Paper Money - Vol. XLIII, No. 1 - Whole No. 229 - January - February 2004

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PER MO flEY Official Journal of the Society of Paper Money Collectors VOL. XLIII, No. 1 WHOLE No. 229 JANUARY/FEBRUARY 2004 WWW.SPMC.ORG OBSOLETE NOTES NEVER Go OUT OF STYLE!!! PAPER MONEY'S FIRST EVER OBSOLETE NOTE SPECIAL ISSUE Oil painting on canvas (circa 1830s-1840s), 29 x 36 inches , depicting a New England manufacturer sitting at desk signing a stack of uncut sheets of bank notes. His five-story factory (probably a textile mill) is seen outside the window at right. The sheets show one- and two-dollar denominations. (Courtesy of Rex Stark) SPMC 6000 /I RE-BUILDING A GREAT SOCIETY FOR A NEW CENTURY" TM Antique Stocks and Bonds; U.S. Coins; Paper Money. STEPHEN GOLDSMITH Executive Vice President, RM. Smythe & Co., Inc. BA, Brooklyn College. Contributor to Paper Money of the United States, Collecting U.S. Obsolete Currency Financial History and Smart Money. Editor, An illustrated Catalogue of Early North American Advertising Notes; Past President and Board Member, Professional Currency Dealers Association. Member: PCDA, ANA, SPMC, IBSS, New England Appraisers Association. US. Coins and Medals. JAY ERLICHMAN Contributor to A Guide Book of U.S. Coins and A Guide Book of British Coins. Assembled and managed investment portfolios of U.S. coins. Employed by the Federal Trade Commission as an expert witness on consumer fraud. Member: ANA, PCGS, NGC. Ancient Coins and Medals. DAVID VAGI BA, University of Missouri—Columbia. Author of Coinage and History of the Roman Empire; columnist for The Celator; Numismatic News, and World Coin News. Editor of the Journal for the Society for Ancient Numismatics; twice received the Numismatic Literary Guild's "Best Column" award. A recipient of the American Numismatic Association's Heath Literary Award and the Presidential Award. Member: ANA, ANS. ESTABLISHED 1880 We buy sell, and auction the very best in Antique Stocks and Bonds, Autographs. Banknotes, Coins, Historic Americana, and Vintage Photography 2 Rector Street, 12th Floor, New York, NY 10006-1844 TEL: 212-943-1880 TOLL FREE: 800-622-1880 FAX: 212-312-6370 E-MAIL: info@smytheonline.com INTERNET: smytheonline corn --. f.alloV. E1'1stStephen Goldsmith Scott Lindquist Our Outstanding Team of Experts Can Help You Get the Most for Your Collection You've spent years putting together an outstanding collection, and now you are ready to sell. Will the people who handle the disposition of your collection know as much about it as you do? They will at Smythe! Autographs; Manuscripts; Photographs; International Stocks and Bonds. DIANA HERZOG President, R.M. Smythe & Co., Inc. BA, University of London; MA, New York University— Institute of Fine Arts. Former Secretary, Bond and Share Society; Past President, Manuscript Society; Editorial Board, Financial History. Board Member: PADA. U.S. Federal National Currency; U.S. Fractional Currency; Small Size U.S. Currency; U.S. MPC. MARTIN GENGERKE Author of U.S. Paper Money 4 Records and American Numismatic Auctions as well as numerous articles in Paper Money Magazine, the Essay ProofJournaZ Bank Note Reporter and Financial History. Winner of the only award bestowed by the Numismatic Literary Guild for excellence in cataloging, and the 1999 Presidents Medal from the American Numismatic Association. Member: ANA, SPMC. Small Size U.S. Currency; Canadian Banknote Issues; U.S. Coins. SCOTT L I N DQU I ST BA, Minot State University, Business Administration/Management. Contributor to the Standard Guide to Small Size U.S. Paper Money er U.S. Paper Money Records. Professional Numismatist and sole proprietor of The Coin Cellar for 16 years. Life Member: ANA, CSNS. Member: PCDA, FCCB, SPMC. Auction Calendar November 6th, 2003: Autographs — New York City December 2nd, 2003: Coins, Paper Money—New York City February 6-7th, 2004: Stocks and Bonds — Strasburg, PA March 2nd, 2004: Coins — New York City May 2004: Autographs — New York City July 24th, 2004: Coins, Paper Money, Stocks & Bonds—New York City Why do so many collectors and major dealers consign to Smythe's Auctions? • Competitive commission rates • Cash advances available • Expert staff of numismatic specialists • Thoroughly researched • Flexible terms and beautifully illustrated • Record breaking prices catalogues TERMS AND CONDITIONS PAPER MONEY is published every other month beginning in January by the Society of Paper Money Collectors (SPMC). Second-class postage is paid at Dover, DE 19901. Postmaster send address changes to Secretary Robert Schreiner, P.O. Box 2331, Chapel Hill, NC 27515-2331 0 Society of Paper Money Collectors, Inc., 2004. All rights reserved. Reproduction of any article, in whole or in part, without express written permis- sion, is prohibited. Individual copies of this issue of PAPER MONEY are available from the Secretary for $6 postpaid. Send changes of address, inquiries concerning non-delivery, and requests for additional copies of this issue to the Secretary. MANUSCRIPTS Manuscripts not under consideration elsewhere and publications for review should be sent to the Editor. Accepted manuscripts will be published as soon as possible; however, publication in a spe- cific issue cannot be guaranteed. Include an SASE for acknowledgment, if desired. Opinions expressed by authors do not necessarily reflect those of the SPMC. Manuscripts should be typed (one side of paper only), double-spaced with at least 1-inch margins. The author's name, address and telephone num- ber should appear on the first page. Authors should retain a copy for their records. Authors are encouraged to submit a copy on a 3 1/2-inch MAC disk, identified with the name and version of software used. A double-spaced printout must accompany the disk. Authors may also transmit articles via e-mail to the Editor at the SPMC web site (fred@spmc.org). Original illustrations are preferred. Scans should be grayscale at 300 dpi. Jpegs are preferred. Inquire about other formats. ADVERTISING • All advertising copy and correspondence should be sent to the Editor • All advertising is payable in advance • Ads are accepted on a "Good Faith" basis • Terms are "Until Forbid" • Ads are Run of Press (ROP) • Limited Premium Space Available To keep rates at a minimum, all advertising must be prepaid according to the schedule below. In exceptional cases where special artwork or addi- tional production is required, the advertiser will be notified and billed accordingly. Rates are not commissionable; proofs are not supplied. Advertising Deadline: Copy must be received by the Editor no later than the first day of the month preceding the cover date of the issue (for exam- ple, Feb. 1 for the March/April issue). With advance approval, camera-ready copy, or elec- tronic ads in Quark Express on a MAC zip disk or CD with fonts supplied, may be accepted up to 10 days later. ADVERTISING RATES Space 1 time 3 times 6 times Outside back cover $500 $1350 $2500 Inside cover 400 1100 2000 Full page 360 1000 1800 Half page 180 500 900 Quarter page 90 250 450 Eighth page 45 125 225 Requirements: Full page, 42 x 57 picas; half-page may be either vertical or horizontal in format. Single-column width, 20 picas. Except covers, page position may be requested, but not guaran- teed. All screens should be 150 line or 300 dpi. Advertising copy shall be restricted to paper cur- rency, allied numismatic material, publications, and related accessories. The SPMC does not guar- antee advertisements, but accepts copy in good faith, reserving the right to reject objectionable material or edit copy. SPMC assumes no financial responsibility for typographical errors in ads, but agrees to reprint that portion of an ad in which a typographical error occurs upon prompt notification. • PAPER MONEY • January/February 2004 • Whole No. 229 Paper Money Official Bimonthly Publication of The Society of Paper Money Collectors, Inc. Vol. XLIII, No. 1 Whole No. 229 JANUARY/FEBRUARY 2004 ISSN 0031-1162 FRED L. REED III, Editor, P.O. Box 793941, Dallas, TX 75379 Visit the SPMC web site: www.spmc.org IN THIS ISSUE FEATURES Bank Note Portraiture: The Ohio Experience 3 By Wendell Wolka About the Cover: "Man Signing Bank Notes" 4 Owned by Rex Stark A Private Recognition 28 By David Gladfelter The "Broke" in Broken Bank 31 By Howard L. Cohen J.H. Sullivan Prospers from His Education 32 By Jeff Sullivan Another Way to Collect Obsolete Notes 38 By Steve Whitfield Some Unusual Fraudulent Obsolete Paper Money 48 By Bob Schreiner Additions to Alabama Obsolete Notes & Scrip 54 Submitted by Bob Cochran WW I Liberty Theaters Smileage Books 60 By Forrest W. Daniel Two Notes, One Signature 62 By Bob Schreiner Mascerated Currency Follow - up: Shredding Popular 64 By Leslie Deerderf On this Date in Paper Money History 65, 67 By Fred Reed At Last: A Few Unreported Pennsylvania Notes 66 By Steve Whitfield with Apologies to William B. Warden Jr. Where Are They Now?. 76 By Steve Whitfield SOCIETY NEWS Guy Kraus' Mississipppi Wismer book joins distinguished series 27 Fricke monograph provides up-to-date Confederate pricing info 43 Friedberg autographs monumental Fractional Currency work 46 New compendium makes good sense out of small notes 59 President's Column 72 By Ron Horstman Part 6: More Additions to A Catalog of SPMC Memorabilia 75 SPMC Librarian's Notes 78 By Bob Schreiner Editor's Notebook 78 SOCIETY OF PAPER MONEY COLLECTORS INC. 2 January/February 2004 • Whole No. 229 • PAPER MONEY Society of Paper Money Collectors The Society of Paper Money Collectors (SPMC) was orga- nized in 1961 and incorporated in 1964 as a non-profit organiza- tion under the laws of the District of Columbia. It is affiliat- ed with the American Numismatic Association. The annual SPMC meeting is held in June at the Memphis IPMS (International Paper Money Show). Up-to-date information about the SPMC and its activities can be found on its Internet web site www.spmc.org . MEMBERSHIP—REGULAR and LIFE. Applicants must be at least 18 years of age and of good moral character. Members of the ANA or other recognized numismatic societies are eligible for member- ship; other applicants should be sponsored by an SPMC member or provide suitable references. MEMBERSHIP—JUNIOR. Applicants for Junior membership must be from 12 to 18 years of age and of good moral character. Their application must be signed by a parent or guardian. Junior mem- bership numbers will be preceded by the letter "j," which will be removed upon notification to the Secretary that the member has reached 18 years of age. Junior members are not eligible to hold office or vote. DUES—Annual dues are $30. Members in Canada and Mexico should add $5 to cover postage; members throughout the rest of the world add $10. Life membership — payable in installments within one year is $600, $700 for Canada and Mexico, and $800 elsewhere. The Society has dispensed with issuing annual mem- bership cards, but paid up members may obtain one from the Secretary for an SASE (self-addressed, stamped envelope). Members who join the Society prior to October 1 receive the magazines already issued in the year in which they join as avail- able. Members who join after October 1 will have their dues paid through December of the following year; they also receive, as a bonus, a copy of the magazine issued in November of the year in which they joined. Dues renewals appear in the Sept/Oct Paper Money. Checks should be sent to the Society Secretary. OFFICERS ELECTED OFFICERS: PRESIDENT Ronald L. Horstman, 5010 Timber Ln., Gerald, MO 63037 VICE-PRESIDENT Benny Bolin, 5510 Bolin Rd., Allen, TX 75002 SECRETARY Robert Schreiner, P.O. Box 2331, Chapel Hill, NC 27515-2331 TREASURER Mark Anderson, 335 Court St., Suite 149, Brooklyn, NY 11231 BOARD OF GOVERNORS: Mark Anderson, 335 Court St., Suite 149, Brooklyn, NY 11231 Benny J. Bolin, 5510 Bolin Rd., Allen, TX 75002 Bob Cochran, P.O. Box 1085, Florissant, MO 63031 Gene Hessler, P.O. Box 31144, Cincinnati, OH 45231 Ronald L. Horstman, 5010 Timber Ln., Gerald, MO 63037 Arri "AJ" Jacob, P.O. Box 1649, Minden, NV 89423-1649 Tom Minerley, P.O. Box 7155, Albany, N.Y. 12224-0155 Judith Murphy, P.O. Box 24056, Winston-Salem, NC 27114 Fred L. Reed III, P.O. Box 793941, Dallas, TX 75379-3941 Robert Schreiner, P.O. Box 2331, Chapel Hill, NC 27515 Steven K. Whitfield, 879 Stillwater Ct., Weston, FL 33327 Wendell Wolka, P.O. Box 1211, Greenwood,IN 46142 APPOINTEES: PUBLISHER-EDITOR Fred L. Reed III, P.O. Box 793941, Dallas, TX 75379-3941 CONTRIBUTING EDITOR Gene Hessler, P.O. Box 31144, Cincinnati, OH 45231 ADVERTISING MANAGER Wendell A. Wolka, P.O. Box 1211, Greenwood, IN 46142 LEGAL COUNSEL Robert J. Galiette, 3 Teal Ln., Essex, CT 06426 LIBRARIAN Robert Schreiner, P.O. Box 2331, Chapel Hill, NC 27515-2331 MEMBERSHIP DIRECTOR Frank Clark, P.O. Box 117060, Carrollton, TX 75011-7060 PAST PRESIDENT Frank Clark, P.O. Box 117060, Carrollton, TX 75011-7060 1929 NATIONALS PROJECT COORDINATOR Arri "AJ" Jacob, P.O. Box 1649, Minden, NV 89423-1649 WISMER BOOK PROJECT COORDINATOR Steven K. Whitfield, 879 Stillwater Ct., Weston, FL 33327 BUYING AND SELLING CSA and Obsolete Notes CSA Bonds, Stocks & Financial Items 60-Page Catalog for $5.00 Refundable with Order ANA-LM SCNA PCDA CHARTER MBR HUGH SHULL P.O. Box 761, Camden, SC 29020 (803) 432-8500 FAX (803) 432-9958 SPMC LM 6 BRNA FUN PAPER MONEY • January/February 2004 • Whole No. 229 3 Bank Note Portraiture: The Ohio Experience Bu Wendell Wolka Background ORTRAITS HAVE BEEN ON PAPER MONEY SINCE THE early decades of the nineteenth century. They have served as both a counterfeit deterrent and as a way to instill confidence in the institu- tions issuing paper money, with their success in the former role often greater than in the latter! Notes issued in Ohio, particularly after 1845, made widespread use of portraits of famous (and not so famous) Ohioans. The pur- pose of this article is to identify many of these gentlemen whose fame has faded to such an extent in the last one hundred and sixty years that they are no longer known to us today. Why Portraits? Portraits are said to be the most difficult thing on a bank note to engrave. All the subtleties of the human face create both a challenge and a deterrent. Most counterfeit detectors of the mid-1800s always instructed readers to exam- ine the portraits on a bank note suspected of being a counterfeit. Why? Because counterfeiters had a devil of a time getting things like eyes, facial fea- tures, and hair to look right. Eyes, for example, often came out looking like lumps of coal on counterfeit notes. Many portraits were placed in oval frames and even the backgrounds of these oval portrait frames tripped up counterfeit- ers. The genuine backgrounds were usually composed of hundreds of finely crosshatched lines while the counterfeit backgrounds tended to be a muddle. So, bankers concerned about potential counterfeiting often opted for more expensive deterrents such as portraits as a means of staying one step ahead of those producing "the queer," as counterfeit money was often called in those days. 4 January/February 2004 • Whole No. 229 • PAPER MONEY About the Cover: `Man Signing Bank Notes' Owned by Rex Stark GARDNER, MA DEALER REX STARK ISnot a currency dealer per se, but he is famil- iar to many Paper Money readers since his wares (typically political & advertising items, tokens, paper ephemera and similar antiques) frequently are of adjunct interest to readers of this maga- zine. About a year ago, Rex advertised the old oil painting (left) in his Catalog #50, catching the Editor's eye. Rex consented to let us use it on the cover of the Obsolete Currency Special Issue we were developing at the time. The style is primitive. The man is clad in business dress of the time, black with a high starched detachable collar, white shirt, vest and dark wool coat. The wall is brown. The desk is green. The sky is bluish. Rex calls this anonymous portrait Man Signing Banknotes, although he might be signing corporate scrip or treasury notes. A "quick" thumb-through the Haxby volumes failed to locate notes similar to those in the painting, but since such portraits were meant to be realistic the painter probably had real note sheets as models. The sheets show one- and two-dollar denominations, but the details don't allow identi- fication. We'd like to know what they were, and closeup details are also shown. Reader input is solicited to solve this enigma. Stark may be reached at PO Box 1029, Gardner MA 01440. + PAPER MONEY • January/February 2004 • Whole No. 229 5 The Ohio Experience The year 1845 was a watershed year for banking in Ohio because most of the old banks' charters had expired in 1843 and 1844, leaving only eight legally chartered banks in the state in 1844 (along with a number of "not-quite-so- legal" banks and other issuers). After state elections in 1844 swept the Whig Party into power, the state legislature wasted no time in 1845 passing the "General Banking Act of 1845" also known as the "Kelley Bank Act" (named after Alfred Kelley, the bill's Senate floor manager) on February 24, 1845. This Act established two different classes of banks. The first was the State Bank of Ohio (in spite of its name, a non-state sponsored institution) and the second was a class of banks called "Independent" Banks. In 1851, a third class of banks, the so-called "Free" or "Ohio State Stock" Banks was authorized by an act of the legislature. These three classes of banks served most of the needs of the state of Ohio until the advent of National Banks in 1863. Each of the three classes of banks made extensive use of portraits on their bank notes. We will now take a look at how portraits were used by these three differ- ent types of banks. The State Bank of Ohio The State Bank of Ohio was a banking network composed of 41 branches spread across the state. The circulation was protected by a safety fund made up of contributions from all of the branches equal to a small percentage of their circulation which was then invested in conservative monetary instruments such as bonds. The interest on these bonds was paid to the branches. If a branch failed, the other branches were mutually responsible for redeeming the circula- tion. As a result of these safeguards, not one note holder ever lost a cent throughout the history of the bank which came to a close when its charter expired in 1866. The branches were governed by a Board of Control, composed of repre- sentatives from each branch and an Executive Committee ran the day-to-day operations of the bank when the Board of Control was not in session. The Board of Control was responsible for ordering notes for the branches. The first series of notes, which appeared soon after the State Bank of Ohio's opening in 1845, did not make use of portraits of Ohioans. The notes featured portraits of national heroes such as Washington, Franklin, Harrison, John Marshall, and DeWitt Clinton. Since the bank was wildly successful almost from the day it opened, the counterfeiters were not far behind and with- in a few years it became obvious that the Bank needed to issue new notes and withdraw the old series. Figure 1. This $20 issue from 1846 featured Chief Justice of the U.S. Supreme Court John Marshall ' Na 2,1 c,44;44. n aragirrr 4.1 - 11',110YOL,,,„02451171X atilt:506m !-<, .0139 311180V81, 311.10 Itt 1 ne u,a74.1 I k. e Imam .,k,, 1,1kojit ; 113121,213, el, /at& lea in Inknii 1.1,111• bill 1 ^ 4THE PAit l..kFOURCHE Ett (S- ESTABLISHED 1880WS HER 6 January/February 2004 • Whole No. 229 • PAPER MONEY What's The Very Best Way To Sell Your Paper Money Collection? You've enjoyed collecting paper money for years, and now you're thinking of selling. You could grade, price, photograph, and describe each item yourself, and publish ads in periodicals. You might send out a fixed price list, or write an auction catalogue and mail it to thousands of potential customers. You could offer the notes online, or try to establish a fair wholesale price and offer everything to your local dealer. In the end, most experienced dealers and collectors choose to consign to a full-set -vice numismatic auction company, or try to get an offer from a buyer whose integrity is beyond reproach. Why do leading collectors and dealers select Smythe? They choose us because they know that there is no substitute for our decades of numismatic experience, our unmatched professional research facilities, our world-class auction catalogues, and our unquestioned reputation for integrity. They choose us mainly because they know that Smythe gets results! Thinking of Consigning? Be Sure to Ask These Important Questions Where will my material be auctioned? Smythe's paper money auctions are held in conjunction with major paper money shows such as the Memphis International, or in the most important numismatic venue in America, New York City. Smythe now has the largest numismatic facility in New York City, featuring our own auction rooms, viewing rooms, conference rooms, and sales gallery. Who will catalogue my paper money? Before you give your material to any auction house, be sure to find out who will catalogue it, and ask for their qualifications. Smythe has a full-time staff of nationally recognized experts including Stephen Goldsmith, Scott Lindquist, Martin Gengerke as well as Caleb Esterline, and our expert consultants, Bruce Hagen and Bruce Smart. When will my collection be auctioned? At shows, we won't sell your lots during convention hours, when dealers who are potential buyers need to be at their own tables. We won't sell your collection at three AM, because we care about our bidders, our consignors, and the well-being of our own staff. What will the commission rates be? Smythe's commission rates are highly competitive. Check with us before you think of going elsewhere. You'll be pleasantly surprised. Are cash advances available? Smythe is always ready to provide instant cash advances on any collection, regardless of size. Are there any hidden charges? No. Smythe will not charge you extra for photography, lotting, or insurance. How soon do I get paid? No one pays faster than Smythe. You will receive your money within 28 business days. Bank wires and early payment plans are available. Find out just how easy it is to consign your collection. Call 800-622-1880 or 212-943-1880 and ask for Stephen Goldsmith, Martin Gengerke, Scott Lindquist or Caleb Esterline, or visit our Website today. What if I want to sell my collection now? Smythe will be happy to make an offer. Call us, and we will help you arrange for fully-insured shipping. If your collection is large enough, we will come to you. Is Smythe is the right company for you? We suggest you visit our Website, smytheonline.com , and see what our many satisfied customers are saying about us. We can also provide you with impeccable institutional references. We look forward to hearing from you, today! 212-943-1880 Toll Free: 800-622-1880 Fax: 212-312-6370 info@stnytheottline.com smytheonline.com We buy, sell and auction the very best in Numismatics: Currency and Coins Autographs, Photographs and Historic American Collectibles 2 Rector Street, 12th Floor Scripophily: Antique Stocks and Bonds New York, NY 10006 d:4r, 1 • ) ) oi .4 It 300 /14. THE STATE OF FLORIDA V WIN = ROSLARS. de4'e -„'"" 10111185111150FAIERICI , Az 792.