Paper Money - Vol. XXXIX, No. 2 - Whole No. 206 - March - April 2000

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Society of Paper Money Collectors VOL. XXXIX, No. 2 WHOLE No. 206 MARCH/APRIL 2000 WWW.SPMC.ORG 4111■1111111111111 AE/p p 11111 Official Journ • of the :411.011:10.4.0 NatilonadOunmenty SICEIIIIIMMIMISIVIS mos oulasutownrot MENU IN IN( V Xq,0953-,4 atk ).;t:wl)./xf 902626 NATIONS5411A1Th syk 6i Vt. • g uisa duagutia ja 4") '44 1,1 9,! APRIL1111879. - .1-4/41... -7//e.V.ri • •./ ”.44 ”nrieetv/ lord ee eh) 44, ,Vea4 :44 r• ' „I /4, —wwle INSIDE THIS ISSUE: Notes, Notes & More Notes Just the Thing to Combat Wintertime Blahs 30 r , 11.3, j: AO. STATE OF FLORIDA ';.) DOLLARS, /7 An . Cr 144e. r „Ego* fler■swhik,„,,, ' Aitt,4 Ylar• LIY et i}pNN BA• AP/ air* 'WC :VA; 1404:r, Itt .s4ivireau, A 1. • .."-scaegruw • ;,), .- •IN 1601.111C0INT lv t Ilktii! IV,- ,No iv 2 7 5 s 110333=11g1 -57///IX://7 / // What's The Best Way To Sell Your Paper Money Collection? The best way to sell your collection is to consign it to someone you trust. Your currency collection probably took years to acquire. Each purchase was thoughtfully considered, each note carefully stored, and handled with respect. The sale of your collec- tion should be accomplished in the same manner. Carefully, and thoughtfully. At Smythe, we care about our consignors, our bidders, and our staff members. We don't misgrade your lots, or sell them long after midnight, or during convention hours. We strongly support the show organizers and local clubs that work hard to make paper money shows successful, and we are proud that we have consistently been selected as one of the Official Auctioneers of the Memphis International Paper Money Show. We illustrate every major note, using boxes or color where appropriate. Each note is carefully graded and researched by our nationally-recognized, full-time paper money experts. Our rates are flexible and highly competitive. There are no lot charges, photo charges or minimum charges on Federal Currency. If you are thinking of selling, take advantage of the strongest currency market we have seen in years, and take this opportunity to showcase your better single items, or your entire collection, in the next R. M. Smythe auction. 2000 Auction Schedule • February 18-20, 2000 Chicago Paper Money Exposition Auction, Chicago, IL. • May 2000 Coins and Autographs, New York, NY. • June 15-18, 2000 International Paper Money Show Auction, Memphis, TN. • September 13-17, 2000 5th Annual Strasburg Paper Money Collectors Show & Auction, Strasburg, PA. •November 2000 Coins and Autographs, New York, NY. To Consign, please call Stephen Goldsmith at 800-622-1880. To Subscribe: Only subscribers can be fully assured of receiving our fully-illustrated thoroughly-researched catalogues. Do you need to check on the status of your subscription? Call Marie Alberti at 800-622-1880 or 212-943-1880. A one year subscription to all RMS catalogues is $87.50 ($125 overseas). Other subscription plans are available. Call today for further information. See Us At Close To 40 Shows This Year! We will be planning to attend almost every major numismatic show, represented by Stephen Goldsmith, Douglas Ball, Kevin Foley, or Martin Gengerke. If necessary, we will travel to see your collection. Call 800-622-1880 for further information. Stephen Lioldsrmin viirimpoos MEMBER 26 Broadway, Suite 271, New York, NY 10004 • www.rm-smythe.com 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 Fred L. Reed III, P.O. Box 793941, Dallas, TX 75379-3941. Society of Paper Money Collectors, Inc., 2000. 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 $2.75 each plus SI postage. Five or more copies will be sent postpaid. Send changes of address, inquiries con- cerning 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 specif- ic 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 (tredaspmc.org). Original illustrations are preferred. Scans should he grayscale at 300 dpi. Jpegs are preferred. Inquire about other formats. ADVERTISING All advertising copy and correspondence should be sent to the Editor. To keep rates at a minimum, all advertising must be prepaid according to the schedule below. In exceptional cases where spe- cial artwork or additional production is required, the advertiser will be notified and billed accord- ingly. 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 example, Feb. 1 for the March/April issue). With advance notice, camera-ready copy, or electronic ads in Quark Express on a MAC zip disk with fonts sup- plied, may be accepted up to 10 days later. ADVERTISING RATES Space 1 time 3 times 6 times Outside back cover $152 $420 $825 Inside cover 145 405 798 Full page 140 395 775 Half page 75 200 390 Quarter page 38 105 198 Eighth page 20 55 105 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 • March/April 2000 • Whole No. 206 33 Paper Money Official Bimonthly Publication of The Society of Paper Money Collectors, Inc. Vol. XXXIX, No. 2 Whole No. 206 MARCH/APRIL 2000 ISSN 0031-1162 FRED L. REED III, Editor, P.O. Box 793941, Dallas, TX 75379 Visit the SPMC web site: www.spmc.org FEATURES Florida's First Civil War Currency: 1861 Essays 35 By Ronald J. Benice Type Collectors Need Refunding Certificates 40 By Frank Clark The Green Goods Game 42 Conducted by Forrest Daniel National Bank Circulating Essais 44 By Gene Hessler Bank Happenings 46 Submitted by Bob Cochran A Nice Vacation Souvenir, a Red Seal #1 Note 48 By David Grant A One-Bit Note from Texas 58 By Frank Clark SOCIETY NEWS Information & Officers 34 President's Column 42 By Frank Clark News for Members 58 Money Mart 59 New Members 62 Research Exchange 62 Editor's Notebook 62 Advertisers Index 63 IN THIS ISSUE A chance find of a desirable Red Seal led collector David Grant to research the history of the prototypical rural hank. (See page 48) IN THIS ISSUE 34 March/April 2000 • Whole No. 206 • 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 organization under the laws of the District of Columbia. It is affiliated with the American Numismatic Association. The annual SPMC meeting is held in June at the Memphis IPMS (International Paper Money Show). Up-to-date infor- mation 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 soci- eties are eligible for membership; other applicants should be sponsored by an SPMC member or provide suitable ref- erences 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 membership 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 $24. Members in Canada and Mexico should add $5 to cover postage; members through- out the rest of the world add $10. Life membership— payable in installments within one year is $500, $600 for Canada and Mexico, and $700 elsewhere. Members who join the Society prior to October 1 receive the magazines already issued in the year in which they join. 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 Nov/Dec Paper Money. Checks should be sent to the Society Secretary. OFFICERS PRESIDENT Frank Clark, P.O. Box 117060, Carrollton, TX 75011-7060 VICE-PRESIDENT Wendell A. Wolka, P.O. Box 569, Dublin, OH 43017 SECRETARY Fred L. Reed III, P.O. Box 793941, Dallas, TX 75379-3941 TREASURER Mark Anderson, 335 Court St., Suite 149, Brooklyn, NY 11231 APPOINTEES: EDITOR Fred L. Reed III, P.O. Box 793941, Dallas, TX 75379-3941 CONTRIBUTING EDITOR Gene Hessler, P.O. Box 31144, Cincinnati, OH 45231 LEGAL COUNSEL Robert J. Galiette, 3 Teal Ln., Essex, CT 06426 LIBRARIAN Richard J. Balbaton, P.O. Box 911, North Attleboro, MA 02761 MEMBERSHIP DIRECTOR Frank Clark, P.O. Box 117060, Carrollton, TX 75011-7060 PAST PRESIDENT Bob Cochran, P.O. Box 1085, Florissant, MO 63031 1929 NATIONALS PROJECT COORDINATOR David B. Hollander, 406 Viduta PI, Huntsville, AL 35801-1059 WISMER BOOK PROJECT Steven K. Whitfield, 14092 W. 115th St., Olathe, KS 66062 BOARD OF GOVERNORS: C. John Ferreri, P.O. Box 33, Storrs, CT 06268 Ronald L. Horstman, 5010 Timber Ln., Gerald, MO 63037 Arri "AJ" Jacob, P.O. Box 361, Los Alamitos, CA 90720-0361 Judith Murphy, P.O. Box 24056, Winston-Salem, NC 27114 Robert Schreiner, 103 Windsor Cir., Chapel Hill, NC 27516-1208 Stephen Taylor, 70 West View Ave., Dover, DE 19901 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 /ONE DOLLAR -1 141 1 641-1/1 7,, 1ife PAPER MONEY • March/April 2000 • Whole No. 206 35 A Plausible New Theory •Flori 7da s First Civil War Currency: 1861 Essays BY RONALD J. BENICE ESEARCH INTO THE ORIGINS OF THE PARTIALLY- dated Florida notes traditionally attributed to the carpetbagger years after the Civil War shows that such speculative attributions were 'ncorrect. In fact, these notes are essays printed under the Feb. 14, 1861, law as precursors of the "first issue" notes of September and October. Origins of the 1861 Currency Issue Florida seceded from the Union on Jan. 11, 1861, and joined the Confederacy on Jan. 28, 1861. To meet the need for circulating currency the General Assembly passed, and on Feb. 14, 1861, Governor Madison S. Perry approved, "An Act Providing for the Issue of Treasury Notes." The need for currency was clearly urgent. This act, Chapter 1097 of the Laws of Florida, was only the fourth law passed after secession. It provided for the issue of trea- sury notes to meet the needs of the newly independent state. The law required the Governor to "cause to be engraved and printed in the best manner to guard against counterfeiting, notes for circulation in the similitude of bank bills, of the different denominations of ones, twos, threes, fours, fives, tens, twenties, fifties and hundreds in amount not exceeding five hundred thousand dollars. Said blank circulating notes shall be signed by the Governor and countersigned by the Treasurer. . . .Said circulating notes shall Figure 1. $1 Florida note printed by Peter Hawes. 