official journal of The Society of Paper Money Collectors This Issue Dedicated to Fred Reed LEGENDARY COLLECTIONS | LEGENDARY RESULTS | A LEGENDARY AUCTION FIRM Consign Your U.S.and World Paper Money to STACK’S BOWERS GALLERIES 1550 Scenic Avenue, Suite 150, Costa Mesa, CA 92626 • 800.458.4646 470 Park Avenue, New York, NY 10022 • 800.566.2580 • NYC@stacksbowers.com Info@StacksBowers.com • StacksBowers.com California • New York • New Hampshire • Oklahoma • Hong Kong • Paris SBG BNR AucSol 210716 America’s Oldest and Most Accomplished Rare Coin Auctioneer For decades Stack’s Bowers Galleries has been a market leader in United States and world paper money. In 2021, our strong prices realized have made headlines at every turn. Whether you have an entire cabinet or just a few duplicates, our experts are just a phone call away and ready to assist you with realizing top dollar for your currency. Let us share our success with you! Fr. 167a. 1863 $100 Legal Tender Note. PCGS Banknote Choice Uncirculated 63. Realized $264,000 Fr. 376. 1891 $50 Treasury Note. PMG Extremely Fine 40 EPQ. Realized $156,000 Cincinnati, Ohio. $100 1875. Fr. 460. The Metropolitan NB. Charter #2542. PMG About Uncirculated 55. Realized $144,000 Fr. 2221-K. 1934 $5000 Federal Reserve Note. Dallas. PMG Choice Uncirculated 64 EPQ. Realized $180,000 PANAMA. Republica de Panama. 10 Balboas, 1941. P-24a. PMG Choice Uncirculated 64 EPQ. Realized $48,000 CHINA--FOREIGN BANKS. Deutsch-Asiatische Bank. 25 Dollars, 1907. P-S296s. Specimen. PMG Choice Very Fine 35. Realized $33,600 CANADA. Royal Canadian Bank. 2 Dollars, 1865. CH #635-10-04-06. PMG Very Fine 25. Realized $30,000 ISRAEL. Anglo-Palestine Bank Limited. 50 Palestine Pounds, ND (1948-51). P-18. Very Fine. Realized $25,200 Official Auction Winter Whitman Coin Expo Baltimore, Maryland • November 2021 Official Auction N.Y.I.N.C Show New York City • January 2022 Contact Us Today About Consigning to an Upcoming Paper Money Auction West Coast 800.458.4646 East Coast 800.566.2580 Consign@StacksBowers.com www.StacksBowers.com 341 The End of Silver Certificates—Peter Huntoon William Fraser White—Charles Derby Plate Letter Placement Glitches—Doug Murray & Peter Huntoon William D. Nutt—Nick Bruyer The Numismatic Side of the Siege of Mafeking—Steve Feller Color Watermarks from Domtar—Roland Rollins SPMCAwards Robert Dowd; Currency as Art—Rick Melamed 356 364 328 350 352 372 396 Paper Money * Sep/Oct 2021 * Whole No. 335 321 Contents, Advertisers, Hall of Fame Columns Advertisers SPMC Hall of Fame The SPMC Hall of Fame recognizes and honors those individuals who have made a lasting contribution to the society over the span of many years.  Charles Affleck Walter Allan Doug Ball Joseph Boling F.C.C. Boyd Michael Crabb Forrest Daniel Martin Delger William Donlon Roger Durand C. John Ferreri Milt Friedberg Robert Friedberg Len Glazer Nathan Gold Nathan Goldstein James Haxby John Herzog Gene Hessler John Hickman William Higgins Ruth Hill Peter Huntoon Don Kelly Lyn Knight Chet Krause Allen Mincho Clifford Mishler Judith Murphy Dean Oakes Chuck O’Donnell Roy Pennell Albert Pick Fred Reed Matt Rothert Herb & Martha Schingoethe Hugh Shull Glenn Smedley Raphael Thian Daniel Valentine Louis Van Belkum George Wait D.C. Wismer From Your President Robert Vandevender 323 Editor Sez Benny Bolin 324 Uncoupled Joseph E. Boling & Fred Schwan 325 Chump Change Loren Gatch 380 380 Obsolete Corner Robert Gill 387 Cherry Pickers Corner Robert Calderman 388 Quartermaster Column Michael McNeil 390 New Members Frank Clark 393 IFC 385 321 385 340 386 348 392 355 392 371 401 Stacks Bowers Galleries Pierre Fricke Lyn F. Knight PCGS Richard Whitmire Jim Ehrhardt Denly's DBR Currency 379 Fred Bart FCCB ANA Higgins Museum Bob Laub PCDA Heritage Auctions OBC 379 Fred Schwan Neil Shafer Paper Money * Sep/Oct 2021 * Whole No. 335 322 Officers & Appointees ELECTED OFFICERS PRESIDENT Robert Vandevender II rvpaperman@aol.com VICE-PRES/SEC'Y Robert Calderman gacoins@earthlink.net TREASURER Robert Moon robertmoon@aol.com BOARD OF GOVERNORS Mark Anderson mbamba@aol.com Robert Calderman gacoins@earthlink.net Gary Dobbins g.dobbins@sbcglobal.net Matt Drais stockpicker12@aol.com Mark Drengson markd@step1software.com Pierre Fricke aaaaaaaaaaaapierrefricke@buyvintagemoney.com Loren Gatch lgatch@uco.edu William Litt Billlitt@aol.com J. Fred Maples maplesf@comcast.net Cody Regennitter cody.regennitter@gmail.com Wendell Wolka purduenut@aol.com APPOINTEES PUBLISHER-EDITOR Benny Bolin smcbb@sbcglobal.net ADVERTISING MANAGER Wendell Wolka purduenut@aol.com LEGAL COUNSEL Megan Reginnitter mreginnitter@iowafirm.com LIBRAIAN Jeff Brueggeman jeff@actioncurrency.com MEMBERSHIP DIRECTOR Frank Clark frank_clark@yahoo.com IMMEDIATE PAST PRESIDENT Shawn Hewitt WISMER BOOk PROJECT COORDINATOR Pierre Fricke From Your President Robert Vandevender II From Your President Shawn Hewitt Paper Money * July/August 2020 6 Greetings fellow paper money enthusiasts. It is nice to see that our hobby is very active. The SPMC is happy to welcome Dean Oaks and Clifford L. Mishler into our Hall of Fame this year. Also selected posthumously for the Hall of Fame is former board member Forrest Daniel. In July, we were sad to learn that our longtime member and Paper Money magazine Editor Emeritus Fred L. Reed III had passed away. Fred provided a much-needed service to the SPMC and was instrumental in the publishing of the