- MEMBER PAPER MONEY • January/February 2004 • Whole No. 229 7 Where Is the Best Place to Buy Obsolete, CSA, Colonial or Federal Paper Money? If you collect Obsolete, Colonial, CSA, International or Federal Currency, you already know that Smythe is one of the leading numismatic auction companies in America. What many people don't know is that Smythe also sells currency directly to collectors and dealers. We have one of the largest inventories of paper in the country, and a full-time staff of numismatic experts, always ready to help you in any way they can. Smythe offers correctly graded notes for immediate sale through numismatic periodicals, price lists, our online shop, and now, in our brand new sales gallery located in the heart of New York's Financial District. At Smythe, you can buy with absolute confidence. Every item is guaranteed authentic, as long as you own it. Every item is correctly graded, realistically priced, and completely guaranteed. Visit Our Brand New Sales Gallery, Auction Rooms and Offices Smythe's brand new sales gallery is open to the public 9AM - 5PM, weekdays, featuring a choice selection of U.S. and international currency, coins, autographs, numismatic books, and many other items relating to financial history. Come in and see us in person. You'll be glad you did! Speak to Our Leading Experts Our goal at Smythe is to provide the highest level of numismatic service. That means our experts are here to serve you. If you have a numismatic problem, or question, we're here to help. Call, write, send an email, or visit us in person. We would love to hear from you! Visit Us Online Please visit our Website, smytheonline.com , and you will also see hundreds of items for sale, with more being added every day. We also invite you to see what our many satisfied customers are saying about us. See Us at Major Numismatic Conventions In the next few months we will be attending, or have tables at, the following numismatic conventions: Florida United Numismatists, January 8-11 New York International Numismatic Convention, January 15-18 Chicago Paper Money Expo, February 26-29 Central States Numismatic Society, May 6-9 Memphis International Paper Money Show, June 18-20 Attend Our Own Shows and Auctions 17th Annual Strasburg Stock and Bond Auction, February 5-8 • Coins, Paper Money, March Autographs, May • Coins, Paper Money, Stocks and Bonds, July 24th, held in conjunction with the New York Invitational Show, held at the Grand Hyatt, New York City Autographs, Fall 2004 • Paper Money, Stocks and Bonds, June 2005, held in conjunction with the Memphis International Paper Money Show, Memphis, Tennessee 212-943-1880 Toll Free: 800-622-1880 Fax: 212-312-6370 info @,smytheonline.com smytheonline.com CSIIIHMTH ESTABLISHED 1880 We buy, sell and auction the very best in Numismatics: Currency and Coins Autographs. Photographs and Historic American Collectibles 2 Rector Street, 12111 Floor Scripophilr: Antique Stocks and Bonds New York, NY 10006 8 January/February 2004 • Whole No. 229 • PAPER MONEY Accordingly, in 1850, the State Bank of Ohio solicited bids from most of the major bank note companies for all of its business. With 41 branches, the State Bank of Ohio represented a huge contract opportunity and a number of companies responded. The winner of the competition turned out to be Draper, Welsh and Co. of Philadelphia. The year, 1851 was a busy time for both the Bank and Draper, Welsh and Co., with the logistics for designing and producing new bank notes being established. The Bank was pushing for deliv- ery, as it was trying to withdraw the old notes from circulation on an expedited basis. At the same time, Draper, Welsh & Co. had to design completely new $1, $3, $5, and $10 notes from the ground up, and still deliver huge quantities of bank notes to its anxious customer. It was decided to feature well known Ohio figures on the new series of notes. There was an early decision to feature the bank's President, Gustavus Swan, on the $1 denomination: Figure 2. The $1 issue of the State Bank of Ohio featured its first President, Gustavus Swan The Honorable Gustavus Swan was born July 15, 1786, in Sharon, NH. He settled in Columbus, OH in 1812 and was married there on October 14, 1819. Swan was active in both politics and banking, serving as State Representative, Judge of the Court of Common Pleas, State Fund Commissioner, President of the Franklin Bank of Columbus from 1823-1843, and President of the State Bank of Ohio from 1845 until his retirement from the Bank on November 21, 1854. Gustavus Swan passed away on February 6, 1860. There is a rather amusing story connected with Swan which also gives insight into both the process and politics involved in selecting portraits for use on this series of notes. Apparently both the Board of Control and the Executive Committee were given input into the selection of portraits. Based on the following two letters, apparently the Board of Control overruled an ear- lier decision made by the Executive Committee. Both letters are written by Swan, one day apart: Letter of May 23, 1851 To: His Excellency R. Wood, Gov. of Ohio Dear Sir, I have been directed by the Board of Control to ask permission to have placed upon the new notes ordered by the State Bank of Ohio your portrait amongst others of our citizens and if that permission should be granted to request of you the further favor that you would sit for a daguerreotype and forward to this office at your earliest convenience. I hardly need add that any little expenses will be paid by me. I am G. Swan Same to E. Lane J. Burnet /1/\2,111 ---__6001( • 4,1 SER ABOUT VIGNETTES III by ROGER H. DURAND A wealth of information about vignettes, the engravers who created them and the artists who painted the original paintings that were the basis for the vignettes. These miniature works of art are recorded, illustrated and identified by their official titles that were assigned to them by the engraving companies with examples of their use on obso- lete bank notes. This Volume Ill is completely original in its own right, but it's also a necessary companion to Volumes I & II. A refund if you are not satisfied for any reason. $22.95 pp Order from your favorite dealer or from the author: ROGER H. DURAND Re°hot(h8, MA 02769 VOLUMES I & II ARE STILL AVAILABLE @ $22.95 PP EACH. MYLAR D ® CURRENCY HOLDERS PRICED AS FOLLOWS BANK NOTE AND CHECK HOLDERS SIZE INCHES 50 100 500 1000 Fractional 4 3/4 x 3 3/4 $18.50 $33.50 $150.00 $260.00 Colonial 5 1/3 x 3 1 /16 19.00 35.00 160.00 290.00 Small Currency 6 5/8 X 2 7/8 19.50 37.50 165.00 310.00 Large Currency 7 7/8 x 3 1 /3 22.00 41.00 184.00 340.00 Auction 9 x 3 3/4 24.00 44.00 213.00 375.00 Foreign Currency 8 x 5 27.50 50.00 226.00 400.00 Checks 95/8 x 4 1/4 27.50 50.00 226.00 400.00 SHEET HOLDERS SIZE INCHES 10 50 100 250 Obsolete Sheet End Open 8 3/4 x 1 4 1/2 $14.00 $61.00 $100.00 $226.00 National Sheet Side Open 8 1/2 x 17 1 /2 15.00 66.00 110.00 248.00 Stock Certificate End Open 9 1/2 x 12 1 /2 13.50 59.00 94.00 212.00 Map & Bond Size End Open 18 x 24 54.00 235.00 385.00 870.00 You may assort note holders for best price (min. 50 pcs. one size). You may assort sheet holders for best price (min. 5 pcs. one size) (min. 10 pcs. total). SHIPPING IN THE U.S. (PARCEL POST) FREE OF CHARGE Mylar D® is a Registered Trademark of the Dupont Corporation. This also applies to uncoated archival quality Mylaro Type D by the Dupont Corp. or the equivalent material by ICI Industries Corp. Mel i nex Type 516. DENLY'S OF BOSTON P.O. Box 51010, Boston, MA 02205 • 617-482-8477 ORDERS ONLY: 800-HI-DENLY • FAX 617-357-8163 You are invited to visit our web page WWW. kyzivatcurrency.com For the past 5 years we have offered a good selection of conservatively graded, reasonably priced currency for the collector All notes are imaged for your review NATIONAL BANK NOTES LARGE SIZE TYPE NOTES SMALL SIZE TYPE NOTES SMALL SIZE STAR NOTES OBSOLETES CONFEDERATES ERROR NOTES TIM KYZIVAT (708) 784 - 0974 P.O. Box 451 Western Springs, IL 60558 E-mail tkyzivat@kyzivatcurrency.com PCDA, SPMC I Collect FLORIDA Obsolete Currency National Currency State & Territorial Issues Scrip Bonds Ron Benice 4452 Deer Trail Blvd. Sarasota, FL 34238 941 927 8765 Benice@Prodigy.net PAPER MONEY • January/February 2004 • Whole No. 229 9 lr `1) -071 at^ .tivsiluatt;w: /7/7% k7;7; t. FAR R S' BRAN CH. SALE /7.444.47,/ 10 January/February 2004 • Whole No. 229 • PAPER MONEY Figure 3. The $3 note featured two well known judges, Jacob Burnet and Ebenezer Lane. R. Wood, is Reuben Wood, who served as Governor of Ohio from 1850 —1853. Governor Wood was the first Democrat since 1842 to make a success- ful bid for the Governorship and ironically was an advocate of hard money, although not a radical anti-bank man. I am speculating that powers that be at the State Bank of Ohio thought that it would be a good idea to picture Governor Wood on one of the Bank's notes since it suggested, at least, the Governor's tacit support of the Bank. In addition, the letter was also sent to Judge Ebenezer Lane, who sat on the Ohio Supreme Court until 1845 and Judge Jacob Burnet who also sat on the Ohio Supreme Court and served a term in the United States Senate from 1828-1833. If we stopped here, it all seems straightforward enough, doesn't it? Picturing the Governor and two respected jurists on notes was an easy concept to understand. That is until you read the second letter, sent one day later: Letter of May 24, 1851 To: J. Kilgour, W.B. Hubbard, H. Williams Dear Sir, I find upon the record of the last Board of Control a Resolution of which the enclosed is a copy. Not having had an opportunity of hearing the discussions, if any, upon the subject, and finding nothing in the report of the Select court. to aid me in the interpretation, I am led to ask you as a personal favor to withdraw your assent to have your portrait placed upon the new notes. I can hardly suppose that the portraits specially named in the resolution were intended to supersede those agreed upon by the Ex. Comt. and yet the terms employed would rather seem to warrant such inference. I shall be happy to receive a reply. G. Swan Same to W.B. Hubbard And I-I. Williams Obviously President Swan has been blindsided by a change of heart by the Board of Control, overriding the Executive Committee's choices for por- traits to appear on the new notes, and was asking these three gentlemen to withdraw themselves from consideration (which all three apparently did). John Kilgour, William B. Hubbard, and Hosea Williams were all intimately involved in the State Bank of Ohio's operation, and I am again speculating that the Board may have reconsidered these choices based on the perception that it was "taking care of its own" by selecting them to appear on the new note designs. Other subsequent letters and telegrams confirm that these changes were made. The $3 note featured portraits of Judge Jacob Burnet (Left) and Judge Ebenezer Lane (Right). As you will recall from the correspondence just dis- cussed, both of these gentlemen were last minute substitutions. PAPER MONEY • January/February 2004 • Whole No. 229 11 • First new book on Fractional Currency in 25 years. • All the regular issue notes in all 8 grades with the rarity of all the notes. • Four pages in color. • Helpful hints and what to look for. $29.99 & $3.00 S&H ROB KRAVITZ SPMC P.O. Box 303 ANA Life Wilton, CA 95693 Life Member 1-916-687-7219 Member emeataara' atutty,d . ;.6) 7/1(i REE Douns,,„.,/,„„d X NIA 13 RAN CH+ X.ENI VirePres! 11=per Wel,111 &-C? 12 January/February 2004 • Whole No. 229 • PAPER MONEY Figure 4. This woeful counterfeit on the Xenia Branch illustrates how badly portraits could be done. Jacob Burnet was born in Newark, NJ on February 22, 1770, and gradu- ated with honors from Nassau Hall, Princeton in 1791. He was admitted to the bar in 1796 and moved to Cincinnati, where his father had made significant investments. Burnet was appointed to the First Legislative Council (an interim form of pre-statehood government) by President John Adams in 1798. He was married to Rebecca Wallace on January 2, 1800, and had eleven children, five of whom survived him. Jacob Burnet remained an active member of the Council until the organization of state government in the course of 1802-1803. Judge Burnet felt that the statehood movement was premature and retired from politics to focus on the legal profession for a period of nearly ten years, before serving in the state legislature from 1812-1816. Burnet retired from his law practice in 1817, and then served as the first President of the Cincinnati Branch of the (Second) Bank of the United States from 1817 until approximately 1820. In 1821 he was appointed by the Governor to be a Judge on the bench of the Ohio Supreme Court, which seat he held until 1828. In 1828, he was elected to the United States Senate to fill a vacancy occasioned by the resignation of General William H. Harrison. It was understood that he would not stand for re-election and upon the expiration of his term in 1833, he again retired to private life until his death on May 10, 1853, at the age of eighty-three. Ebenezer Lane was born in Northampton, MA on September 17, 1793. He graduated from the University of Cambridge in 1811. After graduation, he began the study of law and began practicing law in 1814. Feeling that there were more opportunities in the West, Lane and his step brother Herman Ely (founder of Elyria, Ohio) journeyed to the wilds of northern Ohio in 1817. After marrying Frances Ann Griswold "back east" the newlyweds returned to Elyria in 1818. In 1819, the family moved to Norwalk, OH where Ebenezer Lane served as the Prosecuting Attorney for Huron County. In 1824, Lane was appointed Judge of Common Pleas of the second circuit. He continued in this office until 1830 when he was appointed to the Ohio Supreme Court. Lane served on the Ohio Supreme Court until he resigned as Chief Justice in February, 1845. Ebenezer Lane then turned his attention to various railroad involvements in Ohio until 1855. From 1855 to 1859, Lane served as counsel and resident director of the Illinois Central Railroad, living in Chicago. After resigning from this position, Judge Lane spent the better part of a year exploring Europe before returning to the United States on April 27, 1860. Judge Ebenezer Lane died on June 12, 1866 and was buried in Sandusky, OH. The $5 note features the portraits of Governor Reuben Wood and Alfred Kelley. As you will recall, Governor Wood was the third of the "last minute substitutes." The portrait of Governor Wood has proven to be troublesome because it is not a perfect match with other portraits of the Governor that are L 0111; A l N iglft AIN IC, E 11;lf FrlhA PAPER MONEY • January/February 2004 • Whole No. 229 13 somewhat contemporary. The attribution is based on documentary evidence in the form of several letters and telegrams that his portrait was used and by the process of elimination. The $5 is the only note he could have appeared on, given that all of the other portraits are clearly correctly attributed based upon comparison with other identified portraits. Governor Reuben Wood served as the Chief Executive of Ohio from 1850 to 1853. He was born in Middletown, VT in 1792. In 1807, he went to Canada to live with an Uncle and was actually drafted into the Canadian army at the outbreak of the War of 1812. He escaped to the United States and served in the U.S. Army until the conclusion of the war when he returned home to Vermont to complete his legal studies. In 1816 he married Mary Rice and moved to Cleveland, OH two years later with his wife, infant daughter, and $1.25 in his pocket. He soon entered politics and served as State Senator from 1825 through 1830. In 1830 he was elected president judge of the court of common pleas for the third judicial district of Ohio. Wood served on the State Supreme Court from 1833 to 1847. A Democrat, Wood was elected Governor of Ohio in 1850, but was effectively limited to a term of one year under the terms of the new State Constitution because it called for the election of officials in odd-numbered years. He was reelected in the fall of 1851 for a second term. Wood was a moderate "hard money" man, although he did not hold radical "anti-bank" views. In 1853, Wood resigned to become the American Counsel to Chile, where he remained until 1855. In that year he returned to Cleveland to prac- tice law. Soon thereafter he retired to farming near Rockport, Ohio until his death on October 1, 1864. Survived by his wife and two daughters, Wood was buried first on his farm and then in Woodlawn Cemetery, Cleveland. Alfred Kelley, the State Senator who was the floor manager for the legis- lation creating the State Bank of Ohio in 1845, was born November 7, 1789, in Middlefield, CT. He came to Ohio in 1810 and became prosecuting attorney for Cuyahoga County. He served as the first President of the village of Cleveland in 1815 and also served as a State Representative and State Senator. He had an early association with banking, serving as the President of the Commercial Bank of Lake Erie in 1816. He also served as the President of sev- eral railroads. Kelley served on the State Canal Commission and became heavily involved in championing the Ohio & Erie Canal starting in 1823. Kelley skill- fully maneuvered legislation so that construction on the canal began in 1825. He personally supervised the work and brought the project in with the lowest cost per mile of any canal of comparable length in the United States or Europe. In 1844, Kelley was elected to the State Senate and turned his attention to Figure 5. The $5 note featured the portraits of Governor Reuben Wood (left) and Alfred Kelly (right). , 17' ,„,7 4, 4,, 'tag tat ommto FRANKLIN BRANCH,COLUMBILJ5 ,■■•■• W,Ish 14 January/February 2004 • Whole No. 229 • PAPER MONEY banking legislation. The resulting General Banking Act of 1845 (also known as the Kelley Bank Act in his honor) established both the State Bank of Ohio as well as Independent Banks. Kelley married Mary Seymour Welles in 1817 and had eleven children, of whom five died in infancy. Alfred Kelley passed away on December 2, 1859, and was buried in Columbus, Ohio. The $10 note featured the portraits of Judge John McLean (left) and Judge Peter Hitchcock (right): Figure 6. The $10 featured portraits of two more well known jurists. Judge John McLean was born March 11, 1785 in Morris County, NJ. The family moved to Virginia and then to Ohio in 1797. McLean worked on the family farm until 1801 when he began the study of languages. In 1803 he went to work at the Clerk's Office of Hamilton County where he was first exposed to the law. In 1807 McLean was admitted to the practice of law and settled in Lebanon, OH. McLean was elected to Congress in 1812 as a Democrat and served in that role until 1816 when he was elected as a Judge on the Ohio Supreme Court. In 1822, he received a Presidential appointment to serve as Commissioner of the General Land Office but only held that office for about a year before becoming Postmaster General on July 1, 1823. He held this post for six years and turned the department around in terms of both finances and service. President Andrew Jackson was so impressed with McLean's abilities that he nominated him to serve on the United States Supreme Court. Judge McLean's nomination was ratified and he served in this position from 1830 until 1861. Judge McLean's name came up several times as a Presidential can- didate between the 1830s and 1860. In 1856, for example, he received 196 votes for President at the Republican National Convention (as compared to Fremont's 359). Judge John McLean passed away in Cincinnati on April 4, 1861, just eight days before the start of the Civil War. Judge Peter Hitchcock was born in Cheshire, CT, on October 19, 1781. He graduated from Yale in 1801 and was admitted to the bar in 1803. He mar- ried Nabby Cook in 1805 and had ten children, two of whom died in infancy and one at the age of fourteen. In 1806, the family moved to Burton, OH. Hitchcock was elected to the Ohio Legislature in 1810 and the State Senate in 1812. He served as Speaker of the Senate from 1815 to1816. He served in the United States Congress from 1816 to 1818, at which time he was nominated as a judge on the Ohio Supreme Court and served in that role until 1832. Hitchcock returned to the State Senate from 1832 to 1835. From 1835 to 1842 it was back to the Ohio Supreme Court. After a three year period in which Hitchcock practiced private law, he returned to the Ohio Supreme Court yet again from 1845 to 1852. Judge Peter Hitchcock also served as a delegate to Ohio's 1850 Constitutional Convention. He passed away on March 4, 1853. /7 4%/,k('i ',maw A:A5FARNIERS' BRANCH ASIITAIESUIL-1%,* crt //' / /.." , /7/ 7 4/ -Q117, Trifoli, ;,11 ;1■ .J SU jiffT,COUNTY BRANCH.CUYAHOGA -n=*:00100757W0141A0010,.. apirt04;w0c0. PAPER MONEY • January/February 2004 • Whole No. 229 15 When the State Bank of Ohio introduced $2 and $20 denominations in 1856, the portraits used were again of national figures, Daniel Webster (on the $2) and Henry Clay (on the $20). However, the next major redesign cycle which started in 1859 returned once again to famous Ohioans. The first denomination to be redesigned was the $10 which featured a portrait of Dr. John Andrews: Dr. John Andrews was born on April 12, 1805, in Steubenville, OH. He studied medicine and was a practicing surgeon and physician for more than 20 years. Due to health problems, Dr Andrews retired from medicine but contin- ued other interests, including banking. When the State Bank of Ohio was formed in 1845, he was one of the largest stockholders of the Jefferson Branch at Steubenville and served as its President. Dr. Andrews became the second President of the State Bank of Ohio upon the retirement of Gustavus Swan on November 21, 1854, and served in that capacity until his death on November 14, 1866. Dr. Andrews also served on the Board of Control and Executive Committee. The $1 note was the next to be completely redesigned by American Bank Note Company in 1860. Hosea Williams, who had been bumped off of the 1851 series notes, was honored by having his portrait placed on the new $1. Due to the volume of $ls issued, Williams' face probably received wider distri- bution than if he had been chosen as originally planned. Figure 7. Issued $10s of this design contain an autograph of John Andrews, whose portrait appears on the right, since all notes of $5 or more were signed by the President. Figure 8. Hosea Williams, once dropped from the final list, finally made it onto a note in 1860. Hosea Williams was born in 1792 in Massachusetts and moved to Delaware, Ohio in 1817. He established a general mercantile business in Delaware in 1819. Williams became an associate judge of the common pleas 71.2ar -/ /7/ 7/%"' ////://(' cOin 1 ERCI L BRA CH. CLEVELAND • woakapporimmaxspi=¢=1111=IIIMIlanlaiuMiacaUnap:IEW" 16 January/February 2004 • Whole No. 229 • PAPER MONEY court and became involved in banking when he was elected President of the Delaware Branch of the State Bank of Ohio in 1845. Judge Williams also served on both the Board of Control and Executive Committee of the State Bank of Ohio until the institution ceased operation. The Delaware Branch converted to a National Bank form of business, becoming the Delaware County National Bank (Charter # 853) on January 10, 1865. Judge Williams assumed the Presidency of this bank, a position he held until his death on February 12, 1876. The $2 note also was extensively redesigned in 1861 and featured por- traits of John Bacon (Left) and William A. Otis (Right): Figure 9. American Bank Note Company completely redesigned the $2 note in 1861. John Bacon was born in Connecticut in 1797 and moved to Springfield, Ohio in 1818. For a number of years he was engaged in the manufacture of harnesses and saddles. The profits from this venture were invested in real estate and the discounting of notes. John Bacon served as the President of the Mad River Valley Branch of the State Bank of Ohio in Springfield and also was a member of both the Board of Control and the Executive Committee. When the State Bank of Ohio wound up its affairs, the branch converted to a national bank form of business, becoming the Mad River National Bank (Charter # 1146) in 1865. John Bacon served as President of the Mad River National Bank until his death in 1870 William A. Otis was born on February 2, 1794, in Massachusetts. He moved to Pittsburgh in 1818, working in the ironworks. In 1820, he moved to Bloomfield, OH, opening a tavern and mercantile business. Otis later turned to shipping commodities such as wool, pork, and wheat to the east coast and for the next twenty years was one of the leading shippers in the area. In 1836, he moved his business to Cleveland where he supported the building of better infrastructure such as roads and rail lines. William Otis was also involved in banking, serving as President of the Commercial Branch of the State Bank of Ohio in Cleveland, the Society for Savings, and the firm of Wick, Otis & Brownell. When the State Bank of Ohio wound down its operations, he served as President of the Commercial National Bank of Cleveland (Charter #807), the Commercial Branch's reincarnation as a National Bank in 1865. Otis also served on the State Bank of Ohio's Board of Control and Executive Committee. William A. Otis passed away on May 11, 1868, in Cleveland. The $3 and $5 notes underwent more minor changes and the portraits utilized in the 1851 series of notes were retained although on the $5, Governor Wood and Alfred Kelley swapped ends of the note. Unlike most of the 1851 series notes, the 1859-1863 redesign cycle relied on State Bank of Ohio "insid- ers" as the subjects for new portraits. All of the late American Bank Note Company produced notes are very rare (with the exception of the $1 which is 17PAPER MONEY • January/February 2004 • Whole No. 229 A comprehensive listing of State, bank, railroad, town, city, private, depresion scrip, and miscellaneous notes on S.C. By Austin M. Sheheen, Jr. • Hard bound • 368 pages • Full color • • Over 1000 notes pictured • • Printed on 80 pound gloss paper • Priced at $45 per copy. Dealers inquires invited. Discounts provided to book dealers for multiple copy orders. Original listing in pamphlet form in 1960. Available in late January. Austin M. Sheheen, Jr. P.O. Box 428 Camden, S.C. 29020 18 January/February 2004 • Whole No. 229 • PAPER MONEY still scarce) because the Branches stopped issuing notes circa 1862-1863 and began winding up their affairs in preparation for their conversion to National Banks in most cases. Independent Banks The General Banking Act of 1845 also created a second class of banks which were, unlike the State Bank of Ohio branch network, stand-alone single location banks. The so-called Independent Banks were supervised by the State Treasurer whose responsibilities included arranging for note design and pro- duction. The circulation of the Independent Banks was secured by bonds of Ohio or the United States which were to be deposited with the Treasurer. Circulation, up to the total value of the bonds so deposited, could be issued. The banks received the interest on the bonds unless the bonds fell below par for four consecutive weeks or they refused to redeem their notes. Failure to redeem notes