36 March/April 2000 • Whole No. 206 • PAPER MONEY Figure 2. $20 Florida note printed by Peter Hawes. have expressed on the face of same to be 'receivable by the State of Florida in payment of all dues and demands.'" The earliest signed and dated Florida Civil War era notes, which have traditionally been considered by the numismatic community to be the first issues of Florida under this law, bear handwritten dates of Sept. 16, 1861, or later. Most have engraved dates of Oct. 10, 1861. What occurred between the February passage of the authorizing legislation and the release of notes in September and October has remained a mystery up to now. The Peter Hawes Notes This article presents the results of my research into the origins of two unsigned notes, tantalizingly dated "186-" with the printer's inscription ''Peter Hawes 68 Camp St. New Orleans." Previous writers (Rarcoa, Criswell, Cassidy) have speculated that these were "Carpetbagger" notes issued during Reconstruction, probably 1867. However, newly uncovered evidence convinc- ingly identifies them as 1861 essays. Peter Hawes' printing business operated before the Civil War, and dur- ing the first year of the war until New Orleans was captured. It was not in business during Reconstruction. The New Orleans city directories for 1858, 1859, 1860 and 1861 show Peter Hawes operating a stationery store at 68 Camp Street, the address that appears on the notes. The post-war directories for 1866 through 1869 show neither Hawes nor any other stationers, printers or engravers at 68 Camp Street. Very little is known about Peter Hawes. The 1860 Census for New Orleans shows his age as 45 and his birthplace as Ireland. He enlisted in the Louisiana Militia, where on March 8, 1862, Governor T. 0. Moore assigned Figure 3. Advertisement for Peter Hawes' printing establishment (1859). PETER HAWES, SUCCESSOR TO 111(111+ H. SLACK & CO., No. 63 Camp Street, §11011M1W, AND BLANK BOOR NANUFAOTURER, [D— Blank Books manufactured to order, and of any desired pattern. Law, Music and Miscellaneous Books hound in superior style and at low prices. _ — /////(//////( ///,' ///( /.61 i(0,1 /wit 0///e/7 it.t;et; t 7/1/1- TA- 1.441aESEE Do 1 es er ocrida, PAPER MONEY • March/April 2000 • Whole No. 206 37 him to Company K of the Confederate Guards Regiment of the Louisiana Militia, which was to serve under General Mansfield Lovell of the Army of the Confederate States of America for the defense of New Orleans. Hawes was still active with the rank of Private at the last payroll muster on April 30, 1862. His military records indicate that he changed the spelling of his name from Hawes to Haws while in the service. After New Orleans surrendered to the Union forces on April 30, 1862, the Confederate Guards were disbanded and Peter Hawes apparently left New Orleans. He does not appear there in subsequent city directories, census records or death records. Relationship to 1861 Issue It is significant that the Hawes notes bear the exact obligation of the Feb. 14, 1861, law: "receivable by the State of Florida in payment of all clues and demands." Also, the signature spaces are for the Governor and Treasurer, as specified by that law. It is likely that the $1 and $20 were the only two essays produced by Hawes since there were only two different designs used for the eight denomi- nations actually issued in 1861. His Washington portrait design was used on the $1, $2 and $3 notes. The seated female design was used on the $5, $10, $20, $50 and $100 notes. Despite their inclusion in the legislation, no $4 notes were printed. The evidence that these notes are 1861 essays is clear: Hawes was in business in New Orleans in 1861, but not after the war; the text of the obliga- tion is exactly that of the 1861 legislation; and the design adopted for the 1861 issue is very similar in text, layout and vignettes. They cannot be post-war: A Figure 4. $1 note issued in 1861. Note the Washington vignette, curvature of "State of Florida" and denomination counters at one top corner and one indented top posi- tion on this note and on the Hawes essay. The $2 and $3 notes of 1861 are identical except for denomination. Figure 5. $20 note issued in 1861. This has the identical obligation that appears on the Hawes essay as specified in the law. Other simi- larities include a seated female central vignette, curvature of "State of Florida" at top and denomination counters in all four corners. The $5, $10, $50 and $100 notes of 1861 are identical except for denomination. X%.4/.72(-(5/ TD,t- 74(/%(/' ASHVILLE ,Veezovik /71,-Ifa 38 March/April 2000 • Whole No. 206 • PAPER MONEY Figure 6. 1861 Bank of Tennessee note with imprint of j. Manouvrier, Hawes' neighbor in New Orleans. thorough search of legislative journals, governor, comptroller and treasurer reports uncovered no evidence that any such notes were ever authorized or even proposed during the Carpetbagger years. The comptroller warrants and treasury certificates described in my referenced article in the January/February 1999 issue of Paper Money were the only government issues between the end of the Civil War and the end of Reconstruction. The $1, $2 and $3 regular issues of 1861 were printed first and were dated only 186- as on the essays. Their design follows the essays augmented by a vignette of Tellus, ancient Roman goddess of Earth, that the printers, Hoyer and Ludwig, had used on the July 25, 1861, $50 Confederate States issue (Criswell T14-22). The higher denomination Florida 1861 issues were printed later and had the full date "October 10, 1861," engraved. They were corrected to contain the exact obligation that appeared on the essays as specified in the authorizing legislation. Interesting Coincidences An influential legislator in the 1861 General Assembly was named George E. Hawes. He served as chairman of the House Committee on Claims and Accounts. It would appear to be more than a coincidence that the contract for designing the new currency went to a printer named Peter Hawes. Another interesting coincidence is related to the notes issued by the Bank of Tennessee for Nashville and Knoxville. Those with engraved 1861 dates were printed by J. Manouvrier of New Orleans; others were hand-dated 1861 notes printed by Toppan, Carpenter & Co. in the 1850s with a female portrait on the $1 which is a mirror image of the portrait that Hawes of New Orleans used that same year on his $20 essay. Figure 7. 1850-1861 Bank of Tennessee note with portrait copied by Hawes. Nrandj !parch of iftnneeste, Knoxville, Oct. 1, 18U, fault of trunoo40 Pay /he caul lucauty goie ffellat PAPER MONEY • March/April 2000 • Whole No. 206 39 Figure 8. 1862 Bank of Tennessee note with imprint of Haws and Dunkerley. Manouvrier's lithography business was located at 30 Camp Street, just down the street from Hawes at 68 Camp Street. It is highly likely that Manouvrier had seen examples of the previous Bank of Tennessee notes before designing the 1861 notes. And it is also quite likely that Hawes, a stationer and printer, discussed currency designs with his neighbor-lithographer. Also, in 1862 and 1863 the Bank of Tennessee's notes were printed by the firm of Haws and Dunkerley, headed by Tilghman Haws in Knoxville. This business started as a partnership for job printing and binding, Beckett and Haws, in 1858; Joseph W. Dunkerley joined in 1859 and Eli Beckett sold his interest to Haws in May 1861. Presumably, after the fall of New Orleans, Peter Hawes, renamed Haws before his discharge from the militia, headed north to Tennessee to join his relatives in their printing business, where he introduced them to currency printing opportunities. Indeed, Dunkerley and Haws were already in business in Knoxville when the contract for December 1861 Bank of Tennessee notes was given to an outsider, Manouvrier, in New Orleans. Conclusion The Florida state notes dated 186- and printed by Peter Hawes are prop- erly attributed as essays for the 1861 issue. REFERENCES Benice, Ronald J., "Florida Currency During Reconstruction," Paper Money, VOWIII no. 1 (January/February 1999), 3-9. Booth, Andrew B., Records of Louisiana Confederate Soldiers, New Orleans (1920). Business records in Knox County, Tennessee archives. Cassidy, Daniel G., The Illustrated History of Florida Paper Money, Jacksonville (1980). City Directories and Census Records in New Orleans Public Library. Criswell, Grover C., Confederate and Southern States Currency, Port Clinton, Ohio: BNR Press (1992). Garland, Paul E., The History of Early Tennessee Banks and their Issues, Kingwood, Texas (1983). Legislative Journals, Governor's Reports, Comptroller Reports and Treasurer Reports in Florida State Archives, Tallahassee. Military and business records in State of Louisiana Division of Archives, Baton Rouge. Military records in National Archives, Washington, DC. Rarcoa, Central States Numismatic Society Annual Convention Auction Sale featuring the Harley L. Freeman Collection, Milwaukee (1977). _eAl.S_ 6 tei uermoin g N- eri ./.1; j. 4,w i% i e ,...1,/,,,/,v7///..,..; • LILA ttelAPRIL P' 1 / 879. %I. . /,/, • //" March/April 2000 • Whole No. 206 • PAPER MONEY40 Type 2 Refunding Certificate. These notes were issued in the $10 denomina- tion only and bore interest, which capped in 1907 when the "face" value of the out- standing notes was $21.30. •H d1 •cert7f BY FRANK CLARK IEN I FIRST CONSIDERED U.S. CURRENCY, ONE TYPEWI- of note in particular caught my attention: the $10 Refunding Certificates of 1879. They were of an odd shape (6.5" by 3.5") and accrued interest. They were not really currency, but a circu- lating bond. I found them to be very interesting, historical and different. The Congressional Act of Feb. 26, 1879, created the $10 Refunding Certificates, and they are all dated April 1, 1879. The above act was passed to make government securities popular and within the pocketbook of the average citizen. These notes were convertible, with accrued interest, into four percent bonds when presented at the office of the Treasurer of the United States in sums of $50 or multiples thereof. The certificates were sold in limited amounts to individuals at post offices, but since they could be converted into four percent bonds at a premium, bankers and others in some cities hired men to stand in line at post offices and purchase the certificates. This practice was fraud according to the law and where done the sale of the certificates was discontinued. Initially, this helped get the Refunding Certificates into the hands of the general population. However, eventually most of the Refunding Certificates were held by National Banks. The certificates were sold for only a brief period, with proceeds going to the U.S. Treasury. The act provided only for the $10 denomination, which accrued interest at four percent per year indefinitely. The low denomination and indefinite interest were major benefits, however, Congress curtailed the interest on these certifi- cates as of July 1, 1907. As of that date the interest alone amounted to $11.30, so these certificates are still legal tender today to the tune of $21.30. There were two types of Refunding Certificates. Type 1 bore on the face the name of the person to whom the note was issued and required the endorse- ment of the owner in the presence of a witness on the back. These are payable to order. The Type 2 was a general certification that ten dollars had been deposited and required no endorsement. These are payable to the bearer. Both types have portraits of Benjamin Franklin in the upper left corner of the face. This engraving is based on the painting by James Barton Longacre. Both types have red Treasury Seals, but the Type 1 seal has rays and the Type 2 seal is scalloped. 