Society’s 40th anniversary issue. More information regarding Fred can be found in this issue. At the last minute, my schedule changed, and I was able to attend the Florida United Numismatist 15th annual summer convention in July. Although the SPMC did not have a table at this event, several of our members were present and busy staffing their own personal dealers’ tables. From the conversations I had, it appeared that everyone was having a very busy show. Attendees were required to wear a Covid-19 mask while passing through the entrance but once inside the hall, most of the people I saw removed their masks shortly thereafter. We saw a great turnout at the ANA Show in Chicago this past August with several SPMC members present. Activity at the SPMC table was a little slow as it was at many of the other club tables likely due to the table location being off the main floor of the show, but we did have many visitors at the table. One prospective new member made the comment that he was amazed at how many currency dealers there were on the main floor of the show and there certainly was a big presence with many of our regular dealers having tables. Many dealers with whom I spoke commented about how busy they were during the show. Concurrent to the ANA Show located in one hall, the Great American Stamp Show was happening in a different hall. Several people from our show also visited the stamp show. I was surprised to see very active currency dealing at a few tables at the stamp show as well. During the ANA Show, Past President Shawn Hewitt and I were pleased to be able to present several of this years’ SPMC service awards in person including the awards to our two newest Hall of Fame inductees, Dean Oaks, and Clifford Mishler. Several of our members were pleased to join Dean Oaks one evening for a celebratory dinner at a local Italian restaurant with brief remarks provided by Past President Mark Anderson. Other members attended various outside activities such as a Rockin’ in the Park Summer Concert Series or the Chicago Dogs baseball game where both events were followed by a large fireworks display. And of course, there were many visits to various excellent dining establishments nearby. Saturday morning came quickly, and we held a small SPMC membership meeting for those people who were available to attend with a presentation provided by Vice President Robert Calderman. We also added a few new members to our Society during the show. I recently learned that the American Numismatic Association is in the process of applying for a grant from the National Historical Publications and Records Commission for a project titled “The American Numismatic Association shares the never-before-seen American Banknote Company Archives with the world.” The ANA Project Summary states “This project will help researchers and many others to learn more about the history of the American Banknote Company (ABNC) and the various other companies that the ABNC overtook.” In August, I issued a letter in support of this project in hopes of helping the ANA succeed in their goal as I am sure many of you will be interested in seeing the results of the project. The next presence for the SPMC at a show will be the upcoming South Carolina Numismatic Association in late October. We will have a table staffed by our board members so please stop by and say hello if you are able to attend the event. Paper Money * Sep/Oct 2021 * Whole No. 335 323 Terms and Conditions The Society of Paper Money Collectors (SPMC) P.O. Box 7055, Gainesville, GA 30504, publishes PAPER MONEY (USPS 00-3162) every other month beginning in January. Periodical postage is paid at Hanover, PA. Postmaster send address changes to Secretary Robert Calderman, Box 7055, Gainesville, GA 30504. ©Society of Paper Money Collectors, Inc. 2020. All rights reserved. Reproduction of any article in whole or part without written approval is prohibited. Individual copies of this issue of PAPER MONEY are available from the secretary for $8 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 specific issue cannot be guaranteed. Opinions expressed by authors do not necessarily reflect those of the SPMC. Manuscripts should be submitted in WORD format via email (smcbb@sbcglobal.net) or by sending memory stick/disk to the editor. Scans should be grayscale or color JPEGs at 300 dpi. Color illustrations may be changed to grayscale at the discretion of the editor. Do not send items of value. Manuscripts are submitted with copyright release of the author to the editor for duplication and printing as needed. ADVERTISING All advertising on space available basis. Copy/correspondence should be sent to editor. All advertising is pay in advance. Ads are on a “good faith” basis. Terms are “Until Forbid.” Ads are Run of Press (ROP) unless accepted on a premium contract basis. Limited premium space/rates available. To keep rates to a minimum, all advertising must be prepaid according to the schedule below. In exceptional cases where special artwork or additional production is required, the advertiser will be notified and billed accordingly. Rates are not commissionable; proofs are not supplied. SPMC does not endorse any company, dealer or auction house. Advertising Deadline: Subject to space availability, copy must be received by the editor no later than the first day of the month preceding the cover date of the issue (i.e. Feb. 1 for the March/April