presented for payment was reason for the Treasurer to close the bank, sell the securities held for the bank, and pay off outstanding circulation with the proceeds. Due to fluctuations in the bond market, there was some loss to the note holders when several of these banks were wound up by the state. Twelve banks were formed under this Act, with only eight surviving to 1860. Like the State Bank of Ohio, the Independent Banks all had charters which expired on May 1, 1866. While a number of banks converted to National Bank forms of business, the percentage was much lower than that of the State Bank of Ohio branches. From a bank note design perspective, the concepts employed for the Independent Bank were somewhat "out of the box" for the time. The bank note companies were to execute standard designs for each denomination for all of the banks, with only minor differences (oval versus rectangular frames around portraits for example) allowed. Thus, to the casual observer, all of the notes of any given denomination were "the same" for all of the Independent Banks. The participating bank note companies did not even do all of the notes for each customer bank. There is documentary evidence that, just like fraction- al currency, one company did the faces of some notes while another did the backs. Since the state was involved in negotiating the business, I suspect that the common designs and printing logistics were a way of containing cost and keeping the bank note companies from getting too powerful. The use of com- mon designs did lead to some problems later when notes of closed or failed Independent Banks were altered to appear to be those of other then-current Independent Banks. As a general rule, the portraits used for Independent Banks were those of former Whig Governors of the State of Ohio. In 1845, the Whigs controlled both houses of the legislature and the Governor, and so it is supposed that they decided to put their heroes on the notes since the Democrats did not have the votes to stop them. There were a few exceptions, some of them with interesting stories which we will look at shortly. The Independent Banks generally issued $1, $3, $5, and $10 notes with only a few issuing $2 notes and, in isolated cases, $20, and $50 notes. The $1 showed not one but two Governors of Ohio. It featured the por- traits of Governors Thomas Worthington (Center) and Duncan McArthur (Right). Governor Thomas Worthington served as the sixth Governor of Ohio from 1814 to 1818. Born in present-day West Virginia in 1773, Worthington was orphaned at the age of seven and had little formal education. After going to sea for two years, he farmed the modest estate he had inherited from his father before moving to Chillicothe, OH in 1798 along with his brother-in- PAPER MONEY • January/February 2004 • Whole No. 229 19 law, Edward Tiffin (First Governor of Ohio), and their families. Worthington was elected to both the first and second Territorial Legislatures and was a member of the 1802 Constitutional Convention leading up to Ohio statehood in 1803. Worthington was elected as one of Ohio's first two United States Senators and served two terms, 1803 to 1807 and 1811 to 1814. In between these two terms he served in the Ohio legislature from 1807 to 1808. In 1814 he was elected Governor and served two terms until 1818. Returning briefly to private life, he served three terms in the state house of representatives between 1821 and 1825. In failing health, he died on a business trip in New York City on June 20, 1827. He is buried in Grandview Cemetery, Chillicothe, OH. He and his wife Eleanor were married in 1796 and had ten children. Governor Duncan McArthur served as the eleventh Governor of Ohio from 1830 to 1832. He was born on January 14, 1772, in Dutchess County, NY. The family moved to western Pennsylvania in 1780. His family was of very modest means and Duncan was hired out to work on a number of nearby farms as a child. As a result he had no formal education. Duncan McArthur spent the next years surveying the frontier and participating in the Indian Wars. McArthur settled with his wife in Chillicothe in 1797. He began buying land and was soon one of the richest men in the area. He became involved in politics and served numerous terms in both houses of the Ohio Legislature between 1804 and 1830. During the War of 1812, he accepted a commission as a brigadier general in the United States army and in 1814 was placed in command of the army in the Northwest. Most portraits of McArthur, including the one used for the $1 note, depict him in uniform. McArthur served as a director of the Chillicothe branch of the Bank of the United States and went to the United States Congress in 1823 as a pro- ponent of a national bank. In 1830 he was elected Governor by a slim margin. Retiring to private life in 1832, his health rapidly declined and he died in Chillicothe on April 29, 1839. Survived by five of his eleven children, he was buried in Grandview Cemetery in Chillicothe. The $2 note was only used by a few of the Independent Banks but carries an interesting insight into how the process worked, via letters written by the Commercial Bank of Cincinnati and the State Treasurer. The $2 is one of the exceptions to the "Governor Portraits" rule which was applied to most of the Independent Bank designs. Other differences in the design from bank to bank also are uncharacteristic of other denominations in the series. The Treasurer apparently was inclined to use the portrait of Thomas Ewing on the $2 and, in fact, it was used on the denomi- Figure 10. The $1 note featured the portraits of Governors Thomas Worthington (Center) and Duncan McArthur (Right). Figure 11. Thomas Ewing was the object of a lengthy exchange between the Treasurer of Ohio and a bank cashier. at", • A SI-OCW Th _roe Dona rs tx...M1,),i1.1 int • 41,14 Nn yr 20 January/February 2004 • Whole No. 229 • PAPER MONEY Figure 12. The $3 note features two former Governors, Tiffin (center) and Morrow (right). nation for other banks. The Cashier of the Commercial Bank of Cincinnati wrote to the State Treasurer on June 14, 1845: ".. With regard to the 2s you mention that you would like to have on them the likenesses of Gov. Vance and Mr. Ewing. Our understanding here was that portraits were to be those of the Ex-Governors, and to this I suppose that even party skins could make no objection — particularly if some of the democratic gov- ernors should be included in the selection. But I should doubt the policy of select- ing the likeness of a politician, who has not been a Governor, and one so conspic- uous, & so obnoxious to his political opponents as Mr. Ewing. It would be giving a party character to the notes which would not be desirable. I would greatly prefer the likeness of Gov. Corwin or if that has been used, any of the Ex Governors. Toppan has made a very fine bust of Corwin. Very Respy James Hall Cas" Mr. Hall seemed to have some very strongly held opinions about Thomas Ewing, a prominent state and national Whig political figure. His wishes regarding the right not to use Ewing's portrait did not extend to the $2 notes issued by other Independent Banks that continued to feature Ewing's portrait. It is not known if the Commercial Bank $2 used Ewing's portrait. All of the other $2s observed also only feature a single portrait rather than the two men- tioned in this letter. It certainly seems that Mr. Hall had a compulsion to do the Treasurer's job as well as his own! Thomas Ewing was born near West Liberty, VA (now West Virginia) on December 28, 1789. The family moved to Ohio in 1792. He graduated from Ohio University and was admitted to the bar in 1816. Thereafter he practiced law in Lancaster, OH until elected to the United States Senate in 1830 as an anti-Jackson Whig. He served from 1831 to 1837. Ewing served as Secretary of the Treasury in 1841 and as Secretary of the Interior from 1849 to 1850. He was appointed to fill a Senate vacancy of some seven months duration in 1851 but failed to win the election for another term. He attended the Peace Convention held in Washington on the eve of the Civil War and was appoint- ed Secretary of War by Andrew Johnson in 1868 although the Senate failed to confirm the appointment. Thomas Ewing died in Lancaster on October 26, 1871, and is buried in St. Mary's Cemetery in that city. The $3 note features the portraits of Governors Edward Tiffin and Jeremiah Morrow as part of a standardized design format. The identification of Morrow's portrait has a slight bit of uncertainty to it due to the other avail- able portrait showing an older Morrow, but the facial features are quite consis- tent. Governor Edward Tiffin, the first Governor of Ohio from 1803 to 1807, was born on June 10, 1766 in Carlisle, England. In 1784, after completing his OBSOLETE CURRENCY IS OUR SPECIALTY 1 1, !/./.14.twrv. 44, am ..." - - - Oittl!nitt 4 0.14intvtil . 7,A ./..../.1;•%! Buying: We want to buy your collection outright or we will sell your notes on eBay for the highest possible price. We will offer each note individually, not in groups or lots, resulting in the best possible prices for your material. Your collection is too important and valuable to sell in lots or at late or inconvenient auction times. Please visit our website or write or call for details. Selling: We sell thousands of notes each year on eBay (www.ebay.com ), under the ID "sellitstore" and through our website at www.sellitstore.com . Please check both sites to see what's currently available. For more information contact Linda or Russell Kaye. Sellitstore Telephone: 845-528- 7481 P.O. Box 635 Emaihsellitstore@optonline.net Shrub Oak, New York 10588 Website: www.sellitstore.com Intaglio and full color Obsolete and Classic U.S. Money Prints by ABNC and the BEP Lee Quasi Tarbli Another way to collect Obsoletes' PO Box 1301 High Ridge, MO 63049 amerisc@tknetonline.com WWW.ameri-showcards.com 314-216-1162 PAPER MONEY • January/February 2004 • Whole No. 229 21 BUYER QUALITY OBSOLETE SELLER NOTES Deuceman ANA, SPMC Store Location PCDA, GNA 375 Northside Dr. E jwmiller11@aol.com Statesboro, GA deucemancurrency.com (912) 489-4461 22 January/February 2004 • Whole No. 229 • PAPER MONEY Figure 13. The $5 denomination featured Governor Thomas Corwin (right). medical training and apprenticeship, he came to America with the rest of his family. Settling in Charles Town, VA (now West Virginia), he began the prac- tice of medicine although still only 17-years-old. He married Mary Worthington, sister of Ohio's eleventh Governor Thomas Worthington, in the late 1780s. He and his family moved to Chillicothe, OH, along with the Worthingtons, in 1798. Tiffin almost immediately became immersed in poli- tics. He served in the territorial house of representatives from 1799 to 1801 and as President of Constitutional Convention in 1802. Worthington was elected governor in 1803 and served in that capacity until 1807. He was elected to the United States Senate and served from 1807 to March, 1809, when he resigned to return home after the death of his wife in July, 1808. He was almost immediately elected to the Ohio House of Representatives where he served two terms as Speaker from 1809 to 1811. In 1812 he was appointed Commissioner of the General Land Office and served in that position until 1814 when he became Surveyor General for the Northwest, a position he held for the next fifteen years, He left this position only weeks before his death on August 9, 1829. He is buried in Grandview Cemetery in Chillicothe. Governor Jeremiah Morrow served as the ninth Governor of Ohio from 1822 to 1826. He was born on October 6, 1771, near Gettysburg, Pennsylvania and spent his youth assisting on his father's farm and getting an education. In 1794, he moved to Ohio, eventually settling in Warren County in 1799 along with his wife, Mary. He was elected to the second Territorial Legislature and was a delegate to the Constitutional Convention in 1802. The year 1803 saw Morrow serving as a state Senator. Six months later he was elected as Ohio's first Congressman, a position he held from 1803 to 1813. He then became a United States Senator from 1813 until 1819. Morrow did not seek reelection to the Senate and returned home. However, after serving as Canal Commissioner from 1820 to 1822, Morrow was elected Governor and served in that position from 1822 to 1826. He again served in the state Senate from 1827 to 1828 and in the lower house from 1829 to 1830 and 1835 to 1836. Five years later, 1841 saw Morrow heading back to Washington as a Congressman where he served until 1843. Passing his last years in private life, he died on March 22, 1852, and was buried in Union Cemetery, near his Lebanon, Ohio home. The $5 note was a hybrid of sorts from a portraiture perspective. Henry Clay, a widely known national political figure, was shown on the $5 along with Governor Thomas Corwin. Thomas Corwin served as Governor of Ohio from 1840 to 1842. He was born in Bourbon County, KY in 1794, but was raised in Lebanon, OH since he was four. His father had been heavily involved in politics, and Corwin was not fir dl////////. ,. PAPER MONEY • January/February 2004 • Whole No. 229 23 far behind, serving in the state legislature from 1821 to 1823 and 1829 to 1830. The 1830s would find him serving five terms in Congress. His humor and wit served him well as a national spokesman for the Whigs, and he was elected Governor in 1840 after speaking in virtually every corner of the state. Corwin had been a proponent of a state bank and the rechartering of existing banks which were deemed as "safe." The anti-bank Democrats, however, controlled the state Senate and as a result nothing happened. In 1844, Corwin was elected to the United States Senate and served until 1850 when he became Secretary of the Treasury. In 1853 Corwin retired from politics to resume his law practice back home in Lebanon. In 1858 he returned to the United States Congress and served until 1861 when he resigned to act as Lincoln's Minister to Mexico until 1864. Corwin's opposition to the Mexican War was a plus in this position, and he managed to keep Mexico in the Union camp throughout the war. After returning from Mexico, Corwin settled in Washington, DC, practicing law until his death on December 18, 1865. He was laid to rest in the Lebanon Cemetery, Lebanon, Ohio. The $10, like the $5 saw a hybrid mix of portraits. The featured portraits were those of widely known national political figure William H. Harrison and Governor Joseph Vance. Governor Joseph Vance was Ohio's thirteenth Governor from 1836 to 1838. He was born in the wonderfully named Catfish, PA on March 21, 1786. About 1801, the family moved to a farm outside of Urbana, OH. In 1805, he moved to Urbana and two years later married Mary Lemen. Vance raised a rifle company during the War of 1812 and rose to the rank of Major General of the Ohio Militia. He served in the Ohio House of Representatives from 1813 to 1816 and 1819 to 1820. Vance then served in the United States House of Representatives from 1821 to 1835. After losing a close reelection battle in 1834, Vance ran on the Whig ticket for Governor and won in 1836. Governor Vance supported public education and the Internal Improvements programs within the state and also supported the recharter of the Bank of the United States. He was elected to the state Senate for the 1839 and 1841 sessions and then again elected in 1842 to the United States House of Representatives where he served from 1843 to 1847. On his way back from the state Constitutional Convention in December, 1850, he suffered a stroke and was forced to retire from his duties. He died at his home near Urbana on August 24, 1852, and was buried in Oak Dale Cemetery. The $20 and $50 denominations were little used. The $20 had portraits of John Quincy Adams and Andrew Jackson and the $50 carried no portraits of Ohio's "Home State Heroes." Figure 14. The $10 note featured Governor Joseph Vance (left). .2,.., sio,clt 101(,11(j'. . : , Ili „, //7/7- 1*1-0-Delt` --1- - //,,,,/,/,/,;,/,,? , s-ia---taat f(” 24 January/February 2004 • Whole No. 229 • PAPER MONEY Figure 15. The $20 had stock por- traits of national figures, Presidents John Quincy Adams and Andrew Jackson, probably because of low usage. Free or Ohio State Stock Banks The Ohio Democrats, reacting to calls for the establishment of additional banks to support the growth and needs of the state's economy, passed their own version of a general banking law, known as the Free Banking Law of 1851. Under the provisions of this law, banks had to deposit bonds of the State of Ohio or the United States equal to at least 60% of their capital with the Auditor of State. The Auditor of State was responsible for having bank notes produced and furnished to the banks. The amount provided was equal to the amount of bonds deposited, but not more than three times the bank's capital. Specie (or deposits with sound east coast banks) equal to 30% of the outstand- ing circulation was to be kept on hand at all times. All banks organized under the act were to accept each other's notes. All charters were to be in effect until 1872, but could then be renewed as long as the Law was not repealed. Seventeen banks were formed under this legislation. Most were formed in 1851 to 1852 before the Ohio Attorney General issued an opinion that no new banks could be authorized under this act due to the new state constitution. No addi- tional banks were authorized until after the State Supreme Court issued a deci- sion in 1856 reversing the Attorney General's opinion. In an effort to minimize cost, the state of Ohio again decided to do a "common plate" approach for all of the Free Banks which resulted in each bank's notes being identical to all the others except for the bank name appear- ing on the face of the note. Also, perhaps as another move to save money, only common vignettes of national figures were used. The 1851 Records from Rawdon, Wright, Hatch & Edson of Cincinnati, the only firm selected to print the notes, indicate that they apparently pre- pared a single heavy duty, thick, steel plate with "50 pieces movable titles" to produce a $3-$1-$5-$10 sheet of four notes. Also planned was a pair of paper moulds with the watermark "OHIO STATE STOCK BANK." Since apparently the notes for all 13 banks authorized in 1851 and 1852 were to be printed from a single steel plate with the bank name "movable titles" dropped into the plate as needed to fill orders, the firm seems to have decided to use a heavy duty plate which was at least twice as thick as standard plates so that it would stand up to the pounding it was going to take. Only a very few of these 1851 notes have been found on watermarked paper and counterfeit detec- tors of the day do not make mention of checking for the watermark as a means of detecting counterfeits. It is, therefore, not at all clear if watermarked paper was ever used (or just used for a short period of time), or whether all four notes on the sheet had a watermark. One thing that is clear is that these notes were produced by "the low bidder." The notes are not at all attractive and it is diffi- 101001.. PAPER MONEY • January/February 1999 • Whole No. 199 Exclusive MONEY MASTERPIECES by TIM PRUSMACK Historic Sets of hand-drawn original currency by the "Mozart of Money-Art", TIM PRUSMACK, are offered in matched-sets, limited editions. EDUCATIONAL SERIES Set of Five $150 ($35 each) Includes Martha and George Washington on back of the $1 Educational note Mintage 500 FRONTIER SERIES Set of Three $70 ($25 each) Includes Theodore Roosevelt original design. Mintage 300 HI-FIVE PRESTIGE SERIES Set of Five $100 ($25 each) Includes $100,000 Wilson Mintage 500 JUST COMPLETEDNEWLAZY DU Feet Ba ECE SERIESn s/CitiesAvailable All Sets are signed and numbered personally by TIM PRUSMACK and presented in a currency sleeve. Order early to ensure your matched-numbered-set, Ninety different MONEY MASTERPIECES available. TIM PRUSMACK 4321 CiATOR TRACT DRIVE, 10111 PIERCE : 11,0HW 34902.0054 (772) 464•63111 • 140 (772) 464-3451 Einaii TPRUSMACAn'AOL COM To view MONEY MASTERPIECES 00 line: WWW.MONEY•ART.COM iiiAk:1 711 11,7 25 Riild1,244•7114: 1612.14:1141.4•AnA.ft- A&O Auctions Amanda K. Sheheen Proprietor Specializing in Coins • Currency • Collectables • Antiques Member: ANA, SCANA, FUN, CSNS, PCDA CONFEDERATE STATES & OBSOLETES ARE MY PASSION • Serving customers from around the country and their collecting needs with up-to-date internet website for all your convenience. • Life member of many state and major organizations. • New generation with new ideas and energy to serve you, the customer. •Honesty & integrity guaranteed. If you have just a few notes or a major collection, I am always looking to buy!!!! WANTED: Any SC Notes Carrying on the torch of passion of the SC legend, my Father, Austin M. Sheheen, Jr. whom I thank dearly! E-Mail: nooniebubba@aoauctions.com P. 0. Box 1711 nonniebubba@charter.net Camden, SC Website: www.aoauctions.com 29020 E-Bay: Noonie-Bubba Office: (803)432-2435 FAX: 1-803-713-9048 Cell: (803-518-7267 (ONION BANK OF'SANDUSICY CITY) j 7//,/// /t( twIllimialilit/z/ 4Ter ;‘," 26 January/February 2004 • Whole No. 229 • PAPER MONEY Figure 16. A common plate 1851 Free Bank issue. cult to separate the genuine notes (of which there are very few) from the coun- terfeit (which include a vast majority of the notes seen today). To compound the poor work, in 1853 employees of Rawdon, Wright, Hatch & Edson in Cincinnati decided to run off some sheets of notes for their own use from the genuine plate with signatures fraudulently added. This was the crowning blow which led the state to throw out Rawdon, Wright, Hatch and Edson and com- pletely redesign the notes in 1853, awarding the business to firm of Bald, Cousland & Co. of Philadelphia. Bald, Cousland & Co. took a "modified common plate" approach mean- ing that the basic "1853 design" for each denomination was the same, but minor decorative details and the male portrait changed from bank to bank. This was somewhat similar to what was done with the Independent Banks some eight years earlier. What we do not yet understand is who all of these people are. Two banks picture gentlemen who served as the Auditor of State. Since the Auditor of State administered the Free Banks, it makes some sense that Auditors of State might be portrait subjects. Could these gentlemen ALL be former Auditors of State? The answer is "No." There were nine Auditors of State between 1803 and 1863 and two of them, Francis M. Wright and John A Bryan are spoken for. That leaves seven if every one were used. Unfortunately there are ten unidentified gentlemen which means that even if every Auditor were depicted, we run out of Auditors of State before we run out of portrait subjects. We also know that one gentle- man, E.F. Osborn, was a local railroad superintendent. So it appears that there was not a clear cut guideline for whose portraits were to be used, with local business and political figures being fair game. The problem is that it really becomes difficult to locate portraits, identified or unidentified, of local digni- taries from over 150 years ago. There is some hope of finding a "smoking gun" letter in the Auditor of State archives ordering notes or selecting persons to be used on notes, but that has not proven fruitful to date. So the hunt will contin- ue, but the "prey" will prove to be very elusive! At any rate, three portraits have been identified: John A. Bryan is depicted on notes of the Bank of Marion, a Free Bank which was in operation from 1851 until 1864 when it became the First National Bank of Marion (Charter #287). The First National Bank liquidated on January 12,1869. John A. Bryan, for whom Bryan, OH, is named, was born on April 13, 1794, in Berkshire County, MA. Practicing law for some time after moving to Ohio, he served as Auditor of State from 1833 to 1839. He served as Charge d'Affaires to Peru from 1844 to1845 and later moved to Wisconsin. He died in Menasha, WI on May 24, 1864, and was buried in the Oak Hill Cemetery, Neenah, WI. Francis M. Wright is depicted on notes of the Franklin Bank of Portage PtheYflt11/ 17)(1',179;;01710 /Y/ ./Y // PAPER MONEY • January/February 2004 • Whole No. 229 27 Figure 17. Francis M. Wright, Auditor of State 1856-1860, is shown on notes of the Franklin Bank of Portage County. County, Franklin, a Free Bank which was in operation from 1851 to 1863, when it voluntarily closed. Little is known about Mr. Wright other than he served as Auditor of State from 1856 to 1860 and was a founder of the I.O.O.F. Lodge #46 in Urbana, Ohio in 1845. E.F. Osborn is depicted on notes of the Union Bank of Sandusky City, a Free Bank which was in operation from 1851 to 1858-59, before closing. It is assumed that this is Edward F. Osborn, who is listed in the 1850 Federal Census for Erie County, Portland Township, which included Sandusky City, as a Railroad Superintendent, born in Massachusetts in 1801. In other contempo- rary sources, E.F. Osborn is listed as Superintendent of the Mad River & Lake Erie Railroad. The town of Osborn, OH was named in his honor. As an inter- esting side comment, Osborn no longer exists, having been moved in 1922 to 1925 to make way for a dam project and finally combined with Fairborn, OH in 1950 to become one town. Guy Kraus' Mississippi Wismer book joins