41.1,M1401.Pftt. 27. :///// / 7/ //'(.., ?if',/,' fl-C/';'.(//':/4):". ;(4&,). ,514,6tkpe, //J./ NorEft STAILE S F R i 11 It 4 011-1111.POS PAPER MONEY • March/April 2000 • Whole No. 206 41 Other differences include: Type 1 has a thin cross used as a printer's embellishment mark at the end of the serial number, while Type 2 has a much thicker cross for that purpose. Also, in the upper corners, there are differences in the denominational counters "X", "10" and "TEN". Both types have the signa- tures of Jas. Gilfillan, Treasurer of the United States, and G.W. Scofield, Register of the Treasury. The backs of the two types are entirely different. The back of Type 1 bears an assignment form for conversion of the certificate into a four percent bond. The Type 2 back shows a large "TEN" at upper center, plus an interest table (see illustration). Both backs are printed in black. Type 1 notes are extremely rare. Only 5,850 were issued and only two are outstanding. Their whereabouts are known. They are: A287, the Friedberg plate note, formerly owned by Robert Friedberg, James M. Wade, Robert F. Schermerhorn, and Harry W. Bass, Jr. This note appeared in the Bowers and Merena Sale of the Harry W. Bass, Jr. Collection Part I, May 7, 1999, as Lot 111. In Almost Uncirculated grade, it was hammered down at $230,000. The other known Type 1 is A3793. It is located at the Bureau of the Public Debt, canceled with two large corners missing. The second type had 3,995,425 notes issued. Eight hundred thirteen are outstanding. There are over one hundred known serial numbers which range from A500 - A3996892. This would indicate that there were more certificates printed than issued with some serial numbers being skipped. A total of $40,012,750 of both types were paid out. However, most were paid out in the fourth quarter of 1879 to the tune of $39,398,110. Type 2 Refunding Certificate has a redemption table on its back. The earlier issue bore an assignment form. These Refunding Certificates are very popular with type collectors. They exist in a wide range of grades. They are a worthwhile addition to a collection of paper money. BIBLIOGRAPHY Blake, George H. United States Paper Money, Wynkoop Hallenbeck Crawford Co. (1908). Bowers and Merena, The Hari), W. Bass, Jr. Collection Part I, New York City (May 7-9, 1999). Friedberg, Robert. Paper Money of the United States. New York: The Coin and Currency Institute, Inc., Ninth Edition, (1978). Gengerke, Martin. United States Paper Money Records, (1994). Hessler, Gene. An Illustrated History of U.S. Loans 1775-1898. Port Clinton, OFT: BNR Press (1988). Hessler, Gene. The Comprehensive Catalog of U.S. Paper Money. Port Clinton, OH: BNR Press, Sixth Edition (1997). Sherman, John. Recollections of Forty Years in The House, Senate and Cabinet, an autobiography, Volume II, The Werner Company (1895). By FRANK CLARK March/April 2000 • Whole No. 206 • PAPER MONEY42 WTH THIS ISSUE OF PAPER MONEY, OURociety magazine is now back on schedule. I want to especially thank our new Editor, Fred Reed, for his hard work and for accomplishing this goal. I also want to thank our membership for being patient. It has been a trying year. I look forward to receiving each issue of Paper Money. It is definitely what I enjoy read- ing the most because one can learn so much from it. We are quickly going to reach membership number 10,000! If you know anybody who would like to join, now is time to ask them. He or she may get that num- ber! It looks like the year 2000 in our hobby picked up right where 1999 left off. Each new paper money auc- tion catalog offers more and more blockbuster type notes, plus collections in depth from certain states offer- ing nationals and great individual rarities. Prices are strong, but this is what is fueling the outpouring of notes that have been off the market for years, if not gen- erations. When I started in this hobby, often the collector was rarer than the note, but this is not true any more. However, in the future we may look back on these being the "good old days" and scratch our heads on why we didn't stretch for a particular note that has not shown up again in the meantime. It is time to start thinking about attending the International Paper Money Show in Memphis June 16- 18th. If you collect paper, you need to attend: an inter- national first-rate bourse, great exhibits, society meet- ings, great food, and of course the camaraderie of the people in our hobby. There will also be the SPMC breakfast, followed by the Tom Bain Raffle. The first meeting of the new SPMC board will also take place, and then there will be a general meeting of the SPMC membership. I hope to see you there! Frank Attempt to Counterfeit U. S. Treasury Drafts LC CT. LOUIS, AUGUST 10 — THE LAST MAIL L.3 from Utah brought us a newspaper account of an attempt to pass counterfeit warrants upon the U. S. Treasury, purporting to be signed by Maj. G. H. Crossman, U. S. Quarter Master's Department, at Camp Floyd. One of these counterfeits has been received in this city, and it establishes one fact, at least, that there are pretty good engravers at Salt Lake City, and among the Mormons. "When compared with reference to differences in particular parts to the counterfeit and genuine war- rants, it is not probable that any one would be taken in, but if put upon the market without any taint or suspicion they would pass readily from hand to hand, so well are they done. "As long ago as May last, it seems that the Quarter-Master's Department was advised of what was going on: that a copper-plate had been engraved and some checks were printed and finally that on the 8th of July one check was filled up and offered for circulation, for $367.65. It was copied from an origi- nal drawn by Maj. Crossman in January last. "The moment this counterfeit check was issued it was taken to Maj. C. who at once pronounced it a counterfeit. The person uttering it was immediately arrested, and, on searching his premises, the copper- plate, with several printed blank checks, together with materials for counterfeiting, were found. "These checks were on the Assistant Treasurer at St. Louis. It was intended also to counterfeit checks on the Treasurer at New York, but some difficulty arose in regard to the exact tint of the red ink to be used, and none were issued on that officer. "The engraver and the accomplice in the fraud have also been arrested in Salt Lake City, and a large quantity of tools and materials seized by the United States Marshal, including bank note paper, bank notes, drafts, &c.... "All the counterfeits were executed in exact imi- tation of originals, and for this reason they would have been more dangerous. Although caught in the act, it is very doubtful whether a jury can lie found in that territory who will sentence either of the offend- ers to satutary punishment." — St. Paul Weekly Minnesotian, Aug. 20, 1859. vi.grateAva=aarz.4:--.-TAls. cARTI.0 -^Itiffr ' 'eve 4,v, 7,./ ttl thy/ Vogigovillif!**10:, D70990 NZ UMW Ma:WM AY ///7///7, DEPAIII- REM1 SERI D70990 GOLD ICE RTI FICATE41 4;„nt,TrI1412,r. EnalferaSCIt .1".1.1 4) ..1z4r.ri,.r.14-1. ,j*is ZalifteK:N:11e d; //e, / , 41;7% , ,//11 N929443 .14,MITTAliirkitatt5 ,), ON13111109.11111WIT )1/EOMyr i///1 //// (V, ,/k '; I XaraY,L4'. UL.IESCr 1 13Z7 SUPERB UNITED STATES CURRENCY FOR SALE SEND FOR FREE PRICE LIST BOOKS FOR SALE COMPREHENSIVE CATALOG OF U.S. PAPER MONEY by Gene Hessler. 6th Edition. Hard cover. 579 pages. The new Edition. $32.00 plus $3.00 postage. Total price $35.00. THE ENGRAVERS LINE by Gene Hessler. Hard cover. A complete history of the artists and engravers who designed U.S. Paper Money. $75.50 plus $3.50 postage. Total price $79.00. NATIONAL BANK NOTES by Don Kelly. The new 3rd Edition. Hard cover. Over 600 pages. The new expanded edition. Gives amounts issued and what is still outstanding. Retail price is $100.00. Special price is $65.00 plus $4.00 postage. Total price $69.00. U.S. ESSAY, PROOF AND SPECIMEN NOTES by Gene Hessler. Hard cover. Unissued designs and pictures of original drawings. $14.00 plus $2.00 postage. Total price $16.00. Stanley Morycz P.O. BOX 355, DEPT. M • ENGLEWOOD, 011 45322 937-898-0114 CASILEAIt'S DESIGN FOR NATIONAL BANK NOTES. FACE. kgb 52 4•*4-1, • VA NAX1414,44. of the City ofRochester —•— Pstmatac50 oz 441 EXigamaallos W OE I (Reprinted front our DI°r.crou for April, 1881.) 311. eASIT PAR'S DESIGN FOR NATIONAL BANS NOTES- BACK. (Reprinted from our DETEcron for April, 1881.) 44 March/April 2000 • Whole No. 206 • PAPER MONEY National Bank Circulating Note Essais BY GENE HESSLER Above and below, face and back designs for a National Bank Circulating Note that appeared in "Underwood's Bank Note Reporter." (Courtesy of Eric P. Newman) T ATER THIS YEAR I HOPE TO HAVE A NEW EDITION OF U.S.Essay, Proof and Specimen Notes in print. BNR Press hopes to have thebook ready by the ANA Convention this summer, or sooner if possible.jThe new edition will include about 100 essays, never seen before. There will be about 40 additional pages for a total of about 260 pages. A section of the first edition was devoted to National Bank Circulating Notes. These Series of 1873 essais were intended to replace the worn Original Series National Bank Notes. However, as most collectors of National Bank Notes know, this plan was rejected, and "Series 1875" was added to the original designs. For the story of these essais see the Hessler, Huntoon and Kelly references listed below. PAPER MONEY • March/April 2000 • Whole No. 206 eluatc4., .P° =AM 5014111, 01-0404lik ixii-Lx26100.0 IMP ,Uatit.U.SO4 C * 0 01.4111 l• .40 ,41•ATI.:S " 111:1). P7 11: , 11NITI: t ■ ' t it ' 4 1111:C.S. --ier;..*."7„4:derft• 45 1, ...A tn.. " II,. ill l• . I Att . , o;Irt .41 1•.. I. *II , loo Alt, stN. ..... NA. 1+.1 , ■• A al, ori lot to 4.1 .1, /to 1 tot 4 Nr1.1".tallO.11, , . o , t ttl a ,t .NSW...kV, ,,, 41..“ ,..at t ■ t S. ■ .ule, 010 OM.. 0.11/rts 4.0 1 ■t .■ ...rt.. 4,.■,.. MI *Mr A •t. s ■• ,, ■ 1 , ■ ,. t.". , ■■,■ •• ,, III WOW... 41.1 ,,,, ..1•111“ , .6 11 -.11% Va.. A ..