issue). Camera-ready art or electronic ads in pdf format are required. ADVERTISING RATES Space 1 Time 3 Times 6 Times Full color covers $1500 $2600 $4900 B&W covers 500 1400 2500 Full page color 500 1500 3000 Full page B&W 360 1000 1800 Half-page B&W 180 500 900 Quarter-page B&W 90 250 450 Eighth-page B&W 45 125 225 Required file submission format is composite PDF v1.3 (Acrobat 4.0 compatible). If possible, submitted files should conform to ISO 15930-1: 2001 PDF/X-1a file format standard. Non- standard, application, or native file formats are not acceptable. Page size: must conform to specified publication trim size. Page bleed: must extend minimum 1/8” beyond trim for page head, foot, and front. Safety margin: type and other non-bleed content must clear trim by minimum 1/2” Advertising copy shall be restricted to paper currency, allied numismatic material, publications and related accessories. The SPMC does not guarantee advertisements, but accepts copy in good faith, reserving the right to reject objectionable or inappropriate material or edit copy. The 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. Editor Sez Benny Bolin Benny We're Baaaack--Or are we? Wouldn't you know it. Just when we thought we had kicked this pandemic stuff to the curb, along comes Delta. With the rise in the numbers, I encourage you all to get vaccinated, wear masks inside and generally practice good and safe mingling. Who knows where this will lead--will masks be once again required? Will shows be cancelled? Who knows as those decisions will be made by, it seems, politicians and not medical personnel! Anyway, summer FUN happened and it was a really good show by all accounts and summer ANA was simply GREAT! Due to school activities (my job), I was not able to attend either and that was a real bummer. Due to the narrow focus of my collecting, I primarily go to shows for the social aspect, renewing old friendships and simply seeing people in person. I really miss that! At the ANA, our officers and governors were able to bestow many of our awards in person rather than virtually as we had to do last year. Congratulations to all the winners! Also the NLG named Paper Money the best club periodical-small circulation and named our Uncoupled column best paper money column. Congratulations to all of our authors, advertisers and columnists for making this great award possible and to Joe and Fred! I also want to apologize for two egregious mistakes in the last issue. First in the table of contents for advertisers, I referred to Robert Whitmire--it is Richard! Also, when I was formatting Mr. Bryan's table, I inadvertently took out some much need parentheses which changed a lot of distinction of the notes. Mr. Bryan explains how it should be in this issue and a corrected table is available if you email me. My sincerest apologies to both gentlemen. This issue sadly reflects the loss of three of our hobby giants-- Fred Reed, Rocky Rockholt and Gerome Walton. They will all be sadly missed by our society and our hobby as a whole. I want to bring up the Nov/Dec issue. It is the last issue of the 60th year of the SPMC. If all that I have planned goes as I envision it in my head this issue will be a really good one. I hope to model it after what Fred did for the 40th anniversary in 2001. Remembrances, pictures, up-to-date facts and all will be included. If you have a thought, reminiscence, picture of how the society, hobby and/or journal have changed, especially in the past 20 years, send it to me and I will try to include it simply based on space available. Paper Money * Sep/Oct 2021 * Whole No. 335 324 The Society of Paper Money Collectors was organized in 1961 and incorporated in 1964 as a non-profit organization under the laws of the District of Columbia. It is affiliated with the ANA. The Annual Meeting of the SPMC is held in June at the International Paper Money Show. Information about the SPMC, including the by-laws and activities can be found at our website-- www.spmc.org. The SPMC does not does not endorse any dealer, company or auction house. 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 membership. Other applicants should be sponsored by an SPMC member or provide suitable references. MEMBERSHIP—JUNIOR. Applicants for Junior membership must be from 12 to 17 years of age and of good moral character. A parent or guardian must sign their application. 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 $39. Dues for members in Canada and Mexico are $45. Dues for members in all other countries are $60. Life membership—payable in installments within one year is $800 for U.S.; $900 for Canada and Mexico and $1000 for all other countries. The Society no longer issues annual membership cards but paid up members may request one from the membership director with an SASE. Memberships for all members who joined the Society prior to January 2010 are on a calendar year basis with renewals due each December. Memberships for those who joined since January 2010 are on an annual basis beginning and ending the month joined. All renewals are due before the expiration date, which can be found on the label of Paper Money. Renewals may be done via the Society website www.spmc.org or by check/money order sent to the secretary. WELCOME TO OUR NEW MEMBERS! BY FRANK CLARK SPMC MEMBERSHIP DIRECTOR NEW MEMBERS 07/05/2021 15297 Mark Clemmer, Website 15298 Juan Echeverri, ANA Ad 15299 James