distinguished series PUBLICATION OF SPMC MEMBER GUYKraus' Mississippi Obsolete Notes and Scrip is the newest link in the distinguished chain of SPMC books that stretches back nearly 40 years and 20 volumes. Kraus' 391-page catalog updates and thoroughly revises L. Candler Leggett's similarly titled Mississippi Wismer catalog, Mississippi Obsolete Paper Money and Scrip, which appeared in 1975. Kraus' work is nearly three times the size of the ear- lier catalog, and his approach is comprehensive. In addition to bank notes, he catalogs post notes, govern- ment issues and private/corporate/municipal scrip appearing in chronological periods since the first French issue of 1699, through Spanish, English and American control, territorial, ante-bellum, Confederate and Reconstruction eras. Its author takes both a collector's and an historian's approach to his subject matter, providing a wealth of historical details in addition to collecting tips, rarities, imprints, with extensive cross-reference/provenance data. The amount of research evidenced is staggering. Commentary based on personal observations during the 15 years in which its author labored on his catalog are interspersed. Kraus had access to numerous dealers' stocks and other collectors over a lengthy time frame improving the comprehensiveness of his listing. Additional illustrations, however, would have helped the novice unfamiliar with the state's paper money. Since the author has chosen to divide his catalog into several chronological periods, running heads and a comprehensive index would simply the book's use, too. Kraus defends his approach: "I didn't want to create a listing with different period notes mixed together and give no linear history of what happened in relation to the financial environment of the state. . . .I wanted to give them [collectors] direction. . . . I wanted to give the collector more than just a reference type checklist." "A little patience and study will improve layout familiarity. I believe the collector and dealer will be greatly rewarded and the time well spent," Kraus added. In addition to 16 Wismer obsolete state volumes, SPMC has also published four books on Nationals. Society members were offered the opportunity to purchase the new Mississippi book for $32 prior to pub- lication. Copies are available from dealers and/or addi- tional details are available from the book's author Guy Kraus, PO Box 208, Pass Christian, MS 39571-0208. Fred Reed, Editor 28 January/February 2004 • Whole No. 229 • PAPER MONEY A Private Recognition By David Gladfelter WHOSE TECHNICAL AND INVENTIVE SKILLSbrought about the dramatic Napoleonic portrait used in the1830s sample sheets of Draper, Underwood, Bald & Spencer,the bank note engraving firm? This portrait, illustrated here, is a product of a 19th Century mechanical device known as the medal ruling machine. This machine produced line engravings of bas-relief images by tracing the image's three-dimensional sur- face with a stylus attached to a moving arm. The other end of the arm held a burin, which carved a line onto a copper or steel plate ground. By making a series of parallel tracings across the entire medallic surface, an intaglio image of the medal (in mirror image) would be formed on the plate, which would have a three-dimensional appearance. The Napoleonic portrait (with the emperor's second wife, Marie-Louise) is from a medal engraved by Bertrand Andrieu in 1810. Notice how the medal ruling machine has faith- fully copied and mirrored Andrieu's signature below the emperor's bust! DUB&S used the medal ruling technique to pro- duce medallic images on many of the bank notes engraved by them, both for aesthetic reasons and as a deterrent to counterfeit- ing. Asa Spencer was a partner in DUB&S. Did he have a role in the machine's invention? In his 1975 monograph published by the Smithsonian Institution, Arthur H. Frazier credits Christian Gobrecht as being the first American to have built a medal ruling machine, and credits Joseph Saxton with the development of the machine, principally by eliminating distortions in the tracing process and in adapting the machine to steam power. Spencer's name is not mentioned at all by Frazier. And in their Manual of Gold and Silver Coins of All PAPER MONEY • January/February 2004 • Whole No. 229 29 Nations, published in 1842 and illustrated with 16 plates of coins produced by the medal ruling process, U. S. Mint officials Jacob R. Eckfeldt and William E. Du Bois mention Spencer only in passing: "An instrument constructed chiefly on Mr. Gobrecht's plan by Mr. Asa Spencer, of this city, was put in operation by him in London, in 1819; and thus this art may be justly said to have been first introduced in Europe." E. E. Law, Spencer's friend and executor of his will, believed that an "injustice" had been done in that Spencer, and not Gobrecht, should be regard- ed as having made the first American medal ruling machine. He committed these views to manuscript notes in his copy of the Eckfeldt and Du Bois manu- al. That book is now in my library, and I offer his notes to readers of Paper Money, for whatever weight they care to give them. On the front freefly, Law writes: The reader of this useful manual will find in c. VI p. 186 an account of the invention of medal ruling, which does great injustice to Mr. Asa Spencer, and contains errors, which are corrected in an article in the Appendix to the XLIV no. of Silliinan's Journal and is indispensably necessary to its true history. That article was prepared by me from materials furnished by Mr. Spencer who always felt and asserted that he was not treated fairly by the authors of this work, and was justly Entitled, as I believe he was, to the credit of contriv- ing the instrument by which such beautiful copies of coins are produced, and, as is well known, used by him with such exquisite effect. E.E.L. Below this, he continues: I was the Executor of his Will. He lies buried in Monument Cemetery (Philadelphia) with this inscription on his monument written by me. In memory Of Asa Spencer An Eminent Engraver Distinguished For his inventive genius The simplicity of his manners And The integrity of his life Died 1 Feb 1847 Further notes by Law are tipped in at page 186, where a description of the plates is given. They read as follows: The account here given of the instrument by which Mr. Gobrecht executed the engravings of the medals mentioned on this page 187 is quite erroneous & gives him credit to which he is by no means entitled. The full history of the contrivance by which this ingenious work is accomplished may be seen in Silliman's Journal where a statement of its origin was given through me from facts furnished by Mr. Spencer whose character for veracity was without a drawback and in it will appear the deception or at least disingenuous reti- cence of Mr. Gobrecht at whose special request Mr. Spencer put together his own ruling machine a part of the Rose Engine to enable the former to rule curved lines. The composition of the two was of Mr. Spencer's own suggestion — He did not then use it himself nor did he know that the copy of the medals shown by Mr. Gobrecht was by his instrument until he had occasion afterward to arrange di use one in London for his professional purposes when all at once he saw it was by his contrived instrument all was Effected. January/February 2004 • Whole No. 229 • PAPER MONEY30 lIteaE i TIT tEittflan t - ptttly-t11ctfr.ii; oolZis `.Sig . ... ' / i• --- \ --,- ' •-• •- -5- -`41i1•4•;' _. _ .._._, __. _ . — - j I 1 ' - \ •:'-• -_-:' -."-='.0 -.411 :-%.,:,, , .., ,, ... ,* . , ,- ,,, \ . ".'" • "4. 4.: tra. • • :41r ;:.,.:- .40. •.-- .'=., .,,: -vii .4.,A, • • \\'' '47': ----'1 ''''' t.....- 411"*-;-„,--,.. , •,, .: ''..--' 2fr.,.,t1, 7 1,,,, v*s. ..„,_,.! , .-1 --- — zatIlettE, t ' .41 -tsnitUttitlEit-tt....- Circa 1830s sample sheet of Draper, Underwood, Bald & Spencer. The authors of this book would not correct their error nor indeed acknowledge it. The Franklin Inst. Journal would not publish the Exposition I had pro- posed thence its appearance in Silliman's periodical. E.E.L. Any one who has seen the impressions made by Mr. Spencer himself of coins & medals from his instrument will be struck with their greater shay pness beauty — manages too as it was by his manual dexterity without the aid of Mr. Saxton's very ingenious device. PAPER MONEY • January/February 2004 • Whole No. 229 31 The "Rose Engine" referred to is apparently a type of lathe, differing in design from the American medal ruling machine, that was in use in France and England for making copper engravings from medals and other relief objects. The advent of Daguerreotype photography in the 1840s made the medal ruling process obsolete for the purpose of illustrating medalic art. Frazier opines that "if photography had been invented a few years earlier, medal ruling would never have made an appearance." Perhaps in the bank note industry, however, medal ruling would still have served a purpose, as did vignette and portrait engraving long after commercial photography became available. Asa Spencer, if not the inventor of medal ruling, was its foremost exploiter in the technology of bank note engraving. References Eckfeldt, Jacob R. and DuBois, William E. A Manual of Gold and Silver Coins of All Nations Struck Within the Past Century. Philadelphia: U.S. Mint (1842) Reference copy sold by G.F. Kolbe 21:21, June 4, 1985, with comments in catalog. Frazier, Arthur H. Joseph Saxton and His Contribution to the Medal Ruling and Photographic Art. Washington, D.C.: Smithsonian Institution (1975). Forrer, Leonard. Biographical Dictionary of Medallists, Coin-, Gem-, and Seal- Engravers, 500 B.C. - A.D. 1900, Vol. 1 (revised). London: Spink & Son (1904). Stauffer, David McNeely. American Engravers Upon Steel and Copper, Vol. 1. New York: Grolier Club (1907). The "Broke" in Broken Bank By Howard L. Cohen IN THE 1832, THE STATE OF GEORGIA WASbeing inundated with self-proclaimed banks issuing paper money, many for nefarious purposes. A bill was then enacted by the Legislature requiring banks to make semi-annual reports to the governor. Failure to comply would result in the bank's notes being refused by the state treasury and the non-compliant bank's name being published in the newspaper. As time wore on, more regulatory banking laws were passed. The antebellum bankers vigorously and loudly protested these early regulatory laws and worked dili- gently and successfully to convert the legislators to their way of thinking. Eventually, years later, the legislature sided with the bankers and voted to suspend a law requiring them to forfeit their charter if they suspended specie payment (i.e. silver or gold coin for bank notes at par, upon demand). The governor, Joseph Brown, vetoed the bill. Although his veto was soon overridden, the veto mes- sage he sent to the legislature is an example of how banks manipulated the system to make money and soon caused paper money to be discounted and ridiculed. "Two men work with their hands. . .till each makes a dollar in gold or silver. One loans his at interest. The law. . .permits him to receive only 7 cents for the use of it for one year, and if he charges more the law declares the excess to be usurious and void." "The other. . .obtains a charter conferring upon him banking privileges. It is made lawful for him to pay his silver or gold dollar as capital stock into the bank and to issue upon it three paper dollars. The bank is permitted to loan these three paper dollars at interest, and charge seven percent on each of them. If he were to loan them for one year at legal interest, he would receive 21 cents." "But the banker is not content with 21 percent a year. . . . He will not, therefore, lend his three paper dollars a year at seven percent, but he will loan them for thirty days, first deducting interest out of the sum loaned, if the borrower will also pay half, one or two or three percent a month usury under the name of exchange. This increases the interest received. . .to 25, 30, or 35 percent." Governor Brown went on to note that the bank's usury didn't stop there. There were more manipula- tions with the one silver dollar in "paid in capital", which was to be deposited ("paid in before the three paper dollars are issued"). Since the law only required the initial deposit and didn't specify the term of deposit, the banker shortly withdrew this dollar and lent it out again. Soon, this early pyramid scheme collapsed and "runs" on the banks, demanding specie payment, caused the banks to fold. 32 January/February 2004 • Whole No. 229 • PAPER MONEY A 1909 photograph of the J.H. Sullivan Company, Whitehall, NY, looking at the Canal Street entrance. (Canal Street is now named Main Street.) J. H. Sullivan Prospers from His Education at Bryant, Stratton & Folsom's Albany Business College By Jeff Sullivan My great, great grandfather, John H.Sullivan (right), who at age 18 in 1864 attended Bryant & Stratton Business College in Albany, N.Y. T HERE ARE MANY DIFFERENT avenues to pursue when collecting paper money and related items. One of my personal favorties is college currency, because my great, great grandfather used it when he was a teenager in training for his career. In case you are unfamiliar with college currency, it is paper money that was used in business colleges, mainly in the mid-1800s to the early 1900s, to teach students how to account for and handle money in simulated business trans- actions. Bryant & Stratton Business College of Albany, New York, was one of these business colleges that used this type of paper money. This was the institution which my great, great grandfather attended. The college was started by BRYANT,STRATTON FOLSOM'S inn men n T 411 ,114 SOS Bronze bust of Silas S. Packard, founder of what is now Bryant & Stratton Business College in Albany, N.Y. (Photo courtesy of Prentiss Carnell). PAPER MONEY • January/February 2004 • Whole No. 229 Silas Sadler Packard, who had received his education at Granville Academy in Granville, OH and went on to become a traveling pen- manship teacher. During his travels he went to Albany, NY where he opened a busi- ness college located on the fifth floor of the Exchange Bank Building, 448 Broadway St. January 1, 1857. This institution has been in continual operation ever since, although Packard's first class consisted of just one student. Though Silas Packard had founded the college, he was quickly joined in part- nership by H.B. Bryant and Bryant's brother-in-law H.D. Stratton, who already had a chain of business schools operating throughout thiscountry and Canada. Within a year of forming a partnership with Bryant and Stratton, Packard moved on and founded another business school in New York City. Both Bryant and Stratton had attended the Cleveland Mercantile College founded by Ezekiel G. Folsom. In 1863 Folsom became principle of the Albany school. Another branch was located in nearby Troy, NY. Eventually Folsom succeed- ed Bryant and Stratton as principal owners. Folsom later published a book, The Logic of Accounts, and pioneered the teaching of business ethics and political economy in a business setting. The curriculum also included instruction in bookkeeping, penmanship, stenogra- phy, grammar, arithmetic, business correspondence, the science of govern- ment, and commercial law. In 1864 my great, great grandfather John Henry Sullivan, 18 years of age at the time, attended the Bryant & Stratton Business College in Albany. When he was there the school was located in the Kidds Building, 43-48 North Pearl Street, were it remained until 1873. Then in need of a larger space, it relocated up the street to 51-53 North Pearl Street. 33 Far left: Bryant, Stratton & Folsom's Albany Business College, Kidd's Building 43-45 North Pearl Street, at the time my great, great grandfather studied there. Students in formal business attire transact commercial practice sessions at the First National College Bank of Bryant, Stratton & Folsom's Albany Business College at the time J.H. Sullivan attended. Cage windows are labelled "Book Keeper," "Paying Teller," "Receiving Teller," and "Discount Teller." Chain of 17:-. Lorelei! al International i(951 pals. January/February 2004 • Whole No. 229 • PAPER MONEY34 G WTri9.13 GULL GES New York. Philodelpili hi (Crttificate enfi? Buffalo,rt4, Roarnlide,5,;,74.C:e..TeilaIV : Detroit, Chicago, Mihrtinker, St. Louis, 0 q0/4/84, a?ahlse, /0 /6(e/ annewill 4cr46. e-d oaP diOtla/e1 /Wee/ q"01/Zoe,'-e.aerueri(0,, rib," 21;3nre/ efe0141141, ,e;le/ibit.;7/ -DOt9Z-40e7 ., qaytmeeet;z/ qa6elfzieend, 4,ima ‘e./. gfd, - 38 January/February 2004 • Whole No. 229 • PAPER MONEY I AM A LONG TIME COLLECTOR OF PAPER MONEY AND have completed various objective collections over the past 30-plus years. I am always on the lookout for new ways to collect. Every collection should have an objective story to tell. That story can be educational, informative or just entertaining. Frequently the story, for me, has been to record and demonstrate the financial history of an area where I grew up, or Another Way to Collect Obsolete Notes By Steve Whitfield Unique and historical notes come in many forms. Above is a Civil War era note from the Bank of North America, originally chartered in 1781. Most post-Civil War State of Mississippi notes were cancelled and finding an uncancelled example is desirable indeed. currently resided. That type of collection eventually reaches a point where there are no more notes known to exist to be added; or, the only notes not in the collection are either impounded in museums or priced somewhere in the second mortgage range. My current collecting adventure is to seek out certain unique notes, or notes in uncommon condition, that tell a story in and of themselves. Thus a one-note collection can be considered complete. The notes I have chosen are described herein, along with my reasons for choosing them. Most of them I do not yet own, and may never own if the prices keep rising. Several of the selected notes were for historical reasons. They were Alabama Large Size ri+ NE,111170 ..1.06 • • • • •Ott • eSOASti ■rrms se ksierttrnits 4833 ANOIA-1-g41± 4. ///si ,1 INAtiggialja T.S.3.aralZIDIEGta Top Prices Paid David Hollander 406 Viduta Place Huntsville, AL 35801-1059 Nobody pays more than Huntoon for ARIZONA & WYOMING state and territorial Nationals Peter Huntoon P.O. Box 60850 Boulder City, NV 89006 702-294-4143 PAPER MONEY • January/February 2004 • Whole No. 229 Authors seeking examples of Tennessee private/company scrip PAUL GARLAND'S BOOK THE HISTORY OFEarly Tennessee Banks and Their Issues published in 1983 does not include private or company scrip issued in Tennessee. Bill Swafford, Jr., who has collected paper money for more than 40 years, brought me a copy of a manuscript with a list and more than 250 B&W photo- copies of unlisted Tennessee scrip. When I showed it to Tom Carson, my co-author on the Chattanooga Money CD, he recognized it as a copy of Charlie Sedman's col- lection that was sold in the 1980s. Tom called Charlie and he agreed to send the original copies for us to scan. Charlie indicated he and Paul planned to use it as a basis of a Tennessee scrip book, but never got around to it. He has given us permission to publish it. Tom and I will list and add the B&W scans to our Chattanooga Money book. We plan to replace the low quality B&W copies with high resolution color scanned images of notes as we can locate them. If you have Tennessee scrip we need your help. Please contact me so we can get a scan of your scrip to include in this pro- ject. Dennis Schafluetzel, 1900 Red Fox Lane, Hixson, TN 37343 or via e-mail Dennis@Schafluetzel.org . We will credit each piece of scrip published with your name. Thanks, Dennis Schafluetzel 39 We get letters kudos to Whitfield 7,-A . ...----4-4ic I, I , .,-4 . _7-1), L&0-ci .2.7g) 3 7)-sv .e, o P.4-doe /2- feiPAz...e Y 4 S=i--4-•• 4- 1.-al,Lf-tel..4,- (ai - 04 i‹.......--7.-..7.1-.:4_!.... ,..--./— wk./ C 07....- ,-.4 ee •,,. 0/4___./i)=4-: . C. U.....4...)" L.,..... A -_L.--.- -e, . . A,4-....1.2„, I .- -I-4 ,C7 k,s4"...±.- C--•,111 Ito 44, " 4 ..,,,,,,__A cs...cks 'co I 1......4-. ..4, ¢..., gt 12 , e`• eV +R._,......1 4, _.10 4-5 O., ...--,A1, 'tel-4 /,' ,9 41:` ,,a•- 4_ ___ _.0 4> t Ce-gAteLi C.o.t •--G_C-....,r7.0 4-4- et- (s_o____It.--. .._ p,. 4 - 41`...-,--...r - 1.7 7++,,e. C..- S•-e- 1. - e..-S, • *# Mt-26. (44 - 13 Z e.ar- e k t 4,4 CI ..f. o.--. ot IQ:A.4___,,2_,- . fe...-f C.-. '-'"- e- ." 42( e-91.-"_ks „,,T 4 =1- .,,,e... 41 Le.eif .... --4-.. i....,....,.., --th e.. L....,41 ,ot..... els gpl____ 4.4 C.- 1 e- **-- i-v 1,...-4— ....A., -/-t., )..,-/-...,..,,L4/3-.1- 0. `,"-,- e•-• ,=' ,..-y, 4,)in. d Id Wayfey .-- 1 y 4-4 *0 " C.,-... C 11'4-.40.-4 e-+t.._.,„ / S e P,I.C- ". _14p X.6- 40 January/February 2004 • Whole No. 229 • PAPER MONEY Paper Money of the United States 17th edition by Arthur L. and Ira S. Friedberg based on the original work by Robert Friedberg (1912-1963) The one and only standard reference on United States currency is back - completely redone for its 50th anniversary. Improved and with up-to-the minute pricing information in a paper money market that continues to grow annually. This indispensible classic includes: * Large Size Notes * Fractional Currency TA- New: Prices for most large size notes and fractional currency in up to five states of preservation * Small Size Notes * Encased Postage Stamps * Uncut Sheets * Colonial and Continental Currency * The Confederate States of America * The Treasury Notes of the War of 1812 * The universally-used Friedberg Numbering System.' The world's standard method for describing U.S. currency * More than 8,100 notes * A price history chart (1953 - date) * A complete listing of note-issuing National Banks * A complete listing of all signatures on U.S. currency * A directory of leading paper money dealers * A twenty page color section featuring the fabulous multimillion dollar currency collections of the American Numismatic Association in Colorado Springs, Colorado and the Federal Reserve Bank of San Francisco * More than 800 photos on 332 pages * Hard cover, sewn binding. 