-1-Iro• -.1., ..... ,.I ∎ . ■•■• mArli ON ./r114.11111 Assays. A few months ago I received photocopies of sketches for the face and back of the Series 1873 $10 denomination from Eric Newman. These sketches of the $10 denomination — designs for $1, $2, $5 and $20 notes were also prepared at the Bureau of Engraving and Printing — had appeared in Underwood's Bank Note Reporter, March 1882, p 126. The drawings of the face and the heretofore unseen $10 back design were attributed to George W. Casilear. The artist who made the sketches took some liberties, including assigning Charter 379 (the National Bank of the Republic, Boston) to a mythical Tenth National Bank of the City of Rochester, New York. If you compare the illustra- tion of the essai printed from an engraved plate with the sketch there are other differences, including the designation of Cashier and President, rather than Treasurer and Register. Apparently the sketch for the back was rejected for the version that was ultimately engraved. Comments that accompanied the illustrations in Underwood's said one of the reasons for this design was to thwart the counterfeiter. Previously the counterfeit- er, after making an "electrotype plate," needed only to change the name of the bank and charter number, since charter numbers were overprinted, not engraved. It was stated that the illustrated sketch had the charter number engraved twice on the face and once on the back. With the exception of the engraved charter number on the back, a feature adopted on Second Charter notes, large engraved charter numbers on the face plate would have required an extra plate-alteration process. Subsequent National Bank Notes had small charter numbers as part of the border. This took much less time to "lay in" than larger numbers would have required, in addition to inserting the name of the bank on the face plate. Engraved face design for one of 13 National Banks. The por- trait of William Seward was engraved by Charles Schlecht. (Photo by the author) Engraved $10 back design by National Bank Note Company. (Photo by the author) 1411'.-TTTTT BANK IIIII1Happenings Submitted by BOB COCHRAN 46 March/April 2000 • Whole No. 206 • PAPER MONEY The American Bank Note Co. also submitted back designs for the $5 and $10 denominations. These essais have not been observed. Editors note: Although former Paper Money Editor Gene Hessler is too modest to brag, the first edition of his U.S. Essay, Proof and Specimen Notes earned the veteran researcher the SPMC/Bank Note Reporter Nathan Gold Memorial life- time achievement award for his contributions to syngraphics. Two decades later, the promise of a revised, new edition of Gene's seminal work is cause for great anticipation in the collecting community. BIBLIOGRAPHY Hessler, Gene. U.S. Essay, Proof and Specimen Notes. Portage, OH: BNR Press (1979). Hessler, Gene. "Unissued National Bank Circulating Notes of 1873," The Numismatist (February, 1985), 244-253. Huntoon, Peter. "The Production of $10-$10-$10-$10 Series of 1873 National Bank Circulating Notes," Paper Money, No. 154 (1995). Huntoon, Peter. United States Large-Size National Bank Notes. Laramie, WY: Society of Paper Money Collectors (1995). Kelly, Don C. National Bank Notes. Oxford, OH: The Paper Money Institute (1997), 30-31. Is 0. Potter "Father of the National Banking System"? CLAIM HAS BEEN PUT FORTH THAT ORLANDO . Potter was the "Father of the National Banking System." Was he? Potter was born on a farm near Charlemont, MA, on March 10, 1823. He attended the public schools, and put him- self through Williams College. Later he attended Harvard Law School, and was admitted to the Suffolk bar in 1848. Potter became connected with a lawsuit against two men from New York City, involving a sewing machine that the two men had invented. He was induced to become a partner in their business, and moved to New York City in 1853. In addi- tion to the sewing machine business, Potter invested heavily (and successfully) in real estate in the city. In 1869 he purchased a farm on the Hudson River near Sing Sing, eventually erpanding it to about 700 acres. He passed away on Jan. 2, 1894. This sketch would be incomplete without a reference to Mr. Potter as the "originator of the national banking system." The honor of the paternity of this system has been claimed for others, but a fair examination of the record will accord it to Mr. Potter beyond the possibility of dispute, according to a biographical history, The New England States, published circa 1900 in Boston. According to that source, on Aug. 14, 1861, Potter addressed a letter to Salmon P. Chase, Secretary of the Treasury, proposing as follows: . to allow banks and bankers, duly authorized in the loyal states, to secure their bills by depositing with a superin- tendent appointed by the government, United States stocks at their par value, . . . thus making the stocks of the United States a basis of banking, on which alone a national circulation can be secured ... and that in case the same shall fail to be redeemed by the bank or banker issuing the currency, then on due demand and protest such superintendent shall sell ... and apply to the redemption of said currency the stocks held to secure the same. ". .. This money might properly be designated United States currency.... The objects which will be secured by this plan are: First, the bills thus secured will have, in whatever state issued, a national circulation, and be worth the same in all parts of the country. ... Second, the fact that in this way banks and bankers could obtain a national circu- lation for their bills, would make United States stocks eagerly sought after by them, and their price would always be maintained at or above par, though they bore only a low rate of interest, four per cent, could never fall below par after the system is fairly understood and at work. "The adoption of this plan could not fail to put an end to all financial troubles during the war, and be an increasing benefit and blessing ever after. While it would supply all the means required for the war, it could instantly enable the older and newer portions of the country to increase their trade with each other, by supplying to such newer portions an abundant and perfectly safe currency." — Davis, W.T. (ed.). The New England States. Boston: D.H. Hurd & Co. (ca. 1900). PAPER MONEY • March/April 2000 • Whole No. 206 47 CHECK THE "GREENSHEET" GET 10 OFFERS THEN CALL ME FOR WRITE) FOR MY TOP BUYING PRICES The Kagin name appears more often than any other in the pedigrees of the rarest and scarcest notes (U.S. Paper Money Records by Gengerke) BUY ALL U.S. CURRENCY Good to Gem Unc. I know rarity (have handled over 95% of U.S. in Friedberg) and condition (pay over "ask" for some) and am prepared to "reach" for it. Premium Prices Paid For Nationals Pay 2-3 times "book" prices for some). BUY EVERYTHING: Uncut Sheets, Errors, Stars, Special Numbers, etc. I can't sell what I don't have Pay Cash (no waiting) - No Deal Too Large A.M. ("Art") KAGIN 505 Fifth Avenue, Suite 910 Des Moines, Iowa 50309-2316 (515) 243-7363 Fax: (515) 288-8681 At 79 Now is The Time - Currency & Coin Dealer Over 50 Years I attend about 25 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 48 March/April 2000 • Whole No. 206 • PAPER MONEY A Nice Vac Souventr. Red Seal #1 Note BY DAVID GRANT D URING THE LAST DECADE, MY FAMILY'S SUMMERvacation plans have usually included a day or two to visit local coinshops, old bank buildings and various historical societies orarchives to research National Banks, and maybe buy a note or two. The first of these expeditions was also the most fruitful, and it continues to provide the incentive that maybe there is another find just waiting for me. It was in the summer of 1992 and we were "taking the kids to visit" Washington, D.C. for the first time. In a display case of an otherwise unremarkable suburban coin shop were several, mostly low grade Lancaster County Pennsylvania Nationals. Two of the large size notes, a $5 from Mount Joy and a $10 Red Seal from Brownstown, were in decidedly better condition, and the Red Seal was a #1 to boot! Now I knew nothing about the banks themselves, but I'm always on the lookout for better trading stock to swap for St. Louis material. These notes were just the ticket and, since the price was right, a deal was quickly made. Subsequently I learned a great deal more about the banks in Lancaster County. According to plan, I traded off the Mount Joy, but decided to keep the Red Seal. It was my only #1, but more importantly, I discovered that the bank epitomizes the best type of hometown bank spawned by the changes to the National Bank Act in 1900. Brownstown, PA Brownstown is in West Earl Township of Lancaster County, about six miles north and east of Lancaster City. The town is astride the direct mail route between Reading and Lancaster, which assured a constant flow of traffic through the community. According to tradition, Hans Grief was the first European settler in the region, arriving in the township in 1717. A roller mill was built in 1856 on the site of an original mill built in the 1740s. A post office was established in 1860 when Brownstown's population may have reached 200. The region was primarily agricultural, with leaf tobacco for cigars and chewing being a principal crop. There were and remain significant popula- tions of Amish and Mennonite families in the region. By 1910, the town had grown to 500 and boasted an electric light, heat and power plant, a knitting mill, a flour mill, half a dozen cigar factories, an inn, a printer, two hotels, a lumber yard, two churches, and the usual assortment of retail establishments. The Brownstown Improvement Association was already very active in finding ways to develop the community. An early project was to macadamize the roads, and many individuals took the initiative to add concrete walks to the fronts of their homes around the same time. Amount EutrocA,_ Income I Social, Tax Sauriti DEDUCTIONS Other All WISE PEOPLE SAVE OPEN AN,ACCOUNT :4T- The:Brownstownjiational Bank BROWNSTOWN, PENNA. Triosoloes Faders, Deposit basanmas Corporation • Net Pry PAPER MONEY • March/April 2000 • Whole No. 206 49 Figure 1. The bank building shortly after it opened. Jacob Wolf, the bank's Cashier, is standing in the doorway. The Brownstown National Bank The first meeting to discuss organizing a National Bank in Brownstown occurred at Shreiner's Hall on Oct. 11, 1907. The meeting transpired against the backdrop of the Panic of '07, and within a month clearing house scrip or cashiers' checks had become a widely used medium of exchange across the country due to the hoarding of currency and specie. There were already other banks in the area: two National Banks (Blue Ball, 8421, and New Holland, 8499). Additionally, a state bank (Millersville) had been organized recently in Lancaster County, and by the end of 1909 an additional seven National Banks would be open for business. As elsewhere, the boosters of Brownstown believed that a bank would help to promote their community and perhaps to protect against hard times. There was sufficient interest at the first meeting to warrant proceeding. Three temporary officers were elected: Adam V. Walter, MD as President; Harry L. Keith as Secretary; and Isaac J. Myers as Treasurer. A second meet- ing occurred in early November and these officers were confirmed along with three Vice Presidents: John L. Girvin, W. W. Buch and E. S. Moore. At this time