Sommers, Coin TV 15300 Larry Jewett, Website 15301 BT Roberts, Website 15302 Royal H. Mapes, R. Calderman 15303 Dar Makram, Frank Clark 15304 Jere Singleton, Website 15305 Denise Dugan-Edwards, Website 15306 Larry Ray, Website REINSTATEMENTS 6026 Ronald Benice, LIFE MEMBERSHIPS None NEW MEMBERS 08/05/2021 15307 Daniel Gopal, R. Calderman 15308 Adam Stroup, Website 15309 David Schoenbach, Website 15310 Curtis Schutte, ANA Ad 15311 Michael Waller, R. Calderman 15312 Wayne Miyanishi, PMG 15313 Arthur Hickok, Website 15314 Cynthia Weaver, PMG 15315 Tony Chibbaro, R. Calderman 15316 Kent Adams, R. Calderman 15317 Andy Conroy, PM Forum 15318 Stephen Tousignant, PMG 15319 Jack Barron, Website 15320 Jim Cook, Website 15321 Bobbie Mulls, R. Calderman REINSTATEMENTS None LIFE MEMBERSHIPS None Dues Remittal Process Send dues directly to Robert Moon SPMC Treasurer 104 Chipping Ct Greenwood, SC 29649 Refer to your mailing label for when your dues are due. You may also pay your dues online at www.spmc.org. Paper Money * Sep/Oct 2021 * Whole No. 335 325 In Memoriam The Hobby and the SPMC Has Lost Three Giants Fred Reed Our esteemed friend and editor of Paper Money, Fred Reed passed away on Saturday, July 24 Fred L. Reed III was Honorary Life Member #24. An author, researcher, editor, Fred was indeed a stalwart in our hobby. He was born in Syracuse, NY and attended Oklahoma State University. He joined the Coin World staff in 1975 until he left in 1981. He took over and revitalized the SPMC’s Paper Money as editor from 1999 to 2013. He also was editor of the TAMS journal. Besides serving as Editor Extraordinaire, he also served the society as Secretary, and served on the board of governors from 1998-2001. The society awarded him an Award of Merit in 2000 and the Nathan Gold award in 1996. He was named to the SPMC Hall of Fame in 2015. His career spanned many genres. He was the writer/editor in the baseball card field and served as VP with Beckett Publications. His books included Civil War Encased Stamps: The Issuers and Their Times published in 1995 as well as a book on a related topic, Civil War Stamp Envelopes: Their Issuers and Their Times. With many irons in the fire, Fred was an avid researcher on Abraham Lincoln culminating with his book Abraham Lincoln: The Image of His Greatness published in 2009 followed by Abraham Lincoln: Beyond the American Icon published in 2013. He authored Show Me the Money: The Standard Catalog of Motion Picture, TV, Stage, and Advertising Prop Money published in 2005. He was the author of a “Numis-mystery” series from 1976-1977, and The Week that Was and Spare Change columns in Coin World . A very prolific writer, Fred contributed many articles to Bank Note Report, Coin World and Numismatic News to name a few publications. It was indeed a shock to learn of Fred’s passing. I always counted Fred as a friend and mentor. He helped me learn the ins and outs of writing a good article. I was proud to be a contributor to a couple of his books. Mark Anderson, past President and Treasurer and current member of the BoG of the SPMC remembers Fred; Fred was an unusually perfect fit for the SPMC’s journal AND his role in its executive. He arrived at a time of desperate need, and righted Paper Money’s seriously listing ship immediately and professionally, getting us back on schedule and fulfilling our key obligation to our members. But he didn’t stop there. Over time, he increased the size of the magazine, took it into the age of color, and made anniversary issues true celebratory events. Fred was a true collector, and his personal publications, about movie money and Lincoln, reflected this. He introduced and championed the SPMC Hall of Fame, and was always a creative, engaged force at the board meetings and in the stewardship of the SPMC. At the same time, he was intensely private, and we all wished he had a phone, but over time I came to understand how that choice worked for him, and allowed his intensely productive operating style. The arrival of his debilitating stroke could never have been untimelier. We lost an active, vibrant participant in our passion and our lives. We all owe him.” Wendell Wolka, past President (et.al.) and current member of the BoG remembers Fred; I was fortunate to count Fred Reed as a friend and mentor. He was a capable and talented editor and publisher and was instrumental in bringing the Society through a rough patch when the magazine had not been published for a rather large number of issues a number of years ago. He did all this and more without fanfare and was the consummate gentleman who believed in doing the right thing the right way every time. God bless. Pierre Fricke also a past President and current member of the BoG as well as a currency dealer says: Fred was one of the great researchers, historians, and leaders of our numismatic, Lincoln and other history. I had the honor of co- authoring a book with him on the History of Collecting Confederate Paper Money and his research, writings and advice was invaluable. He has made a great contribution to our hobby and our understanding of our history!. I miss Fred greatly and only hope I can carry on his work in my work to the degree he would find enlightening and interesting. Frank Clark also remembers Fred: I cannot remember when I met Fred Reed, but it was long ago in the 1980s as we both lived in Dallas and saw each other quite often at the local shows and