8 1/2 X 11 inches * ISBN 087184-517-2 * $42.50 * A must for every dealer, collector and library. Contact any paper money dealer, or clip and mail the coupon below. Call and place your order now. (Dealers/jobbers: Please call) THE COIN & CURRENCY INSTITUTE, INC. P.O. Box 1057, Clifton, NJ 07014 (973) 471-1441. Fax (973) 471-1062 info@PaperMoneyoftheUS.com Please rush me the 17th (2004) 50th anniversary edition of Paper Money of the United States at $42.50 each. No. of books: @ $42.50 New Jersey residents: 6% sales tax Shipping & handling (per order) $4.75 GRAND TOTAL Call toll-free 1-800-421-1866 q Check enclosed Please charge my: qVISA q MasterCard q Discover J American Express Account No. Exp. Date Signature Name Address* City St Zip Phone No 'Please provide the billing address for your credit card if different from shipping address. PAPER MONEY • January/February 2003 • Whole No. 229 Coming in January The 5oth anniversary edition of (D 0 FROM COLONIAL TIMES TO THE PRESENT (1) THE STANDARD REFERENCE WORK ON PAPER MONEY A COMPLETE ILLUSTRATED GUIDE WITH VALUATIONS 0 III "11 f+ •Large size notes • Fractional currency •Small size notes • Encased postage stamps •Colonial and Continental currency •Confederate States notes AN41, 4,07774, aION 0, 1:b '4 1a Arthur L. and Ira S. Friedberg RIGINAL WORK BY ROBERT FRIEDBERGBASED ON THE O Paper Money e ed States 59#211.1A19.Ailititi L1957A 41 www.PaperMoneyoftheUS.com 42 January/February 2004 • Whole No. 229 • PAPER MONEY This uncancelled "Kansas City" post Civil War issue was attractive to the author because he lived in the area for a decade before moving to Florida. Few Civil War vignettes appeared on obsolete currency since the war came at the end of the obsolete note issuing period. An exception is the Mortar Firing vignette on this Bay State Mining Company note. issued by banks or bankers who played a major role in the history of the United States, or in the history of banking. The first of these is a note of the Bank of North America. This bank, chartered before the Revolutionary War had offi- cially ended, issued notes well into the National Banking era. It was the only National Bank chartered that was not required to include the word "National" in its title. Both obsolete and National Bank Notes of this bank are frequently available to collectors. The note I chose was a $1 obsolete note issued in 1862. This black and green note was produced by the American Bank Note Company. The center vignette is a typical Revolutionary War scene of George Washington. The two smaller vignettes illustrate the bank president and Liberty Hall in Philadelphia. My note is signed "For the Cashier," and is fairly available. The second note is a Civil War era issue of the Girard Bank. Stephen Girard was a major figure in the financial history of America. He purchased the assets of the First Bank of the United States after its charter expired and opened his own bank in the former Bank of the United States building at Philadelphia. Related notes that also tell their own story are notes (frequently counterfeit) of the First and Second Banks of the United States. These notes are plain appearing, but rich in history of the United States and of banking. Another great note with a great history story, is the famous 1839 $10 note of the Citizen's Bank of Louisiana. Because of the extended circulation of the $10 (DIX) notes of this bank, up and down the Mississippi River, the notes are supposed to have given the South the name "Dixie," from being referred to as the land of the "Dixes." These notes are scarce and only occasionally appear on the market. When they do they tend to bring high prices, which may pre- clude most collectors from owning this note. Fortunately, a beautiful and available substitute "DIX" note exists. During the War the Citizens bank had new $10 notes prepared by the National CONFEDERATE CURRENCY AND BONDS - QUOTES First Edition - 08/03 Pierre Fricke PAPER MONEY • January/February 2004 • Whole No. 229 43 Bank Note Company. These red and black notes have a magnificent central vignette of the Collins Line, Atlantic Steamship, Adriatic at sea. Large quanti- ties of these unissued remainder notes surfaced in a warehouse in New Orleans many years ago. Available for years at around $10 a copy, the notes have rocket- ed to the $300 range in recent years. The note is extremely attractive and has a great story, but probably is not a good investment, if that is of concern. Other notes, also from the south, that are particularly desirable are the state issues of Mississippi of 1870, in an uncancelled state. Nearly all of these notes were redeemed and cancelled by cutting large circular holes through the notes. The notes are green and black with beautiful vignettes on the backs. Typical of southern state funding issues after the Civil War, they represent an important part of history during the infamous "carpetbagger" period. To find one that was not cancelled is a coup for the obsolete collector. Another note, nearly impossible to find uncancelled and in decent condi- tion, comes from an issue of the "City of Kansas." This was an early name for the town that grew on the Missouri Bluff above Westport Landing into the pre- sent day City of Kansas City, Missouri. Since I lived near Kansas City for 10 years, this was an obvious target for a "local" guy. My note is also signed by the Mayor, Fry McGee, one of the pioneer settlers in the area. Two other notes that are very difficult to find in decent condition are a $1 Bay State Mining Co. scrip issue of Eagle River, Michigan, dated 1866, and a $1 note, dated 1864, of the Oil City Bank of Pennsylvania. These notes are avail- able at reasonable prices, but are extremely scarce in nice condition. The notes are desirable because they include Civil War scenes as vignettes. Very few obsolete notes included Civil War scenes, primarily because the war occurred near the end of the obsolete bank note era. The Pennsylvania note has an F.O.C. Darley scene of Union soldiers, gathered around a winter campfire, reading mail from home. It is a poignant scene having great meaning to anyone Fricke monograph provides up-to-date Confederate pricing info S PMC MEMBER PIERRE FRICKE'S CONFEDERATECurrency and Bonds - Quotes provides a great deal of use- ful market-based pricing information on its field in a well- organized 60 page, soft covered format. Fricke's down to earth grading principles and practical approach to values, i.e. report what is actually selling and at what prices rather than pyramiding values based on per- ceived rarities, makes good collecting sense in sorting out the perennially popular field of Confederate issues. Recent prices are provided in up to nine grades for both type notes and varieties, along with commentary on what to watch out for when buying. The author differentiates what he terms "collector-grading" from "market-oriented grad- ing" (net grading) which can over-grade and thus over-price notes, the author feels. Other pitfalls Fricke discusses include undisclosed repairs, counterfeits, problem notes, the affects of cancels, an evaluation of plate states, and the development of condi- tion census data. "Prices listed reflect the CSA paper mar- ket in Summer 2003. Conservative and accurate grading is required," Fricke said. Additional information on his approach and copies of the booklet are available from its author for $20 at P.O. Box 245, Rye, NY 10580. -- Fred Reed, Editor . -t SC/ it:AELt 0 I f i .4"7, • • • t 11,.s! eL 43.7.J41F.74TiT,T74:f t'il_.ei1717S-4717X.1")!Efir.C.L, .. 748 iUH-3 I. .7.) lc '11101'0 9,N3t11TC11, 1; cripvicht aut -7.` i3crlattqu S" 11 a •k ( Ti a al- w Tont Lall wo.00o 44 January/February 2004 • Whole No. 229 • PAPER MONEY This note on The Oil City Bank has the attractive central vignette, Mail from Home. Most of the legend appearing on this Lumbermens Bank note is printed in German, making it a unique addition to anyone's collection. who ever served in the military. The Michigan scrip piece shows a large mor- tar firing from a gunboat, typical of the river warfare waged by Federal forces during the war. I know of only two other Civil War scenes that appear on obsolete notes. They are the Cavalry Trooper on the $5 Union Military scrip of Kansas and the Charge of the Zouaves. The last is virtually impossible to obtain. Another great note, also from the South, is the city issue of Baton Rouge, Louisiana, dated 1870. This is a rare note in any condition and extremely rare in very good condition. The note is red and black and contains an historical vignette depicting how Baton Rouge (Red Stick) got its name. A unique aspect of this note is that the central vignette includes two colors, red and black. As far as known it may be the only available obsolete note to use a two-color vignette. The note also includes a vignette of the state capitol building. Also of great historical significance, and great beauty, are the notes of the first Confederate issue. These were produced by the National Bank Note Company, Branch at New Orleans, in four large denominations. Known as the Montgomery Issue, they are highly sought after by collectors. The notes are extremely expensive and thus probably limited to the wealthiest of collectors. Fortunately, for the rest of us, there are other attractive Confederate notes available to represent the Confederate role in our history. The one I like best is the Criswell Type 24, $10 issue of 1861. An unusual note in my collection comes from the issues of the Lumbermen's Bank of Warren Pennsylvania. What makes these notes unusual is that nearly all of the text is in German. Another "foreign" text possibility on American obsolete currency would be notes in Spanish. I also have a note that fits the subcategory of "unusual" because of its location: "West Virginia" is printed on them. Since West Virginia was formed from the north and western EARLY AMERICAN NUMISMATICS P.O. Box 3507 • Rancho Santa Fe, CA 92067 • (858) 759-3290 • Fax (858) 759-1439 • UNITED STATES COINS AND CURRENCY • INDIAN PEACE MEDALS • COLONIALCOINS AND CURRENCY • OBSOLETE CURRENCY • ENCASED POSTAGE STAMPS • FRACTIONAL CURRENCY • REVOLUTIONARY WAR • CIVIL WAR & GREAT AMERICANA • WASHINGTON & LINCOLN • HISTORIC MAPS • AUTOGRAPHS Subscribe to Receive Our Beautiful, Fully Illustrated Catalogs Only $72 for a Full Year Subscription of Six Bimonthly Issues VISIT OUR WEBSITE: www EARLYAMERICAN • COM ce of c _44,2 eS .( rc, WANTED orida Oi tes, S In Stock foAimtii a Gold, Silver, and P1 onals, ens livery Products 0 n 7-3010 The South's oldest and largest co atop sin 1967 Top prices paid for all National Bank Notes, ollections, d Estates otes for sal us at WILLIAM YOUNGE' AN INC Your Hometown Currency Ilea a ers 95 South Federal Highway, 3, oca Raton, FL 33432 P.O. Box 177, Boca Raton. L 29-0177 (mailing) (561) 368 - 7707 (in Forida) • (800) 327 -5010 (outside Florida) (800) 826-9713 (Florida) • (561) 394-6084 (Fax) Members of FUN, CSNA, ANA and PNG Call for Quotes 8 Large Inventory of National Bank See Our Website at 1Villiamyoungerman.com or el ey@aolcom PAPER MONEY • January/February 2004 • Whole No. 229 45 ,)X fat1:4 4,1 /1: %,“/::: 1 1 pr s' 46 January/February 2004 • Whole No. 229 • PAPER MONEY Notes of the Diamond State Bank of Delaware are desirable because they bear the dollar sign ($) counties of Virginia in 1863, most all of the notes available from "West Virginia" actually say Virginia on them. My last candidates (currently), for this eclectic "Collection" of obsolete notes, are the Civil War issues of the Diamond State Bank of Delaware. These $1 and $2 notes are of particular interest because they are perhaps the only obsolete notes known that bear the U.S. dollar sign ($) in their design. The notes are red and black and also contain attractive nautical vignettes. These were also products of the American Bank Note Company, which produced so many attractive notes during the period. The $ designation was pointed out and discussed in the American Bank Note "State Collection," when one of these notes was chosen to represent Delaware. Of course, there are many other notes that could easily be included in a collection of unusual notes such as those described above. Colored issues of the bank note engraving companies often included significant historical vignettes or had a story to tell because of the issuing organization or circum- stances surrounding the issue. I intend to expand my own list and to bid aggressively whenever one of my targeted items becomes available. Luckily I already have a few of them. I'd be interested in hearing what your nominees for notes to be included are, and why they are special. Friedberg autographs monumental FC work A year ago, Paper Money Editor Fred Reed shared his reminiscences about Milt Friedberg in our Fractional Currency Special Issue. Reed mentioned a ceremony at Amos Press (book's print- er) at which author Milt Friedberg autographed copies of his The Encyclopedia of United States Fractional and Postal Currency. Another such cer- emony was held at the 1978 Memphis Paper Money Show with (L-R) Herb Melnick, Friedberg, Reed, and Jeff Williams present. PAPER MONEY • January/February 2004 • Whole No. 229 47 New Hampshire Bank Notes Wanted Also Ephemera I am continuing a long-time study on currency issued by banks in New Hampshire, including state-chartered banks 1792-1865, and National Banks circa 1863-1935. Also I am studying colonial and provincial notes. I would like to purchase just about anything in colonial and provin- cial notes, nearly everything in state-chartered notes, and items that are scarce or rare among National Bank notes. I am not seeking bar- gains, but I am willing to pay the going price. I will give an immedi- ate decision on all items sent, and instant payment for all items pur- chased. Beyond that, I am very interested in ephemera including original stock certificates for such banks, correspondence mentioning cur- rency, bank ledgers, and more. With co-author David M. Sundman and in cooperation with a special scrip note project by Kevin Lafond, I am anticipating the production of a book-length study of the subject, containing basic information about currency, many illustrations including people, buildings, and other items beyond the notes themselves, and much other informa- tion which I hope will appeal to anyone interested in historical details. All of this, of course, is very fascinating to me! Dave Bowers P.O. Box 539 Wolfeboro Falls, NH 03896-0539 E-mail: qdbarchive@metrocast.net CilSi e E A.N IC fitm)Fitichc Pn 48 January/February 2004 • Whole No. 229 • PAPER MONEY Some Unusual Fraudulent Obsolete Paper Money By Bob Schreiner Below: Figure 1, Genuine Bank of Washtenaw note. Bottom: Figure 2, Altered and raised Farmers and Mechanics Bank Note. THE USUAL CLASSIFICATION OF FRAUDULENT U.S. OBSO-lete paper money is in four categories: • Countelfeit -- a close copy of a genuine note. • Spurious -- a fraudulent note that does not resemble any genuine note. • Altered -- a note altered from a usually genuine note by changing the issuer's name, place, or other aspect. • Raised -- a usually genuine note that has been altered to indicate a higher denomination than the issued note. There are variations, such as several notes that I obtained at a recent HUNDIff II DOI IARS $10111111, 1890 $1,000 "Grand Watermelon" Note $500 1880 Legal Tender Serial #1 Washington Brownback We strongly recommend that you send your material via USPS Registered Mail insured for its full value. Prior to mailing material, please make a complete listing, including photocopies of the note(s), for your records. We will acknowlege receipt of your material upon its arrival. If you have a question about currency, call Lyn Knight. He looks forward to assisting you. ty001011,11***0 latveluivnifiLlyihm ,,, Volia ,--,---, 6 — PAPER MONEY • January/February 2004 • Whole No. 229 49 Lyn Knight Currency Auctions Deal With The Leading Auction Company in U.S. Currency If you are buy'''. g notes... You'll find a spectacular selection of rare and unusual currency offered for sale in each and every auction presented by Lyn Knight Currency Auctions. Our auctions are conducted throughout the year on a quarterly basis and each auction is supported by a beautiful "grand format" catalog, featuring lavish descriptions and high quality photography of the lots. Annual Catalog Subscription (4 catalogs) $50 Call today to order your subscription! 800-243-5211 If you are selling notes... Lyn Knight Currency Auctions has handled virtually every great United States currency rarity. We can sell all of your notes! Colonial Currency... Obsolete Currency... Fractional Currency... Encased Postage... Confederate Currency... United States Large and Small Size Currency... National Bank Notes... Error Notes... Military Payment Certificates (MPC)... as well as Canadian Bank Notes and scarce Foreign Bank Notes. We offer: • Great Commission Rates • Cash Advances •Expert Cataloging •Beautiful Catalogs Call or send your notes today! If your collection warrants we'll be happy to travel to your location and review your notes 800-243-5211 Mail notes to Lyn Knight Currency Auctions P. 0. Box 7364, Overland Park, KS 66207-0364 1882 $1,000 Gold Certificate Currency Auctions A Collectors Universe Company Nasdaq: CLCT P.O. Box 7364, Overland Park. KS 06207 • 800-243-5211 • 91:3-338-3779 • Fax: 913-338-4754 • E-mail: lyntknight@aol.com • vImilynknight.com -- -- OF TENNESSEE ( ff:0..r../j...211)..:6:441214)/// // ////i ///< NASHVILLE s, , : •4'i NT-K-(4 f,t 111 fESILPY-41'/ 7/7 4441141+46.26,440/ ///////./.. . ilitYj pia .-1441 1°*' , ?VA/ (//i 50 January/February 2004 • Whole No. 229 • PAPER MONEY Below: Figure 3, genuine Central Bank of Tennessee note. Bottom: Figure 4, altered note purporting to be on the Central Bank of Connecticut. Memphis International Paper Money Show from dealer Claud Murphy, Jr., which may be of interest to the membership. The first example is shown in Figures 1 and 2. Figure 1 is a genuine one dollar note of the Bank of Washtenaw, Ann Arbor, Michigan, Haxby MI-45- G40a. Figure 2 shows a $10 Farmers and Mechanics Bank, Frederick, Maryland note. This fraudulent note, Haxby MD-208-AR30a, Kelly-Shank- Gordon 51.4.22A, is both raised and altered from the Washtenaw note. According to Haxby, the Farmers and Mechanics Bank of Frederick was non-existent -- the fraudulent notes were intended to pass for those of the Farmers and Mechanics Bank of Frederick County, a difference perhaps too subtle for some contemporaries. Note that the right end of the raised/altered Washtenaw note was trimmed to remove the "One" designation. Michigan was also removed from the bottom of the seal at the right end of the Washtenaw note. The second example is shown in Figures 3-4. The note in Figure 3 is a genuine note from the genuine Central Bank of Tennessee at Nashville, Haxby TN-140-G2, Garland 917. This note, with is exquisite central vignette, was altered to many different notes. A typical alteration is the Central Bank of Connecticut, Middletown, note, Haxby CT-226-A5, shown in Figure 4. According to Haxby, this was a non-existent bank whose notes were meant to resemble those of the Central Bank, Middletown, again, a subtle difference. On this alteration, only the state and town names were changed. A more unusual alteration is shown in Figure 5, a note of the Central Bank of Cherry Valley, Cherry Valley, New York, Haxby NY-625-A10. The alteration also includes the state and town names, but adds "State of New York" at top. In addition, the State's bank registration seal obscures a part of PAPER MONEY • January/February 2004 • Whole No. 229 51 BUY ALL U.S. CURRENCY Good to Gem Unc. I can't sell what I don't have A.M. ("Art") KAGIN 505 Fifth Avenue, Suite 1001 Des Moines, Iowa 50309-2316 (515) 243-7363 Fax: (515) 288-8681 At 84 It's Still Time - Currency & Coin Dealer Over 50 Years I attend about 15 Currency-Coin Shows per year Visit Most States (Call, Fax or Write for Appointment) Collector Since 1928 Professional Since 1933 Founding Member PNG, President 1963-64 ANA Life Member 103, Governor 1983-87 ANA 50-Year Gold Medal Recipient 1988 Strip in photo from last issue Your collection will not be complete without the newest 5anknotable collectibles! Our unique collectibles combine artistry, craftsmanship, the latest security paper technology and hidden facts and figures...all combined into exquisitely engraved bank notes rivaling the currencies of the world's leading nations. Each of our notes is issued as a limited edition and is guaranteed to be 99.28% counterfeit proof—assuring their authenticity. These unique notes look and feel like real money, and each comes with its own Certificate of Authenticity. If you are serious about your paper note collection, you owe it to yourself to visit our website to find out more about these hot new collectibles as they gain worldwide popularity. ;:,,44 ■:.-.4.A....4:7;•-.44- ,,:,46.p;A4 OT TENN E S SEM' = / • //////7 : ,I.e...et:Oil e, 71.!,,t,rtor/i/ ///,/ /61///%i / // //i' ////// NASIHIVILLC , ,.//-. , );.'/ 1 ,...t....., r■ ■41 I. , .. N.,. 1, //// . CliikaalY VALLEY //Tie (fp ed.v. 'r 52 January/February 2004 • Whole No. 229 • PAPER MONEY Top: Figure 3, genuine Central Bank of Tennessee note. Center: Above: Figure 5, altered note purporting to be on the Central Bank of Cherry Valley. the vignette, and there is a line for a counter signature, vertically to the right of the central vignette. These are elements required at the time for New York bank notes. Both altered notes also appear to have the last digit in the date removed, then hand-entered. Contemporary fraudulent obsolete paper money is a fascinating topic, and elucidation of the varieties resulting from the ingenuity of the counterfeit- ers is worthy of an in-depth study. References Garland, Paul E., The History of Early Tennessee Banks and Their Issues, self-pub- lished (1983). Haxby, James A., Standard Catalog of United States Obsolete Bank Notes, 1782- 1866. Krause Publications (1988). Kelly, Denwood N.; Shank, Armand M. Jr; and Gordon, Thomas S. Money & Banking in Maryland. Maryland Historical Society (1996). Letter to Editor: Unusual Finds This past summer a woman called me asking if I would appraise and sell a log time older collection of coins and paper money. Of course I was elated when she drove up to my house 10 minutes later. She brought in a heavy plastic shop- ping bag that must have weighed 30 pounds or more. There were copious rolls of cents, etc., but the "piece de resistance" came out last-- the notes! I'll give a partial listing, particularly the ones I was able to buy: six notes on the Cape Ann Bank of Gloucester, MA, which included four obsoletes ($1, $3, $5 and $10), a First Charter $1, and a Series 1929 $5. The four obso- letes were all signed and punch cancelled, and were in unusu- ally nice condition of preservation considering their age. Don Kelly told me the First Charter $1 was previously unreported. That pleased me. Tom Denly told me he hadn't seen the $3 and $10 obsoletes before. Also included were 161 Silver Certificates, of which I kept 17 of the gems, including 1928, 1928A etc. Other small size notes included several North African notes. I kept a $5 and a Star $10 note, also in nice condition. The Star notes are rather scarce in this issue. The seller told me she had no interest in keeping the col- lection. I prepared a documentation of the items and prices and we came to an agreement. In conclusion, don't give up hope of someday finding elusive notes to add to your collec- tion. They are out there and do show up when least expected. -- Bob Andrews, SPMC 1206 A CHOICE UNCIRCULATED 1913 $50 GOLD CERTIFICATE REALIZED $6,325 I) • Try r B3759770:- )(p B374971J:- A CHOICE UNCIRCULATED 1899 $5 SILVER CERTIFICATE REALIZED $6,440 pence, in Six- 11. FRANKLIN old 17 1IALL. .a3 ts d First NationalBank, ,..-ausaimoom z AN UNCIRCULATED LAZY DEUCE ON KANSAS, ILLINOIS REALIZED $7,475 A CHOICE UNCIRCULATED PENNSYLVANIA SIXPENCE NOTE REALIZED $2,070 PLAN TO PARTICIPATE • FIND OUT ABOUT CONSIGNING YOUR PAPER MONEY to one of our upcoming sales. Call Rick Bagg or John Pack, toll-free 866-811-1804. • BE A BIDDER IN OUR AUCTIONS. Send us an invoice for $500 or more and receive a free copy of our next catalogue. If you send us an invoice for $5,000 or more, we will send you all of our auction catalogues, free of charge, for one year. PAPER MONEY • January/February 2004 • Whole No. 229 53 AMERICAN NUMISMATIC RARITIES' lin THE CLASSICS SALE ilk 11 BRINGS OVER $4.2 MILLION IN NEW YORK 50 I 8 . H 8 :''' i HEIE3A mistatedijeitancILANIC Imirriniliiiii_LallitAir . ,,,,,.._ CO H 8 I-1683A ' ,:ft-' .7 _— S. co, A VERY CHOICE EF 1918 FEDERAL RESERVE BANK NOTE REALIZED $10,350 rr,-. ilk, i 11 7 UNIll :_,__ ts"r Top:r.r, ii - .%) .,tea Aef0A..,.. A CHOICE UNCIRCULATED 1862 $2 LEGAL TENDER NOTE REALIZED $4,370 . — IIVIiir.p.ViA,.. ... - ."–__ - o. , 1”2125,9466., ' , , r.. 's. aamutLigaLt CHOICE UNCIRCULATED 1896 EDUCATIONAL $5 REALIZED $9,200 All hithlights shown here include the 15% buyer's fee. 111F AM CAN N PO BOX 1804 • WOLFEBORO, NH 03894 • TOLL-FREE: 866-811-1804 • FAX: 603-569-3875 WWWANRCOINS.COM • AUCTION@ANRCOINS.COM 7/4.1..;:' • .cr$ TILE STATE Ot'Aid!....TIA-71 FIVE 1114101..1,aIts4 , (wina..vrtrsal / „„_2, 71; ' 19,1i ,,c9 50 FIFTY . IDINNTS. 450 I No.,- to, II IN CURRENT BANK NOTES AT MY OFFICE. LAYTON, ALL., Jail. 1, 11'.2. 1//- I PROMISE TO PAY TO REAR,ER ON DEMAND -11".. C.114+ s 54 January/February 2004 • Whole No. 229 • PAPER MONEY Additions to Alabama Obsolete Notes & Scrip Submitted by Bob Cochran THROUGH THE COURTESY OF ROBERT VLACK, WE CAN ADD IMAGES OF SEVERALnotes not illustrated in the SPMC book Alabama Olbsolete Notes and Scrip, authored by Walter Rosene, Jr., in 1984. In addition, we are adding several NEW notes to the cataloged issues of Alabama obsolete notes and scrip! Rosene 2 - 11: $5 Bank of the State of Alabama, branch at DECATUR. POST NOTE. Dated May 8, 1834, payable at the Bank of Louisiana, "3 Days after date." (The payee on this note, Theophilus Lacy, was later Cashier of the Northern Bank of Alabama at Huntsville.) 5 TWENTY-FIVE CENTS, 25 7414: / I PROMISE 'Co PAV To REAR.ER ON 'DEMAND TWENT Y -FIVE OCKfte IN CURRENT RA Ali Nov Es AT MV OFFICE: Rosene 44-3: 25 cents - M.M. Laseter, CLAYTON, Alabama. Dated Jan. 1, 1862. Previously unlisted denomination. Rosene 44-4: 50 cents - M.M. Laseter, CLAYTON, Alabama. Dated Jan. 1, 1862. Previously unlisted denomination. IN- CAJ CLAYTON, Ala., July lat, 1862. eazinta azatai. &MAMMA. One Dollar. Payable in Groceries, at the Store of Gainesville, Ala. 183 / See our online application and rate quote forms on our website! PAPER MONEY • January/February 2004 • Whole No. 229 55 Rosene 44-6: $2.00 - M.M. Laseter, CLAYTON, Alabama. Dated July 1st, 1862. Previously unlisted denomination. Rosene 103-3: $1.00 - James Allen store, GAINESVILLE, Alabama. Dated July 22, 1837. Previously unlisted denomination. Collectibles IMAtlArkCSAA■Paatif INSURANCE FmoornTehyecPoalipeecrtor Your homeowners insurance is rarely enough to cover your collectibles. We've provided economical, dependable collectibles insurance since 1966. • Sample collector rates: $3,000 for $12, $10,000 for $32, $25,000 for $82, $40,000 for SI32, $60,000 for $198, SI per $1,000 above 560,000. • Our insurance carrier is AM Best's rated A+ (Superior). • We insure Paper Money, Stock Cer- tificates and scores of other collectibles in numerous categories. "One-stop" ser- vice for practically everything you collect. VISA' • Replacement value. We use expert/ Professional help valuing collectible losses. Consumer friendly service: Our office handles your loss—you won't deal with a big insurer who doesn't know col- lectibles. • Detailed inventory and/or professional appraisal not required. Collectors list items over $5,000, dealers no listing required. Mast Collectibles Insurance Agency P.O. Box 1200-PMC • Westminster MD 21158 E-Mail: info©insurecollectibles.com More Info? Need A Rate Quote? Visit: www.collectinsure.com Or Call Toll Free:1-888-837-9537 • Fax: (410) 876-9233 .c 4r, imrostmo. V 2 titt+ Itoof& 274i . ipo.te of Motilinn. and its „Brim etiei; oluehe nololutlf Fit'S DOLLARS “Teltrmiitce, eimrolvtott, Grecntilturough, r.'.& J. cimo.,t ID Iiirics of the TI A It DOIMAN, . W. CHADWICK, On demand, I will pay to 0E- 0. WASHINGTON, or Bearer, FIFTY CENTS, In Bills of the Bank of the State of Alabama, or s Bra else when the amount of Five Dokars is presented. OLNEY, Ala. ;Di* 11. ISM E. Morria, Philadelphia. 