the bank's ten directors were elected: Adam V. Walter Wallace M. Zook Sheridan H. Wolf E. S. Moore W. W. Buch John L. Girvin Isaac J. Myers Harry L. Keith John R. Baer Physician, Brownstown Miller, Lititz Cigar manufacturer, Brownstown Lumber dealer, Millway Farmer, Akron Tobacco grower, Leola Contractor, Brownstown Merchant, Brownstown Promoter, Philadelphia Figure 2. A promotional enve- lope for the Brownstown National Bank, c. 1950s. The bank was capitalized at $25,000, composed of 250 shares of $100 par value stock. Subscribers were required to pay $105 for each of these shares: $100 was paid into capital and $5 was paid to the Manhattan Trust Security Company of Philadelphia for assistance in organizing the bank. Investors could make their payments in installments. An original temporary stock certificate shows that a subscriber of five 110/1 Inr SWIM SUM 131111114 COMM INITIalit =WORM Ma KITED STATES OF AMERICA NanntoNurinAmik Tb.1124 ,pt 50 March/April 2000 • Whole No. 206 • PAPER MONEY Figure 3. The bank's serial lA $10 1902 Red Seal with signatures of Dr. Adam Walter as President and Jacob Wolf as Cashier. This was among the first shipment of notes received by the bank in April 1908. shares made his first $15/share payment on Nov. 12, 1907, and a second $40 installment on Dec. 31. The remaining $50 was to be paid in five $10 per share installments. The Comptroller of the Currency's Bond and Currency ledgers record the buildup of the bank's capital as follows: Initial $12,500 March 13, 1908 15,000 April 13, 1908 17,500 May 12, 1908 20,000 June 15, 1908 25,000 As the capital accumulated, the bank purchased and deposited the required two percent U.S. bonds in four installments: two installments of $6,500 on Feb. 12 and June 6, 1908, and two installments of $6,000 on Dec. 7, 1908, and Jan. 19, 1909. With the deposit of each group of bonds, a like amount of new National Bank Notes was issued to the bank. At this time, bonds sold at a premium to face value and the total premium paid by the bank was about four percent over par. Dr. Adam V. Walter was clearly the leading light of the bank. Walter was popularly called the "Father of Brownstown" because of his promotion of the town and his many enterprises in the area. Adam Walter was born in 1871 and taught school for two years before entering Jefferson Medical College in Philadelphia. After graduation, he started a general medical practice at Brownstown in September, 1895. Walter was just the second physician to reside in the area and had a great deal of influence among the Amish and Mennonites. He founded and was president of the Brownstown Machine Shop and the Conestoga Hosiery Company, was president of the Lancaster City and County Medical Society in 1914, and served as the county's coroner from the mid-1930s. He remained President of the bank and an active physician until his death in March, 1946. Jacob H. Wolf, the brother of director Sheridan, was named Cashier shortly after the November organization meeting. After graduating from the Millersville Normal School in 1893, he taught school for nine years before securing a position as clerk of the Lancaster County Prison in 1901. Since his brother was an organizer, it was only natural that Jacob was drawn to the more respectable job at his hometown bank. At first Wolf was the only paid employee, receiving an annual salary of $720, and transacted all of the work of the bank. A parcel of land was purchased at the northwest corner of Main and State Streets for $650. Edward Ditzler laid the first stone of the building on Figure 4. The Brownstown National Bank building today. NattionalCauseette* SEWN UT UNITED MAUS MOS MYREN SEMI HU • UNITED STATES OFAMERICA `ULLZ,A1.141.4=4.1444.1=1,t14,W.UWID Tftairr 40.46n4Ate -z4wp/kizew,y, ,Lkaatallii.WAY "/.4(w/.09W PAPER MONEY • March/April 2000 • Whole No. 206 51 Dec. 2, 1907. Despite the winter weather, the roof was finished by Jan. 13, 1908, and finishing work began on the inside the next day. Total investment in the land, banking house and fixtures was about $6,500, which included $1,200 for a manganese safe and $225 for a vault door. The original bank was a two-story brick building measuring 22' by 42'. The building still stands today, occupied by the LANCO Federal Credit Union. At some point the building received a coat of white paint and was doubled in size with an addition along Main Street. The rapid construction allowed the bank to open Saturday, Feb. 15, 1908. Mercifully, the weather had moderated from the prior weekend which The Inquirer had described as "cold enough to freeze the tail off of a brass monkey." It was apparently a fine day for banking, and the new bank received nearly $13,000 of deposits on its opening day. Lemon C. Wolf made the first deposit at the bank. Wolf was a success- ful tobacco grower, cigar manufacturer, and owner of a restaurant in Brownstown, whose specialty was wholesale and retail ice cream sales. He may have been a distant relative of Jacob and Sheridan, but since there are sev- eral different Wolf families in the area this is not at all clear. The bank did well in the little community. By its June 20, 1908, exami- nation, it held total assets of $73,280, deposits of nearly $34,000 and $22,000 of loans. More interestingly, by this time the bank had already received $13,000 of banknotes — all in Red Seals — of which $1,000 was still on hand. The June 1908 examination made two criticisms of the bank. First, near- ly two-thirds of the loans were to directors and officers who were chastised to reduce the level and to keep their requirements to more prudent levels. Secondly, the examiner instructed the bank to charge off the $1,250 organiza- tion expense paid to the Manhattan company. In April/May 1909 William W. Buch died unexpectedly of pneumonia at age 40. He was replaced on the Board by Aaron Buch, a farmer from Ephrata, who does not appear closely related to W. W. despite the same last name. In the small community, the personal relationships within the bank were striking: Dr. Walter was Buch's attending physician and, interestingly, one of Buch's sisters was married to Harry Keith, another director of the bank. The bank reached $100,000 in total assets in mid-1909. The other banks organized in the county and the small size of its immediate market limit- ed the growth of the bank. Assets were just $135,000 by the end of 1913. Then, the economic boom created by World War I dramatically increased the Figure 5. A $10 1902 Plain Back with signatures of Dr. Adam Walter as President and Daniel Boyer as Cashier. Note that the face of the note retains the "or other securities" obligation associ- ated with Date Backs. This note was shipped to the bank as part of an eight sheet shipment on May 23, 1922. tiEtifiyAts THE FIRST NATIONAL BANK OF STRASBURG PENNSYLVANIA 441. WILL PAT TO THE DEADER ON DEMAND TEN DOLLARS A000367A I I ET OF STATES SSUE A000367A 52 March/April 2000 • Whole No. 206 • PAPER MONEY bank's business, and assets more than doubled by 1919. The examinations reveal a well-run little bank during this period, a trib- ute to Jacob Wolf's competence. As with many, rural banks the occasional loan extended over the legal lending limit prompted comment, but otherwise there were few criticisms of the bank's management in the examinations. One interesting comment from this period is that the directorate each received 50 cents and mileage to attend board meetings. Attendance was usual- ly very good except for tobacco planting time when almost all of the directors had to attend to their farming interests instead. Wolfs salary was increased to $1,200 by 1911. Chester A. Keith became the bank's second paid employee to help with the passbooks, journals and let- ter writing, while Wolf kept the books, reconciled accounts and usually did the teller work. Keith was engaged in 1912 at a salary of $150, which was raised to $252 the next year when 15-year-old Daniel C. Boyer joined the bank as a clerk. The directorate changed over the next few years. By 1913, Moore, Girvin, Myers and Baer had been replaced by J. H. Reitz, coal and lumber dealer from Millway; Willis B. Girvin, a florist from Leola; David W. Ranck, a retiree from New Holland; and R. M. Schiffer, a tinner from Brownstown. A further change occurred when 40-year-old H. L. Keith died during the 1918 influenza epidemic and was replaced on the Board by John W. Buch. But the most dramatic change for the bank occurred on Oct. 26, 1921. Jacob Wolf resigned after being elected as Cashier of the First National Bank of Strasburg about a dozen miles south of Brownstown. The Strasburg bank was half again larger than the Brownstown bank, and the community probably offered more opportunity as well. Wolf succeeded George Hensel who had died on the 10th. Earlier in the year Hensel had completed a half century of service to the Strasburg bank. Starting as a clerk at age 18 in 1871, he was subsequently promoted to teller and became cashier in 1879, holding that position for 42 years. Ironically, his wife became very ill immediately following George's funeral, became progres- sively worse, and died two weeks later. Wolf remained cashier of the Strasburg bank until his retirement in 1936. He remained active and became the liquidating agent for the Lancaster Trust Company. Lancaster Trust had been the second largest bank in the county, but had discontinued operations in January, 1932. Since no successor institution was named, the liquidation probably kept Wolf well occupied dur- ing the early years of his retirement. Jacob Wolf died in 1961, having outlived his younger brother Sheridan by over a decade. Wolf was replaced as cashier by Daniel Boyer. Boyer was born in 1898. After a short period as clerk of the Brownstown National, he enlisted in the U.S. Army when the country entered WWI. A member of the Coast Artillery, Figure 6. A Type I $10 from the First National Bank of Strasburg featuring Jacob Wolf's signature as cashier. Brownstown National Bank Circulation Denominations Total $10 $20 Banknotes Total $ 1902 Red Seal 1,980 660 2,640 $33,000 1902 Dated Back 6,180 2,060 8,240 103,000 1902 Plain Back 13,380 4,460 17,840 223,000 Total Large Size 28,720 $359,000 1929 Type I 4,668 1,272 5,940 $72,120 1929 Type II 860 251 1,111 13,620 Total Small Size 7,051 $85,740 Total 35,771 $444,740 PAPER MONEY • March/April 2000 • Whole No. 206 53 his unit was sent to France in 1917 where Wolf remained until the end of the war. After his discharge in February, 1919, he rejoined the Brownstown bank, now as Assistant Cashier. Again showing the closeness of the small town, in 1921 he married the daughter of William Buch, the director who had died in 1908. Boyer remained as Cashier of the bank until 1937, well after the