coin clubs. We began to run into each other at a once monthly Sunday only stamp show that was near my mother's house in the early 1990s. It was at this time that I learned that Fred lived near my mother and in fact he lived about halfway or roughly six miles between my house Paper Money * Sep/Oct 2021 * Whole No. 335 326 and my mom's. Later when I became president of SPMC in 1999, this fact proved very beneficial as I could visit with Fred either on my way to or on my way home from my mom's. After Gene Hessler stepped down as editor of Paper Money, SPMC lacked an effective editor and the publication of our bimonthly journal fell greatly behind and several members wondered if SPMC had disbanded. Fred volunteered to serve as editor and I spent a lot of time over at his house helping to get the back issues of Paper Money out. Due to Fred, SPMC went from not publishing a single issue of Paper Money for many months to sending a new journal every few weeks to the membership until we were caught up. Then, Fred started working on our large 40th anniversary issue of Paper Money, which had 160 pages and a massive amount of information on the society. Treasurer Mark Anderson was so impressed with our hard (well mostly Fred's) work that he had made up for each of us a special award consisting of a model railroad car on a train track attached to a base with a name plate that stated the "Back on Track Award." Fred and I were very moved by this award. Every time I look at the award, I think about those days and evenings getting Paper Money "back on track." SPMC owes Fred a big "thank you" and "job well done." It is the friendships that make our hobby so great. Current BoG member Gary Dobbins remembers Fred was Editor when I first became a Governor. He was always a kind person and handled his SPMC duties capably and with grace. Raymond H. (Rocky) Rockholt. Rocky (SPMC member #1354), as he was affectionately known to those of us in the hobby, especially the fractional world was born in Oklahoma and attended SMU in Dallas. Rocky was a long-time member of the SPMC and was awarded an Award of Merit in 1975. Rocky was a collector of everything, beginning in the 1950’s until he decided to specialize in fractional currency. The highlights of his collection of fractional was sold by NASCA in September 1981 and had many important pieces from the collections of Matt Rothert, Dr. Kenneth Sartoris and George Wait which were eagerly bought up and went into some of the best collections of Fractional, including the Milt Friedberg collection, the Martin Gengerke collection and the Wallace Lee collection to name a few. He was a contributor to Coin World, Numismatic News and Paper Money. He also contributed to the paper money books of William Donlon and was author of Minnesota Notes and Scrip which was published by the SPMC. In the later stages of his collecting career, he was interested in U.S. Food Stamps. He authored United States Department of Agriculture Food Stamp and Food Coupon Program-1939-1999. Gerome Walton Preeminent Nebraska National Collector and Authority Gerome Walton passed away on July 22. Mr. Walton was born in Geneva Nebraska and graduated from the High School there in 1952. Walton devoted his free time to amassing the most comprehensive collection of Nebraska national bank notes ever assembled. His publication in 1978 of History of Nebraska Banking and Paper Money was a pioneering release of an encyclopedic book on the national bank note issues from a particular state. The book was 647-pages. He tirelessly researched obsolete Nebraska note-issuing banks as well as Nebraska national banks, with a focus on the personalities that ran those banks and signed the notes. His work fitted those stories into the large tapestry of the growth of not only Nebraska but also the nation’s banking enterprise. He was the first person to crack into the national bank note proofs in the National Numismatic Collection in the Smithsonian Institution. The transfer of the proofs began from the Bureau of Engraving and Printing in 1966 and was completed in 1980. Gerome got wind that the nationals had already arrived as he was gearing up to work on his book. Vladimir Clain-Stefanelli was the curator at the time but was very tight-lipped about the proofs because they were in a poor state of organization and poorly housed, and besides he had little interest in them. The other great contribution associated with Gerome's book was his compilation of yearly bank by-bank president and cashier officer data from the annual reports of the Comptroller of the Currency. Paper Money * Sep/Oct 2021 * Whole No. 335 327 The End of Silver Certificates Purpose The purpose of this article is to explain why and how silver certificate currency was phased out. That process resulted in two fabulous silver rushes: (1) a brief run in March 1964 on silver dollars held by the Treasury and (2) a year-long run ending June 24, 1967, to redeem silver certificates for silver bullion. Thus, ended an 89-year run of silver backed currency issued by the U.S. Treasury. Introduction The monetization of silver was a cause célèbre of the Democrats because they saw it as a means to spread wealth to the common man. Silver often was central to Democratic political platforms through the latter half of the 19th and early part of the 20th centuries with political wins in the form of various silver purchase acts beginning with the