56 January/February 2004 • Whole No. 229 • PAPER MONEY Rosene 117-2 25 cents - The GREENSBOROUGH Change Association Dated September 14, 1842. ("'September"- and "1842" printed) Previously unlisted denomination, variation in spelling of "Greensboro." Rosene 191-1: 25 cents - The Dauphin Street Hotel Dated September 10, 1837. Rosene 269-2: 50 cents - OTWAY ALLEN, Olney, Alabama. Dated October 20, 1838. Previously unlisted denomination. Imprint: E. Morris, Philadelphia MACERATED MONEY Wanted information on U.S. Chopped up Money. Who made the items, where sold, and anything of interest. Also I am a buyer of these items. Top Prices paid. Bertram M. Cohen, 169 Marlborough St., Boston, MA 02116-1830 E-mail: Marblebert@aol.com PAPER MONEY • January/February 2004 • Whole No. 229 BUYING AND SELLING PAPER MONEY U.S., All types Thousands of Nationals, Large and Small, Silver Certificates, U.S. Notes, Gold Certificates, Treasury Notes, Federal Reserve Notes, Fractional, Continental, Colonial, Obsoletes, Depression Scrip, Checks, Stocks, etc. Foreign Notes from over 250 Countries Paper Money Books and Supplies Send us your Want List . . . or .. . Ship your material for a fair offer LOWELL C. HORWEDEL P.O. BOX 2395 WEST LAFAYETTE, IN 47996 SPMC #2907 (765) 583-2748 ANA LM #1503 Fax: (765) 583-4584 e-mail: lhorwedel@insightbb.com website: horwedelscurrency.com Always Wanted Monmouth County, New Jersey Obsoletes — Nationals — Scrip Histories and Memorabilia Allenhurst — Allentown — Asbury Park — Atlantic Highlands — Belmar Bradley Beach — Eatontown — Englishtown — Freehold — Howell Keansburg — Keyport — Long Branch — Manasquan — Matawan Middletown — Ocean Grove — Red Bank — Sea Bright — Spring Lake N.B. Buckman P.O. Box 608, Ocean Grove, NJ 07756 800-533-6163 Fax: 732-282-2525 New Hampshire Notes Wanted: Obsolete currency, National Bank notes, other items relating to New Hampshire paper money from the earliest days onward. Dave Bowers P.O. Box 539 Wolfeboro Falls, NH 03896-0539 E-mail: qdbarchivePmetrocastnet 57 r 1 Buying & Selling All Choice to Gem CU Fractional Currency Paying Over Bid Please Call: 916-687-7219 ROB'S COINS & CURRENCY P.O. Box 303 Wilton, CA 95693 L Real ExtstePled-getImp .,'0304— --e 7 Akab • ilolawas,„ , /v., ''.17S.41.1)1C-P CS- 17 '4 1' (r)o1,4o 11121:11BEESSEBITIM"-- Re allEetateilledied. ec= 1 rtatta07 /,___ // / • • „ -mar c: 500000 Mai:Y1 Ph.,"?.Avi,t2e1 -1.- 101WWW:E.77--:".0-7,1 101gOISMEDSMalteelatg. 12,4■1 E mate Pledged. 11( ,, 7 abtY/l!.27 Iney ci WOE ////'/////, ,TALTAILF I 'yes 58 January/February 2004 • Whole No. 229 • PAPER MONEY Rosene 357-4: $5.00 1 The Wetumpka Trading Company Dated December 1st, 1838. Rawdon, Wright & Hatch, NY. UNLISTED: $5.00 - The Wetumpka Trading Company Dated January 26, 1839. Rawdon, Wright & Hatch, NY. POST NOTE! "Four Months after date... payable on demand... at their office in Wetumpka..." Rosene 357-5: $10.00 - The Wetumpka Trading Company Dated December 1st, 1838. Rawdon, Wright & Hatch, NY. We are proud to continue the numismatic legacy begun in 1933 Specializing in Quality and Rare U.S. Currency U.S. Large Size Fractionals Colonials Nationals National Gold Bank Notes Encased Postage Kagin's -- an established name for conservative grading of quality notes. We specialize in building U.S. currency collections of premium quality and rare notes. Favorable terms to suit your individual needs. 98 Main Street #201 Tiburon, CA 94920 1-888-8KAGI NS www.kagins.com Call Judy Buying Carl Bombara Selling United States Currency P.O. Box 524 New York, N.Y. 10116-0524 Phone 212 989-9108 1 1,,NIAB ...IA ttI: 1,.ma,-,1_, , ROBERT I. KRAVJTZ A Cons.crox's GUIDE TO POSTAGE C7' FRACTIONAL CURRENCY Z4VAEl PAPER MONEY • January/February 2004 • Whole No. 229 CHATTANOOGA MONEY CD CD Book on all Chattanooga, TN numismatic items • • Obsolete bank notes, & census, updated rarity • • Scrip: depression, railroad, city, private, Co. • • Certificates, coupons, advertising notes • • National Bank Notes & census • Checks, tokens & medals • • 1000+ color images, new research, $25 Dennis Schafluetzel & Tom Carson 1900 Red Fox Lane; Chattanooga, TN 37343 Dennis@Schafleutzel.org 59 New compendium makes good sense out of small notes U .S. FRACTIONAL CURRENCY IS ONE OF THEmost popular types of paper money, with a vigorous specialized organization (FCCB), a definitive well-orga- nized cataloging system, an industrious cadre of collectors/ dealers, and even a special issue of Paper Money. Why then does it need another book on its small, specialized field? Dealer-collector Rob Kravitz provides the answer to that thorny question with a wonderful, lucid book that will open the genre to novices and even teach advanced collec- tors a thing or three. His "collector's guide" is terrific! Quite simply this book adds a level of enjoyment, information, and entertainment to a specialized area that will make both ends of the collecting spectrum and all those in-between stand up, take notice, and applaud. Kravitz embraces FC's nuances like Alec Baldwin takes to Kim Basinger's curves! A well-known FC dealer for many years, Kravitz's work is NOT another catalog. Its author assumes his read- er already own one (and probably more) of the several FC catalogs already available and procedes to provide pricing data, information, historical details, vintage illustrations, collector tips, and a full color type set, which add more enjoyment to one's collecting, and also proves instructive. Writing this brief review is just too easy. Kravitz (below, a former foosball professional whose dad once fired him from working at the family store because of his bohemian approach to life) approaches his subject with intelligence and humor. He provides show information, dealer information, termi- nology, clear illustations, quantities, dates, errors, just about anything fractional that one could conceivably think of or want. This book is highly recommended and its style would be well served by other specialized fields. So pony up $29.99 (plus $3 S/H) to Rob at PO Box 303, Wilton, CA 95693.--Fred Reed, Editor + 1 T OF WAR4-4." GOOD EXCHAN SPECIF NTS IN ETS AS COVER TARif OR =II. e Ars-- goo THE COUPONS IN THIS BOOK WILL BE ACCEPTED IN. PURCHASE OF ADMISSION AND SEAT TICKETS AT LIBERTY THEATRES. LIBERTY, TENTS AND AUDITORIUMS UNDER " THE MANAGEMENTADF THE COMMISSION ON TRAINING CAMP ACTIVITIES•N NATIONAL ARMY CANTONMENTS AND NATIONAL GUARD CAMPS. TO 111611•11116 • • FROM 0z 0 60 January/February 2004 • Whole No. 229 • PAPER MONEY WW I Liberty Theaters Smileage Books By Forrest W. Daniel T HEATER TICKETS BEARING THE SIGNATURE OF Secretary of War Newton D. Baker provided entertainment for soldiers at Liberty Theaters established at 34 military training camps during World War I. Designated "Smileage Books," the booklets were issued by the Commission on Training Camp Activities, and were meant to be sold to the public to be given as gifts to servicemen. The coupon books of 20 five-cent admis- sion tickets should be considered a form of military currency. In order to prepare to indoctrinate the mass of soldiers and sailors to be draft- ed into military service for World War I, the President directed the Secretary of War, in April 1917, to appoint a Commission on Training Camp Activities. A simi- lar commission was formed for the Navy; Raymond B. Fosdick, Buffalo, New York, was chairman of both. Draft registration day was June 5, 1917. The task of the Commission was "to foster in the camps a new social world," in addition to the routine of military training. The Commission provided club life, organized athletics, furnished theaters, recreation and educational facilities, plus opportunities for religious services. The Commission also sought to protect the young men from the evils of venereal disease through lectures on social hygiene and strict enforcement of laws against liquor selling and prostitution. The Commission invited the Young Men's Christian Association, Young Women's Christian Association, National Catholic War Council (Knights of Columbus), American Library Association, Salvation Army, Jewish Welfare Board, and the War Camp Community Service to undertake and coordinate such activities consistent with the needs of the officers and men. The activities of the Commission were financed by congressional appropriation, private donations and the Smileage Book campaign, which resulted in the sale of $3,000,000 worth of the Liberty Theater tickets. Only a single $1.00 Smileage Book is known to the author. Further details of other denominations, if any, may have been in the Commission's final report; but only a summary of that report appears to have been published, and Liberty Theaters received only a cursory paragraph. While the Commission on Training Camp Activities benefited the service- men in many ways it was the Army's Liberty Theaters and their "Smileage Book" tickets that have collector interest. (The Navy had no Liberty Theaters.) Fully-equipped with all the necessary fixtures for handling scenery and light- ing, the Liberty Theaters seated between 1,000 and 3,000. Built of wood so that they could be emptied rapidly in case of fire, the cost varied from $5,000 to $50,000 depending on size. The gov- ernment appropriated $1,500,000 for the work. Each theater had a resident manager appointed by the Commission. In addition to top-flight performances by professional dramatic and musical compa- nies on the booking circuits, SMILEAGE BOOKS ISSUED BY WAR DEPARTMENT COMMISSION ON TRAINING CAMP ACTIVITIES RAYMOND B. FOSDICK CHAIRMAN 40,4. LEE F. HANMER HARRY P HARRISON MANAGING DIRECTOR MANAGING DIRECTOR LIBERTY THEATRE LIBERTY TENT AND SERVICE AUDITORIUM SERVICE PAPER MONEY • January/February 2004 • Whole No. 229 61 motion pictures, vaudeville, lectures, solo musicians and other recreational facilities, the Commission provided dramatic directors so the men could stage their own per- formances. The theaters were also used for other instructional purposes. Smileage Books were numbered and printed in red and blue on pink paper. On the cover the title, price, ticket book number [A 507366] and a picture of a tilt- hatted soldier are red. All blue text in capital letters: "The coupons in this book will be accepted in / purchase of admission and seat tickets at Liberty / Theaters, Liberty Tents, and Auditoriums under / the management of the Commission on Training / Camp Activities in National Army Cantonments / and National Guard Camps. / FROM / TO Left end: Military Entertainment Service. Right end: Good for duration of war. Outside the border: Printed for the War /Department by / Globe Ticket Company, Philadelphia, Pa." Back cover text all caps.: Smileage Books Issued by War Department / Commission on Training Camp Activities / Raymond B. Fosdick, Chairman / Lee F. Hanmer / Marc Klaw, managing director, Liberty Theater Service / Harry P. Harrison, managing director, Liberty Tent and Auditorium Service." Tickets on pink paper are four to the 2- x 4 1/2-inch page, numbered the same as the cover, with the number and soldier's portrait in red. The all caps text and a shield with an open 5 are blue: "Military Entertainments / Good for 5 cents in / exchange for tickets as / speci- fied on front cover / [Sig.] Newton D. Baker / Secretary of War." On the back of the ticket, in blue, is the boxed statement: "Plenty of hard work and / clean fun make for vigor / and manhood-the prime / requisites for a soldier / Newton D. Baker / Secretary of War." In addition to the funds provided by Congress and the sale of Smileage Books, a drive for funds to support and continue the work of the Commission on Training Camp Activities was scheduled for November 11, 1918. In spite of the signing of the armistice on that date, the subscription raised $205,000,000 which was distrib- uted, in percentages, to the several civilian groups which had undertaken to perform the training camp programs. Part of these funds were sent overseas to care for the American Expeditionary Forces. With the return of the Army to peace-time basis, conferences were held to discuss the future of Commission's educational and welfare work in the Army and Navy. On November 1, 1919, the functions of the Commission on Training Camp Activities became the responsibility of a branch of the Army's War Plans Division. In the Navy, officers and men of the Sixth Division carried on similar duties. The Smileage Books of tickets to Liberty Theaters and Liberty Tents are reminders of only part of the activities undertaken to educate, indoctrinate and entertain the young men conscripted into military service of the United States during the first World War in 1917 and 1918. They should qualify as a form of military currency. Sources Navy Department. Annual Reports of the Secretary of the Navy, 1918, 1919. Washington: GPO. War Department. Annual Reports, 1918, 1919. Washington: GPO. Committee on Public Information. "Work of the Commission on Training Camp Activities Reviewed and Analyzed in Annual Report of Chairman." Official United States Bulletin, Dec. 16, 1918. Washington, D. C. (The full report seems not to have been published) Smileage Book back cover Tti' COVN re ei iP 2 A 1r „.„To 149- 4voirt1.11 ; c; 1.!61;4*, mC th r ritrar, Cram the (in pore,en of the itistriet -.1 i , ■12, hearing interest at ,; 0119 vniee of en ()milita t ; CrFp9rath11. Figure 2 62 January/February 2004 • Whole No. 229 • PAPER MONEY Two Notes, One Signature By Bob Schreiner D URING THE DIFFICULT ECONOMIC TIMES OF 1837,there was a proliferation of scrip, paper money issued by merchantsfor use as small change. Some of the scrip was payable in the com-modities the merchant sold. The Philadelphia note shown in Figure 1 is payable in beef. It bears the distinctive signature of L. Shuster, whom we might conclude was a butcher. He tells us he operated stall 31 High Street Market, corner of Front. Figure 1 Philadelphia, May /Z . IS 7. TWISIT`WW4041317M UMNTO On . i.leiliand I promise to pay in Beef, or when a sum aniountimt, t Fivi:Lmins shah - be presentedi in-one of the City Bank my Stall. No. 31 High Street MaI.ket, corner oi;.fprent. Long after I obtained the beef note, I saw the note in Figure 2 on eBay, and recognized the signature, the same L. Shuster, and I bought it. It is a note of the Corporation of Spring Garden, signed by the assistant treasurer. Oddly, the note also lists Philadelphia with the date. Both notes are dated in May 1837. The signatures seem clearly from the same person, although the beef note signature is bolder and slants to a greater degree. If L. Shuster was a merchant in Philadelphia and also assistant treasurer of Spring Garden, we might conclude that he lived in Spring Garden, which ought to be within 1837 commuting distance of his shop. Could this be verified? I went to my road atlas. There is no High Street in Philadelphia, but Shuster's stall could be at the corner of Market and Front Streets, a prime downtown location. There is also a Spring Garden Street not too far from this intersection. Spring Garden as a municipality exists in my road atlas, but it is a suburb of York, about 100 miles from Philadelphia, no 1837 commute. Could I get better information from a contemporary map? I went to the map collection of the library at the University of North Carolina at Chapel Hill, a great resource. The helpful librarian quickly found 1811 and 1838 Philadelphia street maps. From the 1838 map, what is now Market Street is listed as High or PAPER MONEY • January/February 2004 • Whole No. 229 63 Market Street -- both names were apparently used then. Spring Garden was a Figure 3 community of 11,141 people just north and a bit west of the downtown area, clearly within 1837 commuting distance. Philadelphia in 1838 had "more than" 200,000 people. Apparently once a separate municipality, Spring Garden is now a part of Philadelphia. The present Spring Garden street runs through that area. The 1811 map provided additional information. Market/High Street is listed simply as High Street. Spring Garden is there, though it is much small- er. Markets in the middle of High Street were the center of an active com- merce, as shown in the illustration from the Philadelphia Inquirer, about 1838, Figure 3. The notes have more to tell. The Corporation of Spring Garden notes are listed in Richard T. Hoober's Pennsylvania Obsolete Notes and Scrip, the stan- dard catalog for this state. Hoober displays a 50-cent note, Figure 4 (that note is now in my collection). The date of both Spring Garden notes is May 15, 1837. But the signers are clearly different. Were there two assistant treasurers at the same time? That certainly is possible. Another possibility is suggested by the word "counterfeit" lightly written on the back of the note in Figure 1. Could this be either a counterfeit or a gen- ,! 0 ;',,P lt 9: 0 1,,\Y SPRING GAR,DEN, so (sent,. 1,1 1111: VO , N71- Or 4 4to /P),z141 4.414 Zit It — — OAN No. 11.-Me4leennable May tath. 1S31. Thh tertifythut there i0 title the 13ektr, from the Corporat,M of dug Siring Garden" the sum of OFIN CCNTS-bearinz interest at the of one per cent. per annum, rayabl.e. 3loy tatK, Ortlin*nee t'orpnratinn, pass*.' thè 73Th Nifty ; Figure 4 69 , 1\17C,..cfrVeceation tut tritul. :'erice&iii, TibtaelliWr 404 bearing teterest u). the per arm.. Play fkfi, 183.,443y virtue orirsc4tcrseta50— passed thet9tirintly, 1107. 64 January/February 2004 • Whole No. 229 • PAPER MONEY uine note with an illegal signature? Maybe, but it seems unlikely that L. Shuster, an established business man with his own scrip, would risk illegally signing his name on a one dollar note. Figure 5 shows a likely counterfeit from Spring Garden. Notice the crudeness of the Washington portrait. Hoober lists no such note. More could probably be learned about L. Shuster and the government officials of Spring Garden, but that would almost certainly require a trip to Philadelphia to examine local historical records such as city directories and municipality records. Perhaps a Philadelphian reading this article is moved to carry this work to the next step. You can learn more about the map collection at UNC-CH at http://www.lib.unc.edu/maps ALEX PERAKIS COINS & CURRENCY WE HAVE TO BUY and are willing to pay substantially over green sheet bid for certain issues WE BUY IT ALL from VG to Superb Gem Specializing in: • United States Large & Small Type Notes •Large and Small Nationals • Obsoletes •Fractional Notes (a large selection) All Want Lists are cheerfully accepted and conscientiously pursued for the beginning, as well as the advanced collector. Krause Publications Customer Service Award Recipient 115 consecutive yeast ALEX PERAKIS Member ANA, PCINI, SPMC, FCCB, CCCC P.O. Box 246 • Lima, PA 19037 Fax: (610) 891-1466 Phones: (610) 565-1110 • (610) 627-1212 E-mail: alperakis@AOL.com In Arizona (520) 544-7778 • Fax: (520) 544-7779 PAPER MONEY • January/February 2004 • Whole No. 229 65 On This Date in Paper Money History -- Jan. 2004 By Fred Reed Jan. 1 1735 Colonial engraver Paul Revere born; 1791 Bank of North America converts from Mexican to U.S. dollars; 1899 U.S. currency circulates as legal tender in Puerto Rico; 1911 Lee F. Hewitt born; 1962 SPMC merges with the World Paper Money Club; Jan. 2 1779 Continental Congress recalls loan certificates counterfeited by British; 1865 Production of Original Series $1/$2 plates; 1913 Film The Adventures of the Counterfeit Bills dubuts; 1914 Vladimir Clain-Stefanelli born; 1941 Aubrey Bebee opens shop; Jan. 3 1862 Feds suspend specie payments; 1878 BEP introduces Milligan Steam Printing Press; 1882 Senator Clement C. Clay, who appears on Confederate $1 notes, dies; 1911 Retrospective of Walter Shirlaw's (FR 394-408) work opens in Chicago; Jan. 4 1777 Congress' bills of credit lawful tender in payment of debts; 1842 First Thompson's Bank Note Reporter; 1864 Essayist John Burroughs clerks at National Currency Bureau (BEP); 1984 BEP's first spider press souvenir card at FUN; 1991 Bob Medlar dies; Jan. 5 1720 John Law Comptroller General of France; 1955 Florida Rep Charles Bennett enters legislation requiring IGWT on currency; 1963 First delivery 1950D $5 FRNs; Jan. 6 1759 George Washington marries Martha Dandridge Custis (FR 224-225); 1811 Senator Charles Sumner (FR 345) born; 1849 Mormon Church Council issues leftover Kirtland Safety Society Bank notes from 1837; 1964 Series 611 MPCs issued; Jan. 7 1782 First bank in U.S., Bank of North America opens for business; 1900 Fred Smillie completes engraving of Ta-to'-ka-in'-yan-ka of the Oncpapa tribe for currency; Jan. 8 1786 Second Bank of U.S. president Nicholas Biddle born; 1918 U.S. Treasurer Ellis Roberts dies; 1931 First delivery 1928A $5 USNs; 1944 OPA deadline for ration token bank accounts; 2000 CAA sells unique $1000 Gold Certificate (FR 12I8d) $945,000; Jan. 9 1803 CSA Treasury Secretary C.G. Memminger, who appears on Confederate $5/ $10 notes, born; 1822 Dealer William Harvey Strobridge born; 1938 SPMC member Dan Greydanus born; 1961 De la Rue acquires security printer Waterlow and Sons; Jan. 10 1843 Notorious bank robber Frank James born; 1855 John Jay Knox cashier of Susquehanna Valley Bank; 1964 Nathan Goldstein's column "Paper Money Periscope" debuts in Coin World; 1968 SPMC amends Articles of Incorporation to meet IRS non- profit requirements; 1983 NASCA sale of Charles J. Affleck Collection begins; Jan. 11 1755 Treasury Secretary Alexander Hamilton (FR 1-5, 41) born; 1862 Leslie's Illustrated shows Confederate Treasury Note; 1902 Geographical letter (N,E,S,M,W, P) printed on NBN faces to aid in sortation; 1942 Smithsonian's Dick Doty born; Jan. 12 1815 Celebrated collector Jeremiah Colburn born; 1826 Committee appointed to con- sider establishing branch banks for Bank of England; 1897 National Monetary Commission undertakes revision of U.S. monetary system; Jan. 13 1808 Treasury Secretary Salmon P. Chase (FR 16-17) born; 1861 C.S. German takes bearded Lincoln photo engraved for $10 Demand Notes (FR 6-10); 1881 Engraver Nathaniel Jocelyn dies; 1979 Eric Newman wins ANS Huntington Medal; Jan. 14 1779 Last Continental Currency (FR CC87-102); 1858 Treasury Secretary and "Father of the Federal Reserve" Carter Glass born; 1875 Congress provides for redemption of Fractional Currency in silver coins; Jan. 15 1838 Republic of Texas issues first engraved promissory notes $1-$50; 1865 Secretary of State Edward Everett (FR 323-329) dies; 1872 Supreme Court upholds constitution- Stake your claim to this valuable advertising space all month long Special Rates Apply Contact the Editor for Details aliry of Legal Tender Acts; 1885 David Proskey sells Raphael Thian's collection; Jan. 16 1833 Colonel "Bloody Ban" Banastre Tarleton, depicted on Confederate Currency, dies; 1978 Smithsonian acquires Chase Manhattan Bank collection; 1984 Grace Commission recommends Federal Reserve adopt a standard seal; Jan. 17 1706 Currency printer Benjamin Franklin (FR 152-164) born; 1817 Second Bank of U.S. opens; 1914 Ben G. Green dies; 1918 Treasury Secretary Joseph W. Barr bom; 1934 Gold Certificates become illegal for individuals to own; Jan. 18 1782 Senator Daniel Webster (FR 96-113) born; 1813 Engraver John Wellstood born; 1887 Last stacked Treasury Signatures approved on NBN plates; 1898 Engraver Thomas F. Morris dies; 1949 Notorious bunco financier Charles Ponzi dies; Jan. 19 1839 Republic of Texas authorizes treasury notes, $5-$500; 1853 William Tecumseh Sherman offered banking partnership in San Francisco; 1926 SPMC member George W. Taylor born; 2001 R.M. Smythe Strasburg sale features Penn Central certificates; Jan. 20 1801 Fire damages Treasury Building; 1939 SPMC member Patrick Cleary born; 1953 End of Snyder-Clark combined tenure; 1968 Treasury Secretary Henry Fowler signs TO-212 approving new, less ornate Treasury Seal; Jan. 21 1802 U.S. Treasurer Francis E. Spinner (FR 1324-1342) born; 1824 CSA's Thomas Jonathan "Stonewall" Jackson, who appears on Confederate $500 notes, born; 1971 Treasury circulates last USNs; 1977 NASCA's Jack Guevrekian NY obsoletes sale; Jan. 22 1879 Last shipments of $1/$2 Nationals to FNB Warren, RI (charter #673); 1890 Treasury Secretary Fred Vinson born; 1932 Former Comptroller of Currency Charles G. Dawes wins Nobel Peace Prize; 1969 David Kennedy becomesTreasury Secretary; Jan. 23 1862 Louisiana OKs state TNs; 1903 Frank Katen born; 1941 Detroit Coin Club 400th meeting honors Albert A. Grinnell; 1949 SPMC member Gary Lybeck born; Jan. 24 1813 Continental Treasurer George Clymer dies; 1922 End of Elliott-White combined tenure; 1932 Fractional Currency author D.W. Valentine dies; 1953 Early paper author ANA President Waldo C. Moore dies; 1997 Smythe 10th Strasburg Auction; Jan. 25 1790 William Cooper of Otsego County, NY issues scrip; 1845 Alabama liquidates State Bank of Alabama; 1922 Noted banker, Comptroller of Currency and paper money author A. Barton Hepburn dies; 1956 SPMC member Gary Parietti born; Jan. 26 1863 John Sherman introduces National Currency Act in U.S. Senate; 1884 Virginia Governor John Letcher, who appears on state notes, dies; 1951 SPMC member Gary Pheanis born; 1992 BEP and U.S. Chief Mint engraver Gilroy Roberts dies; Jan. 27 1900 U.S. Treasurer Georgia Neese Clark born; 1904 First impression from Bailey, Banks & Biddle's engraver Max Zeitler's new U.S. Great Seal die; 1910 Story of Paper Money author Fred Reinfeld born; 1982 Last delivery Series 1977 $20 FRNs; Jan. 28 1834 Indiana Legislature charters State Bank of Indiana; 1847 Congress authorizes treasury notes to finance Mexican War; 1954 SPMC member Phil Delia born; 1974 BEP Director James Conlon discontinues Bureau souvenir cards "to conserve energy;" Jan. 29 1761 Treasury Secretary Albert Gallatin (FR 183) born; 1843 President William McKinley (FR 613-638) born; 1891 Treasury Secretary William Windom (FR 245- 246) dies in office; 1968 Treasury Seal with English legend approved; Jan. 30 1897 New York Colonials author John H. Hickcox dies; 1934 Confederate and Southern States Currency author Grover Criswell born; 1934 Congress passes Gold Reserve Act, currency no longer redeemable in gold; 1978 NASCA sells Dave Bowers obsoletes; Jan. 31 1734 "Financier of Revolution" Robert Morris (FR 186) born; 1866 Alabama legisla- ture OKs county scrip; 1897 Numismatist Arnold Keller born; 1940 First Social Security check issued to Ida Fuller; 1966 First Wismer Chair Fred Marckhoff dies v January/February 2004 • Whole No. 229 • PAPER MONEY A Few Unreported Pennsylvania Notes By Steve Whitfield With Apologies to William B. Warden, Jr. N OTE: NEARLY TEN YEARS AGO MR. WARDEN SENT some illustrations of various Pennsylvania obsolete notes and scrip that he had uncovered to Gene Hessler, then Editor of this publi- cation, Paper Money. Gene forwarded the letters and illustrations to Steve Whitfield, who promptly misplaced them "somewhere," Steve relates. Steve recently moved to Florida, and in the process of cleaning out and packing, turned up Mr. Warden's letters with the note illustrations. In hopes that Mr. Warden finally gets to see these in print, along with other collectors of Pennsylvania notes, here are those illustrations. . , BRISTOL / The first note was altered from Hoober No. 186-21, $10; on the Farmer's Bank of Lancaster, altered to Bucks County, Bristol. This note did not appear in the Pennsylvania book nor in the Haxby catalog. The signatures are forged, note especially the one of A. Burton, as pres't. 66 I e i ie/ /e/ // .