note-issuing period. During the 1920s the little bank's assets doubled again, reaching $536,000 by 1929. The bank was profitable during most of this period with its capital surplus and retained earnings reaching $72,000 by 1929. Licensed to reopen with an injection of new capital following Roosevelt's "Bank Holiday," the little bank suffered along with the country during the Depression. Assets declined to $416,000 by 1937. A World War again fueled a national economic boom so that by the end of 1945 the bank's assets exceeded $1 million. Circulation During the note-issuing period, the Brownstown National Bank issued 28,720 large size notes and 7,051 small size notes. Their combined value was $444,740. In July, 1935, the bank's outstanding circula- tion was $24,450, of which just $440 was in the form of large size notes. Table 1 provides statistics by note type and denomination. Only $10 and $20 denominations were issued. The original shipment of notes to the bank occurred on April 3, 1908. It consisted of 130 sheets of $10-$10-$10-$20 Red Seals, totaling $6,500 and reflected the initial deposit of U.S. gov- ernment bonds by the bank. My #1 note was part of this first shipment. Its red seal and charter numbers are slightly faded, so it's rea- sonable to assume that the note may have been on display at the bank at some time. Paid in installments, the bank's authorized capital did not reach the full Table 1 $25,000 until June, 1908. Bonds were purchased more slowly. As they were deposited with the Comptroller, the bank received subsequent shipments of currency in June (sheets 131 to 260), December (sheets 281-400), and January, 1909 (sheets 411 to 530). With the last shipment, the bank reached its autho- rized circulation of $25,000. The first return and destruction of the bank's worn notes occurred in October, 1908, when $500 was destroyed. Ten $10-$10-$10-$20 new Red Seal sheets were shipped to the bank shortly thereafter (sheets 261 to 270) as replacements. The last batch of Red Seals was a shipment of five sheets (655 to 660) on July 22, 1909. Eight days later the first Date Backs (consisting of sheets 1 to 10) were sent to the bank. The last three sheets of large size notes (1902 $10-$10-$10-$20 Plain Backs with serials 6518 to 6520) were sent to the bank on Oct. 5, 1929. Interestingly, the prior relatively small issues of currency to the bank (typically 10 or 20 sheets) had apparently confused the clerk who initially indicated in the ledger that this last shipment consisted of $900 of $10 notes and $600 of $20 notes. This error was subsequently corrected to $90 and $60 respectively. These last three sheets totally depleted the supply of notes on hand at the Currency Bureau until the first printing of small size 1929 notes was received on Nov. 7, 1929. This first batch of notes consisted of 308 sheets of the new six position $10 notes and 102 sheets of $20 notes. The face value of the new notes totaled $31,720, well above the bank's bonded circulation of $25,000 and sufficient to totally replace the outstanding large size notes. Return & Destruction of Notes 1928 to 1931 Period ending: Circulation Issued $10 $20 7/1/28 7/1/29 7/1/30 5/9/31 $15,800 $6,200 $0 9,480 8,320 3,720 2,480 0 0 Large Size Notes Destroyed $15,800 $26,990 $1,710 Currency $10 9,300 15,870 770 $20 8,500 11,320 940 Notes Outstanding $25,000 $25,000 $4,210 $2,500 $10 13,500 13,680 1,730 960 $20 11,500 11,320 2,480 1,540 Circulation Issued $23,460 $14,460 $10 16,500 8,340 $20 6,960 6,120 Small Size Notes Destroyed $2,670 $12,750 Currency $10 2,470 9,790 $20 200 2,960 Notes Outstanding $20,790 $22,500 $10 14,030 12,580 $20 6,760 9,920 NB: Last 3 sheets of large size notes issued to the bank on October 5, 1929 First small size notes issued to the bank on November 7, 1929 54 March/April 2000 • Whole No. 206 • PAPER MONEY Table 2 On the same day, 47 sheets of the new $10 notes were sent out to the bank, followed nine days later by the first six sheets of small size $20s. Interestingly, the first return of worn small size notes did not occur until March 10, 1930, when four $10 notes were returned for destruction. All of the $20s remained in circulation until May 28, 1930, when five of the notes were returned. Table 2 summarizes the return and destruction of notes for the period 1928 to 1930. During the 1920s, between 60 to 80 percent of the bank's circu- lation was replaced by new notes each year: for the year ending on July 1, 1929, $15,800 had been so replaced. The introduction of the new, smaller notes in 1929 accelerated this process, and it's interesting to see how quickly the older, large notes were removed from circulation. For the year ending on July 1, 1930, $6,200 of large size notes were issued to the bank along with $23,460 of small size notes. Combined, this was nearly $30,000, and about twice the amount issued to the bank the previous year. But the explanation for this dramatic increase is easy to see: $26,990 worth of large size notes had been removed from circulation and destroyed during this period leaving just $4,210 outstanding. Over the next 11 months (end- ing on 5/9/31) large notes outstanding were further reduced to $2,500, and by July, 1935, just $440 of the large notes were still outstanding. That is, by July, 1935, there were fewer than three dozen large size notes still out- standing from an issue of over 28,000. In theory, the bank provides some variety for the very patient col- lector and these are summarized on Table 3. Besides the three major types of Series of 1902 notes (Red Seal, Date Back and Plain Back), there are also the three sub-varieties of Plain Backs (regional letter with trea- sury serial number, no letter with treasury serial number, and no letter with twin bank serials). And of course there are two types of small size notes. However this is mostly a theo- retical exercise and acquiring both official signatures or even just a large and small sized example from the bank is no small accomplishment. Availability of Notes Collectors of Lancaster County Nationals are among the most competi- tive in the country and any banknote will receive strong local support. The issues of the Brownstown National Bank are no exception. Notes of the bank are considered to be very scarce and are on the want list (one might even say waiting list) of many collectors. In 1997 Kelly recorded four large notes and five small ones well above the R6 status indicated for each size by Hickman-Oakes just seven years before (i.e., two or fewer of each reported). At least five notes have been sold at auction or on fixed price lists since 1993. The fact may suggest a greater availability of the notes than is the case in that the three notes in the RVP and E. M. Murray sales were from old-time collections, representing notes that had been off the market for many years. ,dense -Autrtstejact, CC00179ATHE NIT II1101111. WA IF I.1 SLIEUR. -" --• °C s Cra 1••• FIVE 'MILLAR/4 C000179 3 I COLLECT MINNESOTA OBSOLETE CURRENCY and NATIONAL BANK NOTES Please offer what you have for sale. Charles C. Parrish P.O. Box 481 Rosemount, Minnesota 55068 (612) 423-1039 SPMC LM 114—PCDA—LM ANA Since 1976 PAPER MONEY • March/April 2000 • Whole No. 206 55 EARLY AMERICAN NUMISMATICS 4Gertate • 619-273-3566 COLONIAL & CONTINENTAL CURRENCY We maintain the LARGEST ACTIVE INVENTORY IN THE WORLD! SEND US YOUR WANT LISTS. FREE PRICE LISTS AVAILABLE. SERVICES: 7-1 Colonial Coins q Colonial Currency q Rare & Choice Type Currency q Pre-1800 Fiscal Paper q Encased Postage Stamps SERVICES: —.I Portfolio Development ILI Major Show Coverage q Auction Attendance EARLY AMERICAN NUMISMATICS c/o Dana Linett P.O. Box 2442 • LaJolla, CA 92038 619-273-3566 Members: Life ANA, CSNA, EAC, SPMC, FUN ANACS 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. Always Wanted Monmouth County, New Jersey Ohsoletes – 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: 732-922-5055 Brownstown National Bank Currency Varieties Regional Treasury Officer Type Letter? Serial # Denomination Signature 1902 Red Seal $10 & $20 Walter - Woif 1902 Date Back $10 & $20 Walter - Wolf 1902 Plain Back Yes Yes $10 & $20 Walter - Wolf 1902 Plain Back Yes Yes $10 & $20 Walter - Boyer 1902 Plain Back No Yes $10 & $20 Walter - Boyer 1902 Plain Back No No $10 & $20 Walter - Boyer 1929, Type I $10 & $20 Walter - Boyer 1929, Type II $10 & $20 Walter - Boyer Table 3 As the little bank moved into the 1980s its future was uncertain. At the end of 1979 assets had grown to $38 million and equity to $3 million. The bank now had offices in Rothville and Leola along with its main office. The bank's motto was "the friendly county bank" and seems to have a good following in its markets. But the wave of history was consolidation, and the shareholders of the bank voted to merge with the American Bank and Trust Company in Reading in 1981. The decision had not been easy, however. Three of the eight members of the Board voted against the merger. A contemporary newspaper article mentions that the decision had divided the commu- nity as well. Nevertheless, the merger was consummated in September, 1981. In 1986 American became part of Meridan which was acquired by CoreStates in 1995 and which, in turn, was acquired by First Union in late 1997. The original office was abandoned in the mid-1980s in favor of a more modern facility near a small shopping district along the busy Oregon Pike which continues into Lancaster. The LANCO Federal Credit Union current- ly occupies the original bank building. Despite some updating and renova- tions, this building retains much of its original charm, down to the name of the "Brownstown National Bank" on the vault door. Its front step retains the date "1907," a direct reference to the building's past. Epilogue March/April 2000 • Whole No. 206 • PAPER MONEY56 Acknowledgments Special thanks to Cynthia Marquet of the Historical Society of Cocalio Valley and to Jacqueline Zimmerman of the Meridan Bank, who each provided a great deal of information and material about the bank, its officers and the Brownstown area. I also appreciate the help provided by Kerry Wetterstorm, who provided information about Lancaster County auctions and photos of the Strasburg note; Bob Cochran, who helped with duplicating the notes; and Louise Grant, who provided helpful suggestions on the text. BIBLIOGRAPHY Comptroller of the Currency. Annual Reports of the Comptroller of the Currency Washington, D.C. (various dates 1908 to 1924). Comptroller of the Currency. Organization, Correspondence, Examination, and Liquidation Files of the Comptroller of the Currency. National Archives, Washington D.C. (various dates). Ephrata Review, Ephrata, Pennsylvania (various dates 1908 to 1921). The First National Bank of Strasburg, a