Bland-Allison Act of 1878. It was the cornerstone in the presidential campaigns of populist orator William Jennings Bryant, who wrestled control of the Democratic Party from the conservative Cleveland wing of the party at the 1896 Democratic Convention to emerge as the presidential candidate in 1896 and 1900. Although Jennings’ runs were unsuccessful, his dream of unlimited coinage of silver was finally realized under FDRs New Deal Treasury beginning in 1933. It is almost ironic that silver currency was demonetized under Democratic presidents Kennedy and Johnson between 1961 and 1968. Republicans demonized silver as soft, cheap, inflationary currency backed by dollar coins that didn’t contain a dollars-worth of silver in the world’s commodity markets. They were troubled by the fact that the commodity value of silver was propped up by guaranteed floor prices that the U.S. mint was required to pay for it under the terms of the silver purchase acts—acts that were viewed as huge subsidies to western miners. But the reason that Kennedy and his Treasury wanted to void the silver purchase acts turned on the fact that by the time Kennedy took office, industry demand for silver was soaring so the commodity price of silver was rising to the point where the silver in the silver coins was going to be worth more on international commodity markets than the nominal value of the coins. It was evident that it wouldn’t be long before the easiest way to mine silver would be to melt down U.S. silver coins! Silver certificates comprised only seven percent of the total paper money supply of the country in 1961, so replacing them with Federal Reserve notes was not a big issue. As a practical matter, the switch with the paper money could be handled quickly and painlessly by running the printing presses. However, the difficult issue facing Kennedy’s Treasury was the potential sudden loss of subsidiary silver coins—the The Paper Column Peter Huntoon Figure 1. $10 was the highest denomination issued in small-size silver certificates. Smithsonian photo. Paper Money * Sep/Oct 2021 * Whole No. 335 328 dimes, quarters and half dollars—if they were scavenged from circulation for their silver content. What would take their place? Fractional currency? The circulation of subsidiary silver coins had a nominal value of $1.5 billion in 1961. How could the Treasury swap those silver coins out for base metal coins without the public first mining them from circulation as predicted by Gresham’s law? As you watch this story unfold, keep your eye on the machinations that were developed to maintain the circulation of subsidiary coins until the deed was pulled off. What transpired with the paper was almost a side show. One irony here is that in replacing the silver certificates with Federal Reserve notes, the Democrats succeeded in replacing their reviled soft silver currency that used to be redeemable in overvalued silver for Federal Reserve notes that were backed 25 percent by gold at the time, although that gold was not accessible to the note holder. President Johnson signed legislation in 1969 that removed the previously required gold backing for Federal Reserve notes, yielding the fiat currency that lines your wallets today. The result is that your money is even softer than the silver certificates. There were several silver purchase acts dating from 1878. Those dealing with purchases and sales of silver during the small note era were the Acts of June 19, 1934, July 6, 1939, July 12, 1943 and July 31, 1946. A common thread among them was authorization for the Treasury to purchase silver at or below some threshold price, respectively 50, 71.11, 71.11 and 90.5 cents per ounce for the 1934, 1939, 1943 and 1946 acts. If the commodity price rose above the threshold, the Treasury could or would sell at the threshold and thereby keep the market price in check. Prior to the late 1950s, production of silver usually exceeded commercial demand, so the Treasury became the largest purchaser, holder and market-maker for silver. Benchmarks To understand this topic, there are certain benchmarks to keep in mind. Silver dollars minted from 1878 forward contained 0.77345 ounces of silver. If the value of silver on the world’s commodities market reached $1.29292 per ounce, the silver content of silver dollars equaled its normal face value. Above that price, it would become economic to melt the coins to refine the silver from them. Subsidiary silver coins had a lower silver content so it would take a silver commodities price of $1.38 per oz to make it worth melting them. There were two classes of Treasury silver; silver dollars and bullion earmarked for the redemption of outstanding silver certificates and so-called free silver bullion that was not earmarked to back silver certificates. The free silver was used to make minor silver coins, traded in the commodity markets to Figure 2. The deposit in the Treasury backing Series of 1928 and 1933 silver certificates was “silver dollar(s) payable to the bearer on demand.” Smithsonian photo. Paper Money * Sep/Oct 2021 * Whole No. 335 329 regulate the price of non-monetized silver, and held as a critical metal in a strategic stockpile. The problem faced by the Treasury going into the Kennedy era was that demand for silver had begun to exceed silver production. Specifically, world silver demand in 1961 was 300 million ounces versus silver production of 235 