// -e,////47,e • e ie./eta/Ai' 1'0 if , For T ENT V FIVE 1. • 1■■•■•••■ I ( ir /hp,- /.5e. / Z//41pi, ler ' The second note is a proof, (not ex-ABNCO) of the New Hope Delaware Bridge Co., New Hope. Mr.Warden thought this was probably Hoober 271-24, of which, no description was available. The printer was Durand & Wright. PAPER MONEY • January/February 2004 • Whole No. 229 67 On This Date in Paper Money History -- Feb. 2004 By Fred Reed © Feb. 1 1825 Planters & Merchants Bank of Huntsville fails; 1933 Tromp toed currency artist John Haberle dies; 1936 Treasury Secretary and Comptroller of Currency no longer ex- officio members of Federal Reserve Board; 1978 NASCA sells Paul Garland Collection of Confederate bonds; 1979 Bank Note Reporter first published by Krause Publications; Feb. 2 1794 William Otis, who appears on Ohio bank notes, born; 1819 Confederate note fac- similist Sam Upham born; 1927 BEP Director Robert Louver born; 1935 First delivery Series 1934 $20 FRNs; 1948 SPMC member Tyronne Furrow born; Feb. 3 1690 Massachusetts Colony issues first governmental paper money in Western Hemisphere (FR MA5-8); 1811 Horace Greeley, printer of Sl. Sylvester's Bank-Note Reporter, born; 1822 Counterfeiter William "Long Bill" Brockway born; 1964 FC author Frank A. Limpert dies; Feb. 4 1841 Second Bank of the United States closes its doors; 1870 Supreme Court 4-3 in Hepburn v. Griswold holds the Legal Tender Acts unconstitutional; 1879 The new consolidated ABNCo with NBNCo and ContBNCo added incorporates; Feb. 5 1864 Isaac F. Wood joins ANS; 1883 Congress authorizes gold medal for philan- thropist John F. Slater's gift to Black education; 1911 Collector-King Victor Emanuel III of Italy becomes honorary president of Academia Nazionale dei Lincei; Feb. 6 1819 McCulloch v. Maryland upholds Congress' power to charter Second Bank of U.S; 1866 First National Bank organized in Arkansas (FNB Fort Smith #1631); 1935 Board game Monopoly goes on sale; 2004 R.M. Smythe stages 17th Strasburg Stock/Bond Sale; Feb. 7 1759 Connecticut Colonial Currency (FR CT97-104) bears this date; 1865 Early ban- knote engraver John Draper dies; 1967 SPMC member Susan B. Cohen born; Feb. 8 1820 Union general William Tecumseh Sherman (FR 379) born; 1861 Alabama Assembly authorizes Governor to issue state notes payable in Confederate currency; 1936 M.H. Bolender sells Alexander P. Wylie paper money collection Part 2; Feb. 9 1773 U.S. general and President William Henry Harrison, who appears on many Indiana state banknotes, born; 1864 Photographer Anthony Berger takes famous Lincoln photo that appeared on FRNs for 70 years; 1886 Union general Winfield Scott Hancock (FR 240-244) dies; 1892 Comptroller & author of United States Notes John J. Knox (686-707a) dies; 1937 SPMC member Leon Christodoulou born; Feb. 10 1796 Banknote engraver Charles Toppan born; 1817 U.S. Treasurer Samuel Meredith dies; 1860 Bank of Mississippi forced to move from Princeton to Greenville due to shift in Mississippi River course; 1863 Evansville, IN postmaster reports "plenty" of Postage Currency in circulation; 1894 Mississippi authorizes issue of state Special Warrants; Feb. 11 1779 Continental Congress establishes office of Secretary of the Treasury; 1812 CSA Vice President Alexander H. Stephens, who appears on Confederate $20s, born; 1828 NY Governor Dewitt Clinton (FR 187) dies; 1847 Congress authorizes War Bounty Land Scrip for Mexican War vets; 1976 BEP accepts first Magna Press; Feb. 12 1809 President Abraham Lincoln (FR 6-10) born; 1867 Confederate note facsimilist Sam Upham patents beef extract "nutritive medicine;" 1876 Ohio jurist Hosea Williams, who appears on state bank notes, dies; 1931 SPMC member Raymond Iacobacci born; 1937 The German film The Counterfeit Bill debuts in the United States; Feb. 13 1834 Indiana General Assembly charters State Bank of Indiana; 1866 Alabama Reconstruction legislature certifies scrip previously emitted under military authority; 1866 Engraver George W. Hatch dies; 1939 SPMC member Paul J. Puskar born; Feb. 14 1824 Union general Winfield Scott Hancock (FR 240-244) born; 1880 Congress per- mits National Gold Banks to convert to National Banks; 1891 Union general William Tecumseh Sherman (FR 379) dies; Feb. 15 1876 Fifth Issue of Fractional Currency ceases; 1878 First National Bank chartered in North Dakota (ND FNB, Fargo #2377); 1915 Notorious bank robber Frank James dies; Feb. 16 1811 Congress charters Fanners Bank and Bank of Potomac, Alexandria, D.C.; 1828 Engraver Joseph Ourdan born; 1866 State Bank of Tennessee liquidated; 1875 Fourth Issue FC ceases; 1973 Independent Arbitrage Int'l issues bearer "constant" notes; Feb. 17 1776 Albany County, NY issues scrip; 1776 Sole emission of Continental Currency fractional notes; 1864 CSA Congress authorizes $500 treasury note; 2003 Traveling exhibition Confederate Currency: the Color of Money opens in Baton Rouge; Feb. 18 1836 Pennsylvania recharters Second Bank of the United States as United States Bank of Pennsylvania; 1861 Jefferson Davis, who appears on Confederate 50-cent and $50 bills, elected CSA President; 1862 New York encased stamp issuer Patrick H. Drake patents his log cabin bitters bottle; 1905 Civil War financier Jay Cooke dies; Feb. 19 1842 Wisconsin Legislative Assembly authorizes Territorial Warrants for payments; 1873 Comptroller of Currency required to report on condition of state banks; Feb. 20 1781 Congress unanimously elects Robert Morris Superintendent of Finance; 1840 Mississippi requires banks to redeem outstanding notes with specie or close; 1894 Attorney General Richard Olney rules that Silver Certificates are not "lawful money;" 1942 SPMC member John Sheldon born; Feb. 21 1861 CSA Treasury Secretary Christopher Memminger's tenure begins; 1863 Scientific American reports NYC's Eighth Avenue Railroad Co. redeemed $8,400 face value in stamps taken as fares; 1921 BEP Director James A. Conlon born; Feb. 22 1732 George Washington (FR 18-40) born; 1777 Continental Congress specifies all promissory notes be signed by Michael or Samuel Hillegas; 1862 Date of organization displayed on CSA Great Seal; 1951 SPMC member Pete Angelos born; 1999 World's first FDIC-insured Internet-only bank (firstib.com) goes "on line;" Feb. 23 1842 New York City customs house opens; 1848 John Quincy Adams (FR 184) dies; 1867 Second Issue of Fractional Currency ceases; 1876 Last Fractional Currency issued; 1996 Treasury Secretary Joseph W. Barr dies; Feb. 24 1772 Treasury Secretary William Crawford (FR 1380-1381) born; 1815 Inventor Robert Fulton (247-248) dies; 1862 Philadelphia Inquirer depicts Confederate $5 on front page; 1964 Production Series 1963 $10 FRNs with "In God We Trust" begins; Feb. 25 1791 Congress charters the First Bank of the United States; 1863 Congress authorizes national banks & NBNs; 1863 Congress creates Comptroller of Currency; 1866 Engraver Abner Reed dies; 1927 Congress awards national banks perpetual charters; Feb. 26 1867 Kansas authorizes Union Military Scrip to pay Civil War claims; 1874 Fifth Issue of Fractional Currency commences; 1879 Congress authorizes $10 Refunding Certificates (FR 213 -214); 1913 Treasury Secretary MacVeagh instructs BEP to pro- ceed with redesigns for small size U.S. currency; 1924 Printing of sortation letters on NBNs discontinued; 2004 Chicago Paper Money Expo opens; Feb. 27 1787 Inventor of the geometric lathe Cyrus Durand born; 1795 "Swamp Fox" General Francis Marion, depicted on Confederate $100 note, dies; 1844 Nicholas Biddle, presi- dent of Second Bank of the U.S., dies; 1917 Treasury Secretary John Connally born; Feb. 28 1925 Continental/ Confederate Currency cataloger John W. Haseltine dies; 1961 First delivery 1950C $20 FRNs; 1976 Numismatic lit dealer G.F. Kolbe holds first mail bid; Feb. 29 1940 Congressional gold medal honoree Ecumenical Patriarch Bartholomew , born; 1944 Export license granted Egyptian King Farouk for 1933 U.S. gold double eagle • %Raj% to.fa.- /;/,; In current funds on demand, - I/ e'111-Z ht 0, y/1",,,/ f" /% r pit r;E !Ye /4,04 TWENTT-ELVE CENTS, Due to Bearer, tsfic S)o41( •—■ ‘Yo :purl Lf) iii r/;',//// hri-tee,i' Thrive k t hail CIS B S C () t7 NT v fp ! : 68 January/February 2004 • Whole No. 229 • PAPER MONEY The scrip notes, color copies of which were enclosed, included: • 1. Newtown, Bucks County, PA - A. Smith, 250 July 1, 1862. Similar to 100 note, Hoober 273-3. Note printed in red. • 2. New Hope, Bucks County, Pennsylvania-S5.00, New Hope Delaware Bridge Co., Jan 2, 1815. Should fit between Hoober 271-16 and 271-17. Engraved by W. Kneass, 125 Market ST., Phila. • 3. "Fill in issuer," 12+1/2c Bucks County, PA. Engraved by H. Andersen. The left side has an acid destroyed signature. Anyone have any idea? •CORRESPONDENCE FROM IRE TITAMC M !Weal tom N Yaw In PAPER MONEY • January/February 2004 • Whole No. 229 69 Winner of the 2003 NL5 Award for Best Currency Book AMERICAN HISTORY As SEEN THROUGH CURRENCY BY JOANNE AND EDWARD DAUER A PICTORIAL HISTORY OF SOME OF ME RAREST U.S. MONEY EVER SEEN ■1 11•111.111•1■Nommoh,_ tklatICAN FITORT As Seen Through Currency Joanne C. Dauer, Li N . Si S.N..N. Edward A. Dauer. B.S.E.E M S.131 , il7.0 . Never before has a book been published illustrating in full color rare U.S. currency plus historical documents written by some of America's most famous people. See some of the most beautiful reproductions in full color of rare U.S. money The Grand "Watermelon" note shown left, is one of only three by type that exists in private collec- tions, and is extremely rare. Read about the Generals that are illustrated on the currency. See reproductions of docu- ments from the Titanic that were written and sent by some of the victims of the disaster, including a postcard and letter mailed from the ship. general Eeorrye bare. Meade e Ullen 4IDT Dr. Edward and Joanne Dauers book takes us, like a time machine, through the history of America as we ride heir magic carpet of U.S. currency New Release Call Today! 1-800-US COINS • 1-800-872-6467 CURRENCY AUCTIONS OF AMERICA 3500 Maple Avenue • Dallas, Texas 75219 www.CurrencyAuction.com • www.HeritageCoin.com Gold certificates are among the most beautiful and popular issues of U.S. currency See many of these reproduced in full color with amazing detail. Not only could they be exchanged for gold coins, but the backs are printed in a bright golden color. YES! Please send me American History As Seen Through Currency • 9"x12" Format • 400 pages • Full color • Beautifully hard bound • I Please send me copies at $79.95 ea. $ Shipping and handling-add $3.95 per book $ Texas residents add 8.25% sales tax $ Total enclosed $ Make check payable to: Heritage-CAA. Money order, personal or business check OK.Credit cards accepted on telephone orders. (1-800-872-6467 Ext. 352, Danita Johnston). Order on-line at www.HeritageCurrencycom and save on shipping and tax. Please allow 1 to 3 weeks for delivery. I Name I Address City State Zip Daytime Phone HERITAGE—CURRENCY AUCTIONS OF AMERICA 3500 Maple Avenue • Dallas, Texas 75219 214-528-3500 • 1-800-US COINS (800-872-6467) ■ )1' i': It I ' f4),, Wriff2dAeont.Lift shcof of CARVE VILLE, PA., 70 January/February 2004 • Whole No. 229 • PAPER MONEY 2(,TV_._:___:F,Jlyti2}_r__„ €VMS,11/404..1 11■NOM ,-. .....,, ...,.,- ,.....,, -...... m......... • ' N, '.; te, ' . .. .. • • • 4. Andrew J. Hibbs, (unsigned) 250, Bristol, PA. This note is printed in green and should fit between Hoober 39-29 and 39-30 listings. • 5. Hoober 54-2, 100 note dated November 27, 1862. This was the first signed note seen by Mr. Warden in nearly 30 years of looking. Signature looks like W. H. Paxson, who was a large landowner in Bucks County and owned the mill in Carversville, PA. And so, with apologies to Mr. Warden, here finally are the notes you dis- covered long ago. I would wager there have been many more unreported Pennsylvania notes that have turned up in the intervening period. Hope you found most of them. Steve Whitfield Wismer Project Chairman Editor's Note: William B. Warden Jr. is a veteran member of SPMC. Originally #1716 (1965), Mr. Warden now has LM #232, and still resides in Pennsylvania. Deadline for George Wait Prize at Hand AS ANNOUNCED IN THE NOV/DEC 2003 PAPERMoney, the deadline for applications for the 4th annual George W. Wait Memorial Prize is March 15th, 2004. The Wait prize(s) is/are awarded annually to support the research and publication of book length paper money works. The prize fund is $500 per year which may be awarded to a single worthy project or divided among multiple projects at the discretion of the awards committee. The prize commemorates the achievements and legacy of SPMC founding father and author George W. Wait and was TO L . 1 1.1 instituted upon his death. Two individuals have thus far been awarded the Wait Memorial Prize. Both received the maximum award. 1st annual Wait winner was Robert S. Neale for his work on the antebellum Bank of Cape Fear, NC. The second year's award went to Forrest Daniel for his manuscript on small size Treasury Notes used to finance the War of 1812. Last year, no entry met standards for awarding the prize. A copy of the rules may be obtained from the Editor for a SASE, or via e-mail at fred@spmc.org 1,10.51,89 e N2 tymiumminmss ZTATCT PAPER MONEY • January/February 2004 • Whole No. 229 71 You're Invited to the... 11th ANNUAL CHICAGO PAPER MONEY EXPO featuring: Stocks & Bonds '05 Thursday, Friday, Saturday, Sunday February 24-27, 2005 Holiday Inn — O'Hare - 5440 North River Road, Rosemont, Illinois The Chicago Paper Money Expo, featuring Stocks & Bonds '05, is sponsored by Krause Publications, the World's Largest Publisher of Hobby Related Publications, including Bank Note Reporter & the Standard Catalog of United States Paper Money. For more info about this show and others, visit our Web site at www.collect.com 100 Dealer Bourse Area * Society Meetings * Rare Currency Stocks & Bonds * Educational Programs * Auction by Lyn F. Knight * Complimentary Airport Shuttle Show Hours Thursday, February 24 2 pm - 6 pm (Professional Preview - $50) Friday, February 25 10 am - 6 pm Saturday, February 26 10 am - 6 pm Sunday, February 27 10 am - 1 pm Hotel Reservations Please call the Holiday Inn O'Hare directly at (847) 671-6350 and ask for the special Chicago Paper Money Expo rate of $99 S/D. Bourse Information: Kevin Foley P.O. Box 573 Milwaukee, WI 53201 (414) 421-3484 • FAX (414) 423-0343 E-mail: kfoley2@wi.rr.com January/February 2004 • Whole No. 229 • PAPER MONEY72 The PRESIDENT'S Column By Ron Horstman NOW IS THE TIME TO PLAN YOUR COL-lecting activities for the new year. With the econo- my improving, hopefully, we will have a little bit more money to spend on our collections, if only we can find what we want and need. FUN annually kicks off the year and with it the largest and best paper money auction of the year con- ducted by Currency Auctions of America. Next is the CPMX in Rosemont, IL, a suburb of Chicago, occur- ring February 26-29. Lyn Knight will be conducting the auction which is always full of desirable material. For the educational seminar that the Society conducts for this event, Judith Murphy has scheduled Kevin Foley to discuss the relationship between auctions and the col- lecting fraternity. Mr. Foley is one of the founders of Currency Auctions of America and a noted authority on buying and selling paper money. Judith Murphy has been arranging regional meetings for quite awhile and has come up with some excellent speakers and subjects. She is a past president of the Society and has been named an honorary life member. ANA president Gary Lewis has appointed Judith to the position of Awards Committee chairman. Gary Lewis is himself a member of our Society and served as secretary for several years. Four members of the Board of Governors are elect- ed each year and a call for nominations has been made; see page 378 in the November/December 2003 issue. Two of our long-time members have chosen not to run. Wendell Wolka, who appointed me to the membership director's job back in the early '80s and has served the Society as vice-president and president for two terms and again as vice-president, is stepping down. Wendell will be remembered for his excellent job of announcing the Memphis breakfast drawing winners. He has found, as many others have, that retirement can be very time consuming. ''here did we ever find time for a job?! Steve Whitfield, author of the Kansas Obsolete book and chairman of the Society's Wismer project, is also stepping down. Both will be missed. This presents an excellent opportunity for someone with newer ideas and a desire to serve the Society to throw his/her hat into the ring. We need to know before March 15, 2004; and the successful candidates will be announced at Memphis in June, 2004. Good luck! Hope you all had an enjoyable holiday season! Ron $ money mart PAPER MONEY will accept classified advertising on a basis of 150 per word (minimum charge of .83.75). Word count: Name and address count as five words. All other words and abbreviations, figure combinations and initials count as separate words. No check copies. 10% discount for four or more insertions of the same copy. Authors are also offered a free three-line classified ad in recog- nition of their contribution to the Society. These ads are denoted by (A) and are run on a space available basis. VIRGINIA WANTED. Exchange Bank of Virginia issued by Abingdon Branch and Washington County notes. Also, old postcards depicting named and known Indians. Tom Merrihue, PO Box 25, Emory, VA 24327 or 276-944-3581 (232) MARYLAND OBSOLETE BANKNOTES WANTED. Charles Sullivan, PO Box 8442, Gaithersburg, MD 20898 or e-mail Charlessul@aol.com or phone 888-246-8040 (234) WANTED SMALL SILVER CERTIFICATES. 51.00 1928D and 1928E; $10 1934A, 1934B and 1934D; 1953A and 1953B. George W. Taylor, PO Box 242, Georgetown, TX 78627-0242 (229) MARYLAND OBSOLETE BANKNOTES WANTED. Charles Sullivan, PO Box 8442, Gaithersburg, MD 20898, e-mail: Charlessul@aol.com or phone 888-246-8040 (233) WANTED: $2 OBSOLETE NOTES FROM NEW YORK (1782- 1866 1-Iaxby). I am an intermediate collector looking to acquire addi- tional notes for my collection. Joseph M. DeMeo, PO Box 987, Valley Forge, PA 19482.or jmdemeo@yahoo.com (232) BANK HISTORIES WANTED. Collector seeking published histo- ries of banks which issued Obsoletes and/or Nationals. Also seeking county/state/regional banking histories. Bob Cochran, PO Box 1085, Florissant, MO 63031 e-mail: spmclm69@cs.corn (228) LINCOLN NATIONAL BANK. Collector desires notes, photos, postcards, checks, memorabilia, metal coin banks, banking histories, publications, or what have you? from Lincoln National Banks or Lincoln State Banks or insurance companies, or other corporations named for Abraham Lincoln for use in forthcoming book. Please contact Fred Reed at P.O. Box 118162, Carrollton, TX 75051-8162 or freed3@airmail.net for immediate purchase (228) NEVADA NATIONAL BANK NOTES WANTED. Any bank, denomination, we buy it all! Better California's also wanted and pay- ing "stupid" money for the note. Arri Jacob, P.O. Box 1649, Minden, NV 89423-1649 (228) HELP ME TURN UP THESE NOTES. NB of Commerce of Dallas #3985 ($5, $10 T2), & North Texas NB in Dallas #12736 ($10, $20 T1). Frank Clark, POB 117060, Carrollton, TX 75011-7060(228) WANTED. Anything related to Ohio banks or banking prior to the end of the Civil War including bank notes, scrip, documents, checks, drafts, stock certificates, correspondence and the like. Collector prices paid for material that I need. Please write first, including a photocopy of the items being offered and your desired price. You may also use e-mail and JPEG scans if that's easier. Wendell Wolka, PO Box 1211, Greenwood, Indiana 46142 (234) WANTED. Fractional Currency Errors / Manuscript Notes; encased postage currency cases; South Carolina railroad paper items. Benny Bolin smcbb@sbcglobal.net (228) WANTED KANSAS. Obsoletes -- Checks -- Drafts. S. Whitfield, 879 Stillwater CT, Weston, FL 33327 (234) SOUTH BEND, INDIANA. Obsolete paper money from South Bend or St. Joseph County wanted. Bob Schreiner, POB 2331 Chapel Hill, NC 27515-2331; email: rcschreiner@mindspring.com (234) ADVERTISE IN PAPER MONEY. Biggest bargain in our hobby since natives walked away with rare trade beads for Manhattan (PM) PAPER MONEY • January/February 2004 • Whole No. 229 73 rWANT ADS WORK FOR YOU R SPMC Founding Fathers were a smart breed. They knew Collector-to-Collector Want ads work. That's why they created "Money Mart" so they could place THEIR WANT LISTS before the rest of the members of our Society Up to 20 words plus your address in SIX BIG ISSUES only $20.50/year!!!! * * Additional charges apply for longer ads; see rates on page opposite -- Send payment with ad SPMC's Founding Fathers built some great paper money collections that way Now YOU be a smart guy/gal too. Put out your want list in "Money Mart" and see what great notes become part of your collecting future, too. (Please Print) L ONLY $20.50 /YEAR ! ! (wow) r Announcing Paper Money's Upcoming Publishing Program May/June 3nd U.S. National Banknote Issue September/October 1st Small Size U.S. Currency Issue January/February 1st Civil War Currency Issue Each Year SPMC's special 80-page issues of its award-winning journal Paper Money become THE "hot tickets" in our hobby Reserve your advertising space now Full Page rate $300 Half Page rate $175 Quarter Page rate $100 Contact Editor NOW Deadlines are March 15th (Nationals) & July 15th (Small Size U.S.) ads respectively L 74 NEW MEMBERS MEMBERSHIP DIRECTOR Frank Clark P.O. Box 117060 Carrollton, TX 7501 1 SPMC NEW MEMBERS - 10/10/2003 10662 Darin J. Supel, 616 Esplanade Ave Apt 305, Redondo Beach, CA 90277-4155 (C, US Large), Tom Denly 10663 K. Cook (C), Tom Denly 10664 Marcus Turner, 8103 E US Highway 36 #163, Avon, IN 46123 (C, World War II), Lyn Knight 10665 Coin World, c/o M.A. Orzano, PO Box 150, Sidney, Ohio 45365-0150 (Publication), Fred Reed 10666 Don Lambert (C), Bob Cochran r I SCORE I SPMC 6000 BOARD: I 1 I. January/February 2004 • Whole No. 229 • PAPER MONEY 10667 Ronald W. Stoven, 30 Burgess P1, Groton, CT 06340- 5011 (C, US Large & Small), Website 10668 Paul H. Kwiatkowski (C), Tom Denly 10669 Michael J. Johnson (C), Website 10670 J.E. Bizzell (C), Allen Mincho 10671 Michael Kaczka, PO Box 1669, Key Largo, FL 33037 (C, Montana Nationals), Allen Mincho 10672 Ray Faubion, PO Box 2306, Highlands, NC 28741 (C, US), Tom Denly 10673 David E. Booth, 595 Martinique Circle, Stow, OH 44224 (C, Essay, Proof and Experimental Fractional Notes), Website 10674 Clayton Bryant (C & D), Website 10675 Ginger Bing (C), Frank Clark 10676 Mel Welmire, 737 Center Dr, Palo Alto, Ca 94301 (C, U.S. Small Size), Website REINSTATEMENTS 6300 Ray Anthony (D), Frank Clark Job Opening No pay. No office. No expense acct. No perks except satisfaction/service. Great opportunitu to enjoy paper money collecting as SPMC Board Member. I See below for details. 