Brief Historical Sketch. Published by the bank in 1924. The Inquirer, Lancaster, Pennsylvania (various dates 1908 to 1921). Klein, H. M. J. Lancaster County Pennsylvania, A History. New York & Chicago: Lewis Historical Publishing Company (1924). Kelly, Don. National Banknotes, 3rd Edition. Oxford, OH: The Paper Money Institute (1997). Lancaster City and County Directories (various dates). Polk and Rand McNally Banker's Directories (various dates 1908 to 1937). Southwest Pennsylvania Genealogical Services. Biographical Annals of Lancaster County Pennsylvania, vol. III. Laughlintown, PA. (1991). Sunday News, Lancaster, Pennsylvania (various dates 1921 to 1924). THE CAMP MILL RAMIE SW ( 111P MU. specializing in Poland, Russia & E. Europe visit us: http://www.atsnotes.com ats@atsnotes.corn Buy & Sell Free Price List Tom Sluszkiewicz P.O. Box 54521, Middlegate Postal BURNABY, B.C., CANADA, V5E 4J6 WORLD PAPER MONEY r I I I I I r William Youngerman, Inc. Rare Coins & Currency "Since 1967" P.O. Box 177, Boca Raton, FL 33429-0177 L Your Hometown Currency Headquarters Top prices paid for National Currency Collections, Large-Size Type Notes, All Florida Currency and Scrip Largest Inventory of National Currency & Large-Size Type Notes! Interested? Call 1-800-327-5010 for a Free Catalog or write PAPER MONEY • March/April 2000 • Whole No. 206 57 Buying & Selling National Bank Notes, Uncut Sheets, Proofs, No. 1 Notes, Gold Certificates, Large-Size Type Error Notes, Star Notes. Commercial Coin Co. P.O. Box 607 Camp Hill, PA 17001 Phone 717-737-8981 Life Member ANA 639 OBSOLETE NOTES Also CSA, Continental & Colonial, Stocks & Bonds, Autographs & Civil War Related Material LARGE CAT. $2.00 Ref. Always Buying at Top Prices RICHARD T. HOOBER, JR. P.O. Box 3116, Key Largo, FL 33037 FAX or Phone (305) 853-0105 I I I I I RIO G 1 V.I.),V P t:XD. give/re and One Half Lenrts. corn von ON IVIIEIT11„31:::$1LNTI:1) SIJIII; (I. :INVENT] . 0 , Ir.! 0i; 1.TWA!■PS-, 01' 01'1100, DIZOWNSVILLE, or -0.1 /Li) :jr//, 41.a, 1.44 C , - • 1.4 CONFIT El■•\ Tlys :1ZY • March/April 2000 • Whole No. 206 • PAPER MONEY58 News for Members T Nominations for Mason Award HE WALT MASON AWARD COMMITTEE HAS announced that nominations for the 2000 "Walt L. Mason, Jr., Award" will be accepted for consideration through July 1. The award, if presented, will be announced at the Virginia Numismatic Association convention in October. The Mason Award was established in 1988 to honor the memory of late SPMC member Mason, one of the most respected numismatists and dealers in the Middle Atlantic area. Nominees need not be members of VNA, but should be numismatically active in the Delaware, Pennsylvania, New Jersey, Maryland, District of Columbia, Virginia and Carolinas' area. Past honorees have included Autense Bason, James Ruerhmund and Burnett Anderson. Nominees should reflect Mason's "spirit of generosity, integrity and selflessness to numismatics." Nominations should be in letter form explaining in detail the qualifications of the nominee. Anyone may submit a nom- ination. Information is available from the Walt Mason Fund, P.O. Box 2301, Springfield, VA 22152. N A One-Bit Note from Texas EARLY ALL OF THE SCRIP ISSUED FROM Texas is from the Civil War era. As a class this currency, but for a handful of notes, can be classified as "very rare". Usually the issuing authority was a county . or a merchant. The book that covers this area of paper money is Texas Obsolete Notes and Scrip by Bob Medlar, published by SPMC in 1968. This article deals with a scrip note that is listed in Medlar, but there is no description of it. The note is a twelve and one-half cent note on the Rio Grande Soldiers' Fund of Brownsville, Texas. The uniface note has the denomi- nation expressed as "BIT" in two places, and is printed in blue ink. The obligation clause reads, "Good for one bit. Redeemable in Confederate Treasury Notes when pre- sented in sums of Twenty Dollars or upwards at H Millers office, (H Millers is hand-written, other loca- tions also exist) Brownsville, Texas." The scrip is dated April 21st, 1862, and bears the statement "$10,000 On Deposit." It also bears a hand-written serial number "222," plus a signature in the lower right hand corner. Besides the twelve and one-half cent denomination, this scrip also exists in 25-cent, 50-cent, $1 and $2 denominations. The 25-cent, 50-cent and $1 scrip notes come in two types, depending on whether or not the note has "$10,000 On Deposit" or $10,000 Deposited" in the upper right hand corner of the note. The twelve and one-half cent note is a very rare denomination for Texas scrip, but it is known for the Exchequer notes for the Republic of Texas, the city of Austin, the city of Houston, the city of San Felipe de Austin, and the city of Washington. So far, I have been unable to find anything on the Rio Grande Soldiers' Fund. By its name one could speculate it was a local fund to help pay Confederate soldiers in this remote part of the Confederacy. It was here that the last land battle of the Civil War took place at the Palmito Ranch near Brownsville on May 13, 1865, well after Lee's surrender in Virginia. Colonel John Salmon (Rip) Ford commanded the victo- rious Confederate forces. However, on June 2, 1865, General E. Kirby Smith, CSA, surrendered the Trans- Mississippi Department of the Confederacy to Union forces at Galveston. The note shown is well circulated with a missing upper right hand corner. I'm sure this is a note that cer- tainly would have a very interesting story to tell! BIBLIOGRAPHY Medlar, Bob. Texas Obsolete Notes and Scrip. Society of Paper Money Collectors, Inc. (1968). Medlar, Bob. Texas Obsolete Notes and Scrip - Supplement I. Paper Money (Second Quarter 1970). Texas Historical Commission. Texas in the Civil War. Map. Austin, Texas (1998). PAPER MONEY • March/April 2000 • Whole No. 206 59 PAPER MONEY will accept classified advertising—from members only—on a basis of 15e per word, with a minimum charge of $3.75. The primary purpose of the ads is to assist members in exchanging, buying, selling or locating spe- cialized material and disposing of duplicates. Copy must be non-commercial in nature. Copy must be legibly printed or typed, accompanied by prepayment made payable to "Society of Paper Money Collectors," and reach Editor Fred Reed, P.O. Box 793941, Dallas, TX 75379, by the first of the month preceding the month of issue (i.e., Dec. 1 for Jan./Feb. issue). 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. STOCKS & BONDS wanted! All types purchased including rail road, mining, oil, zoos, aviation. Frank Hammelbacher, Box 660077, Flushing, NY 11366. 718-380-4009; fax 718-380-4009) or E-mail (norrico@compuserve.com). (206) STOCK CERTIFICATES, BONDS, 40-page list for two 32c stamps. 50 different $25; three lots $60. 15 different railroads, most picturing trains $26, three lots $63. Clinton Hollins, Box 112, Dept. P, Springfield, VA 22150-0112. (208) WANTED OHIO NBNs. Please send list. Also, want LOWELL, TYLER, RYAN, WHITNEY, JORDAN, O'NIELL. Thanks for your help. 419-865-5115. Lowell Yoder, POB 444, Holland, OH 43528. (207) WANTED: STOCKS AND BONDS. Railroad, Mining, City, State, CSA, etc., etc. Also wanted Obsolete and CSA Currency. Always Paying Top Dollar. Richard T. Hoober, Jr., P.O. Box 3116, Key I ,argo, FL 33037. Phone or FAX (305)853-0105. (206) NYC WANTED: ISSUED NYC, Brooklyn, Williamsburgh obso- letes, any obsoletes from locations within present-day Manhattan, Brooklyn, Bronx, Queens, Staten Island. Steve Goldberg, Box 402, Laurel, MD 20725-0402. (206) WANTED: NEW YORK OBSOLETE NOTES, all types. Also want obsolete notes from Portsmouth N.H. Please send list or Xerox. John Glynn, 41 St. Agnell's Lane, Hemel, Hempstead Herts, HP2 7AX, England. (206) Authors Wanted Award-winning publication seeking quality articles on all aspects of paper money collecting Contact the Editor now: fred0spmc.org Paper Money needs YOU! r 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 60 March/April 2000 • Whole No. 206 • PAPER MONEY P.O. BOX 84 • NANUET, N.Y 10954 INC. OBSOLETE CURRENCY, NATIONALS, U.S. TYPE, UNCUT SHEETS, PROOFS, SCRIP. BUYING / SELLING: Periodic Price Lists available: Obsoletes($3 applicable to order), Nationals, & U.S. Large & Small Size Type. PHONE or FAX BARRY WEXLER, Pres. Member: SPMC, PCDA, ANA, FUN, GENA, ASCC (914) 352.9077 -.........IER17.111.“1.1117.211117122031171111.1.1111. 414.M1 1 103:48"0-41141.Viiikt 6 - 431 6743! Q,z4) M7111V251",)7*“.-BE BB, .4fri ;r7 CANADIAN BOUGHT AND SOLD • CHARTERED BANK NOTES. • DOMINION OF CANADA. • BANK OF CANADA. • CHEQUES, SCRIP, BONDS & BOOKS. FREE PRICE LIST CHARLES D. MOORE P.O. BOX 5233P WALNUT CREEK, CA 94596-5233 (925) 946-0150 Fax (925) 930-7710 LIFE MEMBER A.N.A. #1995 C.N.A. #143 C.P.M.S. #11 HARRY IS BUYING NATIONALS — LARGE AND SMALL UNCUT SHEETS TYPE NOTES UNUSUAL SERIAL NUMBERS OBSOLETES ERRORS HARRY E. JONES PO Box 30369 Cleveland, Ohio 44130 216-884-0701 • 0 2_ MEMBER \A BOOKS ON PAPER MONEY & RELATED SUBJECTS The Engraver's Line: An Encyclopedia of Paper Money & National Bank Notes, Kelly $45 Postage Stamp Art, Hessler $85 U.S. National Bank Notes & Their Seals, Prather 40 Comprehensive Catalog of U.S. Paper Money Paper Money of the U.S., Friedberg 24 Errors, Bart 35 Prisoner of War & Concentration Camp Money of the The Comprehensive Catalog of U.S. Paper Money, Hessler 40 20th Century, Campbell Small-Size U.S. Paper Money 1928 to Date, Oakes & 35 U.S. Essay, Proof & Specimen Notes, Hessler 19 Schwartz, Softbound 25 The Houston Heritage Collection of National Bank World Paper Money, 7th edition, general issues 55 Notes 1863-1935, Logan 25 World Paper Money, 7th edition, specialized issues 60 10% off five or more books • SHIPPING: $3 for one book, $4 for two books, $5 for three or more books. All books are in new condition & hardbound unless otherwise noted. CLASSIC COINS — P.O. BOX 95 — ALLEN, MI 49227 Million Dollar Buying Spree Currency: Nationals MPC Lg. & Sm. Type Fractional Obsolete Foreign Stocks • Bonds • Checks • Coins Stamps • Gold • Silver Platinum • Antique Watches Political Items • Postcards Baseball Cards • Masonic Items Hummels • Doultons Nearly Everything Collectible SEND FOR OUR COMPLETE PRICE LIST FREE 399 S. State Street - Westerville, OH 43081 1-614-882-3937 1-800.848-3966 outside Ohio Lire Member COIN SHOP EST. 1960 INC "ThsiliegkotSmittvi" PAPER MONEY • March/April 2000 • Whole No. 206 61 PHILLIP B. LAMB, LTD. CONFEDERATE STATES OF AMERICA, HISTORICAL CONNOISSEUR Avidly Buying and Selling: CONFEDERATE AUTOGRAPHS, PHOTOGRAPHS, DOCUMENTS, TREASURY NOTES AND BONDS, SLAVE PAPERS, U.C.V., OBSOLETE BANK NOTES, AND GENERAL MEMORABILIA. Superb. Friendly Service. Displaying at many major trade shows. PHILLIP B. LAMB P.O. Box 15850 NEW ORLEANS, LA 70175-5850 504-899-4710 QUARTERLY PRICE LISTS: $8 ANNUALLY WANT LISTS INVITED APPRAISALS BY FEE. CURRENCY CHECKLIST UNITED STATES SMALL SIZE By TYPE. 1928 to Date. Legal Tender—Silver Certificates Gold Certs.