million ounces (NYT, Nov 29, 1961). Treasury’s free silver sales were depleting its free silver stock as it sold silver into the commodity markets to hold the price of silver down. Now, instead of providing a subsidy to silver miners, the Treasury was subsidizing silver users and through this action discouraging silver production. Kennedy Actions Treasury officials were fully aware that the silver problem was upon them before Kennedy was inaugurated. His Treasury appointees, led by Secretary of the Treasury Douglas Dillon, “started boning up on it even before they took office” (NYT, Nov 29, 1961, p 1). President Kennedy took office on January 20, 1961. Kennedy ordered the sale of free silver to cease on November 28, 1961. At the time, the Treasury held about 1.7 billion ounces of silver, but by then only 22 million ounces of free silver remained. The Treasury was selling its free silver at 91 cents/oz and it would run out of it within a week. (NYT, Nov 29, 1961). Of the 1.7 billion ounces earmarked to back silver certificates, 1.2 billion backed $1s and 0.5 billion backed $5s and $10s. The annual demand for subsidiary U.S. silver coinage was 50 million ounces. A burning question was where would the coinage silver come from? The Treasury could redeem silver certificates, thus freeing up their silver backing and use that silver to make the subsidiary coins. However, the Treasury had no leeway to reduce the circulation of the $1s silver certificates because the only authorized $1s were silver certificates and they were required in circulation. An idea that was floated was that the Treasury could redeem the $5 and $10 silver certificates, which would free up enough silver bullion for use in coining subsidiary coins to last a decade. (NYT, Nov 29, 1961). Act of June 3, 1963 – Silver Purchases Repealed Kennedy called for Congress to repeal the silver purchase acts, and legislation to do so was introduced in February 1962, and again in 1963. The repeal was enacted on June 4, 1963. Dillon (1963) stated that a primary purpose for the repeal was to provide adequate supplies of silver to meet the subsidiary coinage needs of the nation. The legislation incorporated four important provisions beyond the repeal of the silver purchases. The act authorized the issuance of $1 and $2 Federal Reserve notes, the use of which would allow the Treasury to retire $1 silver certificates. This had the dual benefit of freeing the silver bullion used to back the silver certificates for use in minting coins without diminishing the supply of $1 notes. The act stated “Silver certificates shall be exchangeable on demand at the Treasury of the United States for silver dollars or, at the option of the Secretary of the Treasury, at such places as he may designate, for silver bullion of a monetary value equal to the face amount of the certificates.” This provision set the Figure 3. The deposit in the Treasury backing Series of 1934, 1935, 1953 and 1957 silver certificates was “dollar(s) in silver [bullion] payable to the bearer on demand.” Heritage Auction archives photo. Paper Money * Sep/Oct 2021 * Whole No. 335 330 value for the 0.7734 ounces of silver in a silver dollar at $1, which established the price of silver bullion at $1.29292/oz. The act authorized the sale of free Treasury silver should the market price rise above $1.2929/oz. The act repealed the heavy silver tax on silver transactions in the market, which in effect freed the market from government control. The process of demonetizing silver had commenced. However, the Treasury had to work through the problem of replacing the silver money—silver certificates and subsidiary silver coins—without disrupting commerce. The paper money was not much of a problem. Deliveries of $1 silver certificates from the Bureau of Engraving and Printing to the Treasury Department continued through November 6, 1963, whereas deliveries of the $1 Federal Reserve notes commenced the following day. The tough problem involved the subsidiary silver coinage. Dealing with that would take until the end of 1968, which would involve not only making non-silver coins but also taking whatever steps were necessary to discourage people from mining the silver coins from circulation for their silver content. The market price of silver hit $1.2929 on September 1, 1963. At that time, interest in redeeming silver certificates to obtain silver began to look viable to speculators. The printing of silver certificates was terminated with the last deliveries from the Bureau of Engraving and Printing to the Treasury being as follows (Donlon, 1979): $1 Series of 1935H October 4, 1963 $1 Series of 1957B November 6, 1963 $5 Series of 1953C November 12, 1963 $10 Series of 1953B March 14, 1962 The Treasury stopped releasing silver certificates in early October 1964 (Barr, 1967, p. 13). The last of the $5s and $10s weren’t issued. In fact, the highest serial printed in the $5 1953B series was G45000000A and that entire block as well as all the 1953C notes never were released. President Kennedy was assassinated November 22, 1963, and President Johnson assumed the presidency. Douglas Dillon continued as Secretary of the Treasury. Run on Silver Dollars There was pending legislation to provide for the minting of silver dollars before Congress, but that provision was eliminated from the appropriation bill on March 20, 1964, a Friday. This precipitated a run on the silver dollars