1 a 1 1 Official Notice: Time clock running out for Nominations for SPMC Board THE FOLLOWING SPMC GOVERNORS' TERMS EXPIRE IN 2003: Fred Reed Steve Whitfield Bob Schreiner Wendell Wolka After long terms on the Board Whitfield and Wolka have announced they are not running for re-election. If you have suggestions for candidates, or if the other governors named above wish to run for another term, please notify Nominations Chairman Tom Minerley, PO Box 7155, Albany, NY 12224-0155. In addition, candidates may be placed on the ballot in the following manner: (1) A written nominating petition, signed by 10 current members, is submitted; and (2) An acceptance letter from the person being nominated is submitted with the petition. Nominating petitions (and accompanying letters) must be received by the Nominations Chairman by March 15, 2004. Biographies of the nominees and ballots (if necessary) for the election will be included in the May/June 2004 issue of Paper Money. The ballots will be counted at Memphis and announced at the SPMC general meeting held during the International Paper Money Show. Any nominee, but especially first-time nominees, should send a portrait and brief biography to the Editor for publication in Paper Money well in advance of the March 15th deadline. PAPER MONEY • January/February 2004 • Whole No. 229 75 Part 6: More Additions to A Catalog of SPMC Memorabilia By Fred Reed DERIODICALLY WE REPORT ON RECENTLY issued/discovered additions to our ongoing Catalog of SPMC Memorabilia. One of the "missing" Society banquet tickets from our catalog is the one for the August 1975 affair held in Los Angeles. Although still "missing," we can now report that the ticket was light blue, approx. 3.5 by 8 inches, with the Society logo at left and additional text at right. At least eight of them are shown on the table setting in this pic- ture of the gala affair (below, detail at right), recently found. Individuals shown clockwise (from 1 o'clock) are Chuck and Mrs. O'Donnell, unknown couple, Fred Reed, Fred Schwan, unknown, Dr. John Muscalus, Dolly and Grover Criswell. There were about 200 people present at the banquet. Surely somebody saved one of the tickets to add to our catalog. First report of this or any of the missing cards wins a 40th Anniversary embossed, and signed Paper Money souvenir card. -/-Zt '4,444 Speaking of these limited edition SPMC cards. Lucky random winners of the cards who responded to the recent Reader Survey in these pages were: Stephen Coulter, Mike Maberry, John Conway, Cecil Brighton, Gary G. Pheanis, James A. Vander Helm, Jerry Fochtman, Gregory M. Myers, Raymond S. Vorhees, Sharon Christy, John Ciafrani, Thomas A. Kuss, Glenn E. Martin, Alec A. Pandaleon III, Leo D. Alukonis Jr., Allen L. Munro, LTC Albert F. Kaminsky Jr., Bruce E. Keener, Matt Janzen, Michael Peuler, Edward Lewandowski, Chuck Armstrong, and Donald L. Skinner. A closeup of the card (pictured in an earlier issue of Paper Money, showing BEP Plate Printer Michael Bean's signature is also shown above. 76 January/February 2004 • Whole No. 229 • PAPER MONEY Where Are They Now? By Steve Whitfield T HAVE BEEN LOOKING FOR AND COLLECTING Kansas obsolete notes since about 1970, three decades. Quickly apparent was the fact that many of the notes were unique or had only a couple of copies known. Since I wanted to obtain illustrations of every Kansas note, it became important to locate the great rarities. And so, I began keep- ing records of when notes appeared and where they were located. The copies in museums were easy to find and I have copies (although it is still hard to get full size copies done in color with good quality). Over the years I have managed to obtain copies, or in some cases collect the actual notes, for what has turned into a lifelong project of seeking informa- tion about Kansas obsoletes. During this period several important collections were formed and a number of old holdings were dispersed. Although I tried to keep track of where the notes wound up, I was unsuccessful in a couple of cases. In 1940, the Chase Manhattan Money Museum had a fine holding of Kansas obsolete notes. This included all types, from chartered banks to depression scrip. A number of these were unique. When I first learned of the collection, I wrote and requested an inventory of the holdings, which I then used to request photographs. It was interesting to compare the difference in the collection from 1940 to the early 1970s. Many of the 1940s notes were no longer in the collection and a few others had been added. I suspect that these were traded away or possibly spirited out of the collec- tion under suspicious circumstances. I know for example that some early collector/researchers traded common notes to unknowledgeable museums for great rarities. Even so there were still a number of great notes in the collection, of which I was able to obtain photographs. Around 1973, the Chase decided to dispose of the money museum. George Wait was able to purchase, or dis- pose of a number of the obsolete notes. He was selected because he was one of the few persons who knew anything about these notes or their potential value. Four of the Kansas notes were eventually turned over to Dean Oakes by Mr. Wait. In later years I was able to convince Dean to put those notes up for auction, since he did not collect Kansas. Included were an issued copy of the $1 Bank of the State of Kansas note in very poor condition and a unique $1 note of the Exchange Bank of Atchison. I did not attend the sale, and both of the notes went for more than I bid. But I did have copies of the notes. I do not know the present where- abouts of one of these notes. There were four other notes of interest in the collec- tion. These included two issued notes, of the $3 and $5 denomination on the Kansas Valley Bank of Atchison; and a $2 unissued note on the Exchange Bank of Atchison. I believe that Wait also had these notes after 1973 and may have sold them to others. Except for the $2 which surfaced at the Smithsonian Institution, their whereabouts is a mys- tery and has been so since they left the Chase in 1973. I do have black and white photos of the notes, but desire to obtain color copies of them for the Kansas listing. Three merchant scrip notes of John Pipher from Manhattan were also part of the museum holdings that disappeared. I have photos of the $1 and the 10-cent note, which surfaced at the Smithsonian Institution. But where is the $1, and when, if ever, will it surface again? The Scott/Kerr $1 that was in the museum in 1940 was gone before 1973, and is undoubtedly one of the 11 notes known in collections today. Another great note in the 1940 collection was the only known copy of a $1 piece of mer- chant scrip, issued by Englehart & Fairchild of Hiawatha. This has to be the note in Eric Newman's collection, proba- bly obtained by Mr. Osmun at some point. There are also rumors of some sheets held by descendants so more of them may turn up in the future. Another note that apparently wound up in Eric Newman's collection is the 25-cent scrip piece of Streeter & Strickler. A mysterious note is one reported by D.C. Wismer. This was a $2 denomination piece on John Pipher of Manhattan. A typewritten, partial description of the note was found in some correspondence of Wismer's many years ago. I have the description, along with his other notations about Kansas notes, but have never been able to locate the note. Where is it? An illustration of this note is needed for the record. Two very important Kansas notes disappeared from an exhibit at the State House in Topeka in 1956. These were a $5 note on the Bank of the State of Kansas and a $20 note of the Kansas Valley Bank. Both of these notes were loaned by the state historical society, and turned up missing when the exhibit was dismantled. Both notes were unissued examples. Fortunately we have illustrations of the $20 (one is shown in Haxby's book and the American Bank Note Company reproduced this note for the state series of banknotes). We also know what the $5 looked like, but want an actual photo of it. It is remotely possible that the notes could still be in the museum, misfiled or otherwise misplaced. A New York collector reported owning an issued copy of a $10 Kansas Valley Bank note many years ago. This note also has not turned up in the last 30 years. It also has no photographic copies in existence although we know what it looked like. This is another important rarity that needs to be recorded. It is possible that other copies of this note exist, although none have been reported. The few facts known about these "mystery notes" and the secretiveness of many collectors have kept the where- abouts of many of these notes unknown for nearly 30 years. I'll continue to be patient and hope that, someday, some dealer who knows me will call and say, "Hey Steve, I've got something you'll be interested in." United States Paper Money --special selections for discriminating collectors-- Buying and Selling the finest in U.S. paper money Individual Rarities: Large, Small National Serial Number One Notes Large Size Type Error Notes Small Size Type National Currency Star or Replacement Notes Specimens, Proofs, Experimentals Frederick J. Bart Bart, Inc. (586) 979-3400 PO Box 2 • Roseville, MI 48066 E-mail: BartIncCor@aol.com Buying & Selling Quality Collector Currency • Colonial & Continental Currency • Fractional Currency • Confederate & Southern States Currency • Confederate Bonds • Large Size & Small Size Currency Always BUYING All of the Above Call or Ship for Best Offer Free Pricelist Available Upon Request James Polis 4501 Connecticut Avenue NW Suite 306 Washington, DC 20008 (202) 363-6650 Fax: (202) 363-4712 E-mail: Jpolis7935@aol.com Member: SPMC, FCCB, ANA PAPER MONEY • January/February 2004 • Whole No. 229 77 New CSA Currency and Bonds Price Guide "CSA Quotes" — A detailed valuation guide: $20 • Written by a collector building CSA cur- rency collection by variety. Also CSA bonds. • Useful for beginners as well as the most advanced collector. • Lists types, rare varieties, errors, in grades G-VG to CU and "Scudzy" to "Choice". Long time variety collector (30 years) -- U.S. Large Cents, Bust Halves, now CSA paper money and bonds. Member EAC, JRCS, SPMC. From long time Louisiana family Please send $20 to - Pierre Fricke, P.O. Box 245, Rye, NY 10580 914-548-9815 pfricke@attglobal.net www.csaquotes.com ; eBay "armynova" P 0 NI 0 R I IS THE #1 WHOLESALE SOURCE OF Paper money (historical & modern ), notgeld, coins (Chinese, Roman, modern, etc.), tokens, stamps, checks, Primitive monies, etc. Wholesale list is available on request Please contact us at: P. 0. Box 2-S, Ridgefield Park, NJ - 07660 - USA Toll Free: 1-800-775-8450 Telephone: 1-201-641-6641 / Fax: 1 -201 - 641 -1700 E-mail: Order@pomexport.com / Website: www.Pomexport.com DO YOU COLLECT FISCAL PAPER? The American Society of Check Collectors publishes a quarterly journal for members. Visit our website at http://members.aol.com/asccinfo or write to Coleman Leifer, POB 577, Garrett Park, MD 20896. Dues are $10 per year for US residents, $12 for Canadian and Mexican residents, and $18 for those in foreign locations. 78 January/February 2004 • Whole No. 229 • PAPER MONEY WE HAVE A NOTABLE ADDITION TO THElibrary thanks to the generous donation by Rob Kravitz of his new book A Collector's Guide to Postage & Fractional Currency. I don't know much about this series nor have a par- ticular interest in it, but this is a book that appeals to me any- way. The author describes the money in the context of the times with abundant historical information about the eco- nomic conditions and the government's response to a need for small change that arose during the Civil War. It's also an attractive book, with excellent typography and many illustra- tions. The book is available for checkout from the library, or you may buy a copy from the author for $29.99 + $3.00 ship- ping. Write him at POB 303, Wilton, CA 95693-0303, or email robsfractional@aol.com . There is news on two fronts, both related to providing you with information to better enjoy your hobby (the same goal as the library). The Board has tentatively approved mov- ing forward with production of a searchable CD (or DVD if more space is needed than is available on one CD) of all back issues of Paper Money. We have recently obtained a copy of the new ebook (electronic book on CD) Chattanooga Money SPMC Librarian's Notes By Bob Schreiner, Librarian authored by SPMC members Dennis Schafluetzel and Tom Carson. Fred Reed reviewed the book in the last issue of PM. It is a marvel of information content and usability. Tom Carson, in addition to being an advanced collector, is also an expert on the technology used to produce ebooks, and he has agreed to help with the Paper Money conversion project. With his help, I believe that technically and financially we can complete this project in 2004. The Board still has issues to resolve with respect to copyright. I hope these will not be a barrier, but they may prove challenging. SPMC as usual has more tasks than we have Board mem- bers. Sometimes it's a matter of matching the right person with the right task. Wendell Wolka has been our webmaster, using a design and resources donated by member Glen Johnson. Wendell is now going to concentrate on our awards program, ad sales, and other SPMC matters (all while he also finishes his massive book on Ohio obsolete paper money). I have agreed to serve as webmaster, a task I see as closely relat- ed to librarian--it's all provision of information. My intention is to re-focus the SPMC web more toward information about our Society and education about paper money generally. But it will still serve to recruit and retain members. Without your involvement and financial support, the revenue from Paper Money advertisers, and the efforts of our authors and others, the SPMC web, Paper Money, and even SPMC would cease. Congratulations to SPMC Governor and longtime Wismer book chairman Steve Whitfield, the newest recipient of Krause's prestigious Numismatic Ambassador award, pre- sented at the St. Louis Paper Money Show on No. 22. (A photo of Steve at the award ceremony is on the SPMC web) The library catalog is on the web now too. I welcome your thoughts on library and web, and I can be reached at POB 2331, Chapel Hill, NC 27515-2331, or email rcschrein- er@mindspring.com . The Joy of Obsoletes: 2 + 2 = 5 "Collectors have a tendency to consider a collection to be almost a living entity; it is a situation where the whole exceeds the sum of its parts, for although the individual pieces within a collection are impor- tant, the collection as enmasse becomes a piece of sculpture for its assem- bler to arrange and align and organize." When Don Sutherland wrote these words for The Antique Trader Weekly (Jan. 31, 1979) paper money was probably a long way from his thoughts. In fact, he was writing about collecting typewriters. Few of you collect typewriters, probably, although some of you would not be surprised to know that your Editor does. But Sutherland's summation is an acknowledgement of what we have witnessed many times over in the obsolete currency field. A collector becomes infatuat- ed with obsolete currency of a geographical area, and patiently assem- bles specimens, data, observations, and the goodwill of like-minded indi- viduals over time and emerges as an "expert" in that field. The synthesis of the data creates something new which did not exist before. The Society's ongoing Wismer book series is a monument to that process. The "grownup" word for this phenomenon is gestalt, which is sim- ply a European philosophical-psychological word for the very American adage "two-plus-two equals five." My dictionary defines it further: "a configuration...so integrated as to constitute a functional unit with prop- erties not derivable from its parts in summation." In short, 2+2=5. That's the real basis of SPMC's membership initiative SPMC 6000 that you have been reading about in this magazine for the past few issues. It's clear to some of us on the SPMC Board that our Society has aged, and needs to be revitalized to meet the current and future needs of our membership and the hobby. Hence our credo (motto) "Re-build- ing a great Society for a new century" TM and our twin goals: (1) increas- ing the membership rolls; (2) improving member services to provide more "bang" for your hobby buck. There are thousands and thousands of additional paper money enthusiasts and potential paper money collectors out there who would benefit from what SPMC can provide. Furthermore, it's evident that this need NOT be a zero sum game (in other words, somebody has to lose for SPMC to win), but rather SPMC can achieve its goals by part- nering with other groups (dealers, collector organizations, the press, etc.) to help them achieve their goals, too, creating proverbial "win-win" situations. That's our agenda. We've surveyed you so we know some- thing about your desires, too. It's simple for YOU to participate. At one level, Paper Money's classi- fied ad section "Money Mart" offers you the opportunity to inexpensive- ly advertise YOUR wants year-in and year-out. For a relatively few cents your want list goes out to ALL collectors and dealers who make up this wonderful organization. For as little as $20.50 per year (six issues), you can put all our members on notice to help you find your "special" needs. I have, and as I have reported several times, it works. Why else would past Society Presidents Bob Cochran and Frank Clark and other "advanced" collectors advertise in that section year-in and year-out? You've already missed one opportunity this year, so take out your ad for the next six issues now. Whether you are looking for typewriters or not, somebody out there has what you are looking for -- it's just a matter of partnering your interests so you both win. Two plus two equals five once again! • 0 _L. EMBE R AMA HARRY IS BUYING NATIONALS — LARGE AND SMALL UNCUT SHEETS TYPE NOTES UNUSUAL SERIAL NUMBERS OBSOLETES ERRORS HARRY E. JONES 7379 Pearl Rd #1 Cleveland, Ohio 44130-4808 1-440-234-3330 U.S. CURRENCY Is Buying Everything "Still Paying Top Dollar for Rare Confederate" U.S. Type, Obsoletes, Nationals, and of course, Santa Notes PAPER MONEY • January/February 2004 • Whole No. 229 79 404-229-7184 U.S. CURRENCY 'Vy:•ti Box 631250. Irving, TX 75063 Kent Robertson, owner 1.- Iktit0§40:igiA403§~.40NSIVISAietitN0 F -• MN NEI .. . .. Advertiser: Add this resolu- tion to YOUR 2004 list: I will begin (upsize) adver- tising in Paper Money this year and enjoy its unprece- dented growth in the hobby! - =II MI NM AD INDEX AMERICAN NUMISMATIC RARITIES 53 AMERICAN SOCIETY CHECK COLLECTORS 77 BANKNOTABLES 51 BART, FREDERICK J 77 BENICE, RON 9 BOMBARA, CARL 59 BOWERS & MERENA GALLERIES IBC BOWERS, Q. DAVID 47 BOWERS, Q. DAVID 57 BUCKMAN, N.B. 57 CHATTANOOGA MONEY CD 59 COHEN, BERTRAM 56 COLLECTIBLES INSURANCE AGENCY 55 CPMX 71 CURRENCY AUCTIONS OF AMERICA 69 CURRENCY AUCTIONS OF AMERICA OBC DENLY'S OF BOSTON 9 DEUCEMAN 21 DURAND, ROGER H. 9 EARLY AMERICAN NUMISMATICS 45 FRICKE, PIERRE 77 HOLLANDER, DAVID 39 HORWEDEL, LOWELL C. 57 HUNTOON, PETER 39 JONES, HARRY 79 KAGIN, A.M. 51 KAGIN'S 59 KAYE, RUSSELL 21 KNIGHT, LYN 49 KYZIVAT, TIM 9 LITT, WILLIAM 46 LITTLETON COIN CO 80 NUMISMANIA RARE COINS 35 POLIS, JAMES 77 POMEX, STEVE 77 PRUSMACK, TIM 25 QUAST, LEE 21 ROB'S COINS & CURRENCY 11 ROB'S COINS & CURRENCY 57 ROBERTSON, KENT 79 SHEHEEN, AMANDA 25 SHEHEEN, AUSTIN 17 SHULL, HUGH 2 SMYTHE, R.M. IFC SMYTHE, R.M. 6-7 SMYTHE, R.M. 67 YOUNGERMAN, WILLIAM, INC. 45 January/February 2004 • Whole No. 229 • PAPER MONEY80 Last Year Alone... Littleton Spent More Than $14 Million on U.S. Coins & Paper Money! We can afford to pay highly competitive buy prices because we retail all the notes we buy. David Sundman, President ANA Life Member #4463; PNG #510; Society of Paper Money Collectors LM# 163; Member, Professional Currency Dealers Association Over 150,000+ Littleton Customers Want Your Notes! Wide Range of U.S. Notes Wanted! • Single notes to entire collections • Early large-size notes to high denomination small-size notes • All types including Legal Tender Notes, Silver & Gold Certificates and more • Very Good to Gem Why You Should Consider Selling to Littleton • We buy for our retail customers — so we can pay more • Fair appraisals and offers • Fast confirmation and settlement • We pay finder's fees and make joint arrangements • Over 56 years experience buying and selling coins and paper money (left to right) Josh Caswell, Jim Reardon, Butch Caswell and Ken Westover Littleton's experienced team of buyers. Contact us: Buyer Phone: (603) 444-1020 Toll Free: (800) 581-2646 Fax: (603) 444-3501 or Toll-Free Fax: (877) 850-3540 Facts D97 CoinNet NHO7 coinbuy@littletoncoin.com Dun & Bradstreet #01-892-9653 02003 LCC, Inc. money to Littleton. Please contact me regarding my Fill out this coupon and Fax Toll Free to (877) 850-3540, or Mail to: Littletonle'Coin Company Dept. RYA305 1309 Mt. Eustis Road Littleton, N.H. 03561-3735 L coinbuyellittletoncoin.com rAYEST I'm interested in selling paper•collection or holdings. Name Address City/State/Zip Daytime Phone Best time to call When the time to sell comes, you want the highest price. Pen LEN GLAZER 1-800-872-6467 Ext. 390 Len@HeritageCurrency.com JASON W. BRADFORD 1-800-872-6467 Ext. 280 JBradford@HeritageCurrency.com r ALLEN MINCHO 1-800-872-6467 Ext. 327 Allen@HeritageCurrency.com KEVIN FOLEY 1-800-872-6467 Ext. 256 KFoley@HeritageCurrency.com 2004 HERITAGE-CAA Schedule: Orlando, FL (FUN) - January Milwaukee, WI (CSNS) - May Cincinnati, OH - September HERITAGE We invite your participation in our upcoming auctions 1-800-872-6467 24 Hour Voice Mail at all Extensions ether you are selling extras from your collections, or a complete collection built over decades, Heritage-Currency Auctions of America has auctions for you. Heritage-Currency Auctions of America is part of the country's largest numismatic auction house, offering you: worldwide bidder demand through our exclusive Interactive InternetTM software on our award-winning website with 100,000 registered members at www.HeritageCoin.com and www.CurrencyAuction.com . With Heritage-Currency Auctions of America, you will benefit from: decades of experience, award-winning catalogs & catalogers, the world's finest numismatic mailing list - more than 100,000 numismatists, proven marketing expertise, state-of-the-art digital photography. Full color, enlargeable images of every single- note lot are posted on the Internet. We offer online interactive bidding and paper money search engine capabilites at www.CurrrencyAuction.com and www.HeritageCoin.com . Bidders trust our catalog descriptions and our full-color images, and use the Heritage Value Index and Permanent Auction Archives to formulate their bids. YES I am interested in consigning my currency to one of your upcoming auctions, please contact me. 01 would like a copy of your next Auction Catalog. Enclosed is a check or money order for $30, (or an invoice for $1,000 from another currency company: Fax or Mail a copy to CAA). q 1 would like a one-year subscription to all your Auction Catalogs. Enclosed is $70 for the year. q I would like a FREE copy of your video "Your Guide to Selling Coins and Currency at Auction." q Fill in your e-mail address below for free, comprehensive e-listings, news, and special offers. Address Sly State Zip Dayt;me Phone Evening Phone CURRENCY AUCTIONS OF,AMERIC A FOR FASTER SERVICE, Call 1-800-872-6467 Heritage-Currency Auctions of America 3500 Maple Avenue Dallas, Texas 75219 5 3500 Maple Avenue • Dallas, Texas 75219 • 1 800 US COINS 872-64671 • 214 528 3500 • FAX: 214 443-8425 MN HelitageCoin COM • e-mail: BidsOlielaageCom.wm • VilVtl1 ton cm • e -mail: NOTeS(CCUllellAll01011.(.0111 urthr .4k pliitntrirn Just contact Mark Borckardt, our auction director at 800-458-4646 to discuss your consignment. It may well be the most financially rewarding decision you make. Realize Top Market Price for Your Paper Money! Let Our Success be Your Success! Consign with Bowers and Merena Galleries Todc We offer you the incomparable and very profitable advantage of having your material presented in our superbly illustrated Grand Format catalogue to our worldwide clientele of collectors, investors, museums, dealers, and other bidders. Your paper money will be showcased by the same expert team of cataloguers, photographer, and graphic artists that have produced catalogues for some of the finest collections ever sold. And the presentation of your currency will be supervised by some of the most well-known names in the entire hobby. ;MN It*JAM'S, _ till.nlimoso . IA 1/441 In 10.. 41,',1 0 L.L.1=1111=1:140.4,40. • unsurpassed professional and financial reputation. Over the years we have sold over $350,000,000 of numismatic items and have pleased more than 30,000 consignors. It's Easy to Consign! Selling your collection will be a pleasant and financially rewarding experience. From the moment we receive your consignment we will take care of everything: insurance, security, advertising, worldwide promotion, authoritative cataloguing, award-winning photography, and more — all for one low commission rate, plus a buyer's fee. When you do business with Bowers and Merena, you do business with a long-established firm of Buy Online, Bid Online, Books Online! www.bowersandmerena.com ICTI BOWERS AND MERENA GALLERIES When great collections are sold... Bowers and Merena sells them! A Division of Collectors Universe NASDAQ: CLCT 1 Sanctuary Blvd., Suite 201, Mandeville, LA 70471 • 800-458-4646 985-626-1210 Fax 985-626-8672 info@bowersandmerena.com • www.bowersandmerena.com