—Hawaii—North Africa NBN—FRBN—FRN. 3 3/4 x 7 3/4 in. $10.95 postpaid. SPMC. BERGS P.O. Box 1732, Bismarck, ND 58502 Bank History Books • Published Bank Histories, over 200 Different, from Almost all States and Canada, 1882 to Present. • State and Regional Banking Histories, over 40 Different, mid-1800s to 1920s • Bank Directories & RR Manuals, Occasionally • Research Materials, Collateral Items for your Paper Money or Check Collection • Inquire by Author, Bank Name, or State of Interest OREGON PAPER MONEY EXCHANGE 6802 SW 33rd Place Portland, OR 97219 (503) 245-3659 Fax (503) 244-2977 Buying & Selling Foreign Banknotes Send for free List William H. Pheatt 6443 Kenneth Ave. Orangevale, CA 95662, U.S.A. Phone 916-722-6246 Fax 916-722-8689 March/April 2000 • Whole No. 206 • PAPER MONEY62 NEW MEMBERS MEMBERSHIP DIRECTOR Frank Clark P.O. Box 117060 Carrollton, TX 7501 1 As of February 2, 2000 9947 Arthur W. Bresciani, 411 West Rd, Alford, MA 01266 (C, large & small Gold Certificates, National Gold Bank Notes) 9948 Bob Korver, 1432 W. Peters Colony Rd, Carrollton, TX 75007 (C & D, Colonial Virginia) 9949 Holli Hughes, 100 Highland Park Village, Dallas, TX 75205 (D) 9950 Brian Shipman, 100 Highland Park Village, Dallas, TX 75205 (D) 9951 Paul Minshull, 100 Highland Park Village, Dallas, TX 75205 (D) 9952 Brant D. Bennett, 50 Fieldstone Dr, Springfield, NJ 07081-2607 (C, Error Notes) Research Exchange A Service to the Members of SPMC MANY OF YOU ARE PROBABLY FAMILIAR WITH"Research Exchanges" or "Research Needs" bulletin boards. Frequently scholarly organizations will host these venues to give members opportunities to connect with others who share similar interests in specific areas of investigation. Often these communications result in significant relationships, leading to advanced scholarship and publication. How many researchers "thrashing around in the wilderness" have longed for an opportunity to meet others pursuing common goals? Recently, I was able to hook up an author with the owner of a rare note in time to illustrate his forthcoming book. Also, someone enabled me to contact a writer working on a project congruent to mine, allowing us to share information and both produce better results. If you have gone through the acknowl- edgements and annotated bibliography of my Civil War • Abraham Lincoln. Researcher needs illustrations & info of rare Federal and non-Federal currency, scrip, checks, stocks, etc. with vignettes of Abraham Lincoln. Contact fred@spmc.org or write to Fred Reed, P.O. Box 118162, Carrollton, TX 75011-8162. encased stamp book, you have encountered hundreds and hun- dreds of contributors, so I certainly appreciate the help of my fellow researchers. That book is a testimony to group effort! "Research Exchange" is the place for YOU to seek help for your own research. Call it a freebie ad; however, no com- mercial "Want Lists" please! That's what "Money Mart" is for. Just communicate briefly the help you need, and how you wish to be contacted. Hopefully, one or more members will respond, improving your research and speeding up the time until you publish your results (ideally, here in a future issue of Paper Money). We'll publicize success stories too. Okay, I'll prime the pump to get the ball rolling. Please see above. HAVE YOU HAD YOUR FILL OF PAPERmoney in recent weeks? You've certainly feasted on Paper Money, the magazine, of late. As an editor it is exciting to see one's publication in print and envision the reaction of the readership. But I am a member of SPMC, also. For a quar- ter century, I have enjoyed this publication and the contribution its author's have made to my enjoy- ment and syngraphic education. As a member- reader, I've found the recent spate of magazines in my mailbox a real treat. A variety of authors have written informatively and entertainingly on a wide spectrum of paper money topics: Nationals, essays, state notes, broken bank and other obsolete notes, type notes, emer- gency issues, foreign notes and other areas of inter- est to our membership. As Society Secretary I know that our nearly 2000 members are a diverse group with diverse interests. Each new member is given the opportu- nity to record his/her special interests when they join. Through the years, these interests frequently change and grow. I know mine have. Our mem- bership also represents the collecting continuum from novice to scholar. Each member ought to find something of interest in each magazine I edit, or I have failed my duty as Editor. Alas, I am captive to the membership for sub- missions. "I can only print what I have" is a truism. Publishing three issues of this magazine back-to- back-to-back has depleted the story-well somewhat. I have corresponded with about two dozen authors in recent weeks. My message — plain and simple — is this: Paper Money is the BEST periodical to pub- lish your research. It will be read by an interested audience, and your story will have a long shelf-life. It's something short of immortality, but as long as hobbyists collect these little, paper promises to pay you'll be acknowledged for your contributions to this fine hobby. So write on. Don't wait. Nobody pays more than Huntoon for ARIZONA & WYOMING state and territorial Nationals Peter Huntoon P.O. Box 19464 Las Vegas, NV 89132 702-270-4788 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 $17.75 $32.50 $147.00 $255.00 Colonial 51/2 x 3'/16 18.75 35.00 159.00 295.00 Small Currency Oh x 2'/8 19.00 36.50 163.00 305.00 Large Currency 778 x 3 1/2 23.00 42.50 195.00 365.00 Auction 9 x 3 3/4 26.75 50.00 243.00 439.00 Foreign Currency 8 x 5 30.00 56.00 256.00 460.00 Checks 95/8 x 4 1 /4 28.25 52.50 240.00 444.00 SHEET HOLDERS SIZE INCHES 10 50 100 250 Obsolete Sheet End Open 8 3/4 x 14 1 /2 $13.00 $60.00 $100.00 $230.00 National Sheet Side Open 8 1/2 x 17 1 /2 25.00 100.00 180.00 425.00 Stock Certificate End Open 9 1/2 x 12 1 /2 12.50 57.50 95.00 212.50 Map & Bond Size End Open 18 x 24 48.00 225.00 370.00 850.00 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 a® is a Registered Trademark of the Dupont Corporation. This also applies to uncoated archival quality Mylar® Type D by the Dupont Corp. or the equivalent material by ICI Industries Corp. Mel inex Type 516. DENLY'S OF BOSTON P.O. Box 1010, Boston, MA 02205 • 617-482-8477 ORDERS ONLY: 800-HI-DENLY • FAX 617-357-8163 AD INDEX ALLEN'S COIN SHOP 61 BOWERS & MERENA GALLERIES IBC BERGS 61 BUCKMAN, N.B. 55 COMMERCIAL COIN CO 57 CLASSIC COINS 60 CURRENCY AUCTION.COM 64 DENLY'S OF BOSTON 63 EARLY AMERICAN NUMISMATICS 55 HOOBER, RICHARD T. 57 HORDWEDEL, LOWELL C. 63 HUNTOON, PETER 63 JONES, HARRY 60 KAGIN, A.M. 47 KRAUSE PUBLICATIONS OBC LAMB, PHILLIP B. 61 MOORE, CHARLES D. 60 MORYCZ, STANLEY 43 NUMISVALU, INC. 60 OREGON PAPER MONEY EXCHANGE 61 PARRISH, CHARLES C. 55 PHEATT, WILLIAM H. 61 ROB'S COINS & CURRENCY 59 SHULL, HUGH 34 SLUSZKIEWICZ, TOM 57 SMYTHE, R.M. IFC YOUNGERMAN, WILLIAM, INC. 57 PAPER MONEY • March/April 2000 • Whole No. 206 63 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 47906 SPMC #2907 ANA LM #1503 March/April 2000 • Whole No. 206 • PAPER MONEY Bidders: Register NOW! Be entered in our contests to win FREE 1899 $1 Silver Certificates worth more than $225! Register at: CurrencyAuction.com 64 yAuction.com • Consign now to the most advanced numismatic currency auction site found anywhere on the World Wide Web • Ouick payments when selling • A new sale every 15th and 30th of each month • Low listing fee of only $2 per lot • Low seller's fees • Even lower reserve fees • Reach a world wide audience • View full-color photos of all notes • Zoom in for detailed, down-loadable images • View current opening bids • Easy to register, easy to bid • Enjoy the benefits of Interactive bidding • NO BUYER'S FEES • Ouick pay- ments when selling • E-mail notices, billing, and payment • A new sale every two weeks • Brought to you by HERITAGE, the world's largest numismatic dealer and auctioneer AMERICA'S CONVENTION AUCTIONEER ERITAGE NUMISMATIC AUCTIONS, INC. Heritage Plaza, 100 Highland Park Village, 2nd Floor • Dallas, Texas 75205-2788 1-800-US COINS (872-6467) • 214-528-3500 • FAX: 214-443-8425 web site: www.heritagecoin.com • e-mail: notes@currencyauction.com OA R35517 - Item02"01;" P.N.G. Steve Ivy Jim Halperin Greg Rohan A $5 Federal Reserve Bank note. F-782* in EF realized $7,150. A $100 One-Year Note, believed to be unique, realized $8,250. MOitileail \:►11011at haul, ...3crerraTo , ealize Top Market Price for Your Paper Money! The currency market is hot! In recent months we have seen a tremendous amount of buying activity and invite you to jump on the bandwagon. Consider selling your important notes and currency items in one of our upcoming auctions to be held in New York City or in conjunction with the Suburban Washington/Baltimore Convention. The same bidders who helped set world record prices in our recent sales will compete for your currency items as well. Call Q. David Bowers, Chairman of the Board, or John Pack, Auction Manager, at 1-800-458-4646 to reserve a space for your material. We can even provide a cash advance if you desire. It may be the most financially rewarding decision you have ever made. A cut sheet of four $10 Legal Tender notes. F-123 in Average New to Choice New realized $17,600. A $10 Silver Certificate. F-1700 in Gem New realized $8,800. An Interest Bearing $5,000 Proof Note realized $11,000. An Uncirculated Lazy Two $2 note from the State of Missouri, Town of California realized $4,840.Auctions by Bowers and Merena, Inc. Box 1224 • Wolfeboro, NH 03894 • 800-458-4646 • FAX: 603-569-5319 • www.bowersandmerena.com If you want the most up-to-date numismatic information, turn to Krause Publications. For more than 45 years Krause Publications has delivered insightful, accurate and timely information to collectors through NUMiSMatiC News Coins The Complete Information Source for Coin Collectors magazine BANK NOTE REPORTER COMPLETE MONTHLY GUIDE FOR PAPER MONEY COLLECTORS COIN - PRICES i Coin News PROM THE PUBLISHERS OF THE STMOARD SMUG OF WORLD COINS and a library of fine numismatic books. In our dedication to helping you get the most satisfaction from your collecting, Krause Publications' numismatic online service www.coincollecting.net provides you with quality information instantly. For Order Information or a Free Catalog Call Toll-Free 800-258-0929 Monday - Friday • 7 am - 8 pm; Saturday • 8 am - 2 pm Or visit & order from our web site: www.coincollecting.net krause publications 700 E State St, Iola, WI 54990-0001