• Foreign Coins of The World
1122 Truman Road
Kansas City 6, Missouri, U.S.A.
2195 I 1
S P M C Library
TWO BEAUTIFUL COLLECTIONS
UNITED STATES CURRENCY
LARGE, SMALL AND FRACTIONALS
SEND YOUR WANT LIST. I MIGHT HAVE THOSE NUMBERS
YOU HAVE BEEN UNABLE TO FIND. WATCH FULL PAGE
ANNOUNCEMENT, EVERY MONTH, IN THE "NUMISMATIST"
FOR CURRENT SPECIAL OFFERINGS.
WHILE PRESENT SUPPLY LASTS!
Set of two 1935A Silver Certificates FR1412-1413 with "R" and "S" in red,
indicating regular or special paper. Getting scarce in new condition—
1929 NATIONAL CURRENCY
On A Limited Number of States of My Selection.
FR1425 5.00 (Catalog 22.50) Uncirculated $15.00
FR1426 10.00 (Catalog 30.00) Uncirculated $20.00
FR1427 20.00 (Catalog 47.50) Uncirculated $30.00
REMEMBER! Any currency purchased from me may be applied
toward the purchase price of any other numismatic item adver-
tised by me, at FULL PURCHASE PRICE, if in the same con-
dition as when purchased. For your protection, all serial num-
bers are recorded.
IF YOU HAVE NICE CURRENCY TO SELL, I AM INTERESTED.
PLEASE PRICE AND DESCRIBE. DO NOT ASK FOR BIDS!
William P. Donlon
UNITED STATES CURRENCY
P.N.G. No. 70
A.N.A. #4295 P.O. BOX 144
Life Member #101
UTICA, NEW YORK