held by the Treasury (NYT, Mar 24, 1964). Photos appeared in newspapers and the numismatic press of crowds in a line snaking around the Treasury building in Washington. Dillon told Congress that the demand was driven by numismatists, not bullion dealers wanting to melt the coins. Dealers and collectors simply wanted to redeem their silver certificates for long untouched bags of dollars so they could search for rare varieties. The remainders often were deposited quickly into banks, which represented a nuisance to the bankers because the coins were expensive to handle and to ship because the banks had no use for them. The situation evolved rapidly. A Treasury press release the evening of Wednesday March 25, 1964, Figure 4. The most attractive small-size $1 notes that were issued were the Series of 1934 silver certificates. Mike Abramson photo. Paper Money * Sep/Oct 2021 * Whole No. 335 331 led off with “Treasury Secretary Douglas Dillon tonight announced that silver certificates will henceforth be redeemed in silver bullion only.” Thus, the run on the silver dollars was over in a few days. The Treasury held 49,261,000 silver dollars as security for silver certificates on June 30, 1963. Dillon’s press release advised that they had moved many to the western states where the dollars still circulated. On January 1, 1964, 28 million silver dollars remained in Washington, including 3 million that were deemed to have special numismatic value, 2.8 million of which were minted in Carson City. The Treasury paid out 25 million, most during the March run, but withheld the 3 million. The silver bullion was made available at the New York and San Francisco assay offices, not the Treasury in Washington. Holders of silver certificates could redeem them for 100- and 1000-ounce silver bars and granules—variable sized pellets used to make change—at $1.29292/oz (Barr, 1967, p. 24). In the meantime, production of subsidiary silver coins was ramped up. In an extraordinary move, the Treasury won passage of an act on September 3, 1964, that froze the date on the silver coins at 1964 until adequate supplies were available. The reasoning was to prevent the mints from creating additional date varieties in 1965 that collectors would scavenge from circulation, particularly the already wildly popular silver Kennedy half dollars. Coinage Act of July 23. 1965 Henry H. Fowler was appointed Secretary of the Treasury to replace Douglas Dillon on April 1, 1965. The Treasury and Congress had to move on replacing the subsidiary silver coinage with the result that Congress passed the Coinage Act of 1965 on July 23rd. This act carried a number of significant provisions, most important being that the subsidiary silver coins were to be replaced by clad coins. The new half dollars contained only 4.6 grams of silver and silver was absent from the dimes and quarters. The law also provided for continued production of subsidiary silver coins until the Secretary of the Treasury was satisfied that there were sufficient supplies of both silver and clad coins in commerce to allow the production of the silver versions to be discontinued. Thus, 1964-dated silver coins stayed in simultaneous production alongside the newly authorized clad coins. To reenforce the perception by the public that all the money in circulation had equal standing in order to tamp down hoarding of the silver coins, the act reiterated that all coins and currencies of the United States, including Federal Reserve and national bank issues, regardless of when made, were legal tender. The act gave the Secretary of the Treasury broad authority to promulgate rules and regulations pertaining to the exportation and melting of U.S. coins that in his judgment protected the coinage of the United States. This delegation of authority carried with it fines of up to $10,000 and imprisonment up to five years for each violation. A curious minor provision in the act forbade the use of mint marks on the clad coins for a period of five years. As with the previous freezing of the 1964 date on silver coins, this directive was designed to eliminate varieties that collectors would scavenge from circulation, thus exacerbating potential coin shortages during the silver to clad transition period. Section 5 of the Act of June 24, 1967, repealed this restriction so mint marks reappeared on coinage in 1968. Figure 5. The only class of $1 notes being printed between mid-1933 and 1963 were silver certificates. Heritage Auction archives photo. Paper Money * Sep/Oct 2021 * Whole No. 335 332 A deliberate decision was made to produce so many 1964 Kennedy silver halves that they would command little numismatic value. Ultimately almost a half billion of them were minted but they rarely circulated owing to hoarding. Thus, this part of the plan backfired because the production of the 1964 Kennedy halves seriously chewed through Treasury silver stocks, which required the redemption of silver certificates to free up that silver. Production of the clad 10, 25 and 50 cent coins commenced respectively on August 23, December 6 and December 30, 1965. However, production of the 1964-dated subsidiary silver coins continued through April 1966. The clads were dated 1965, a date that was used on them until August 1, 1966, when normal yearly dating was reinstituted. (Tebben, 2015). As the transition from silver to clad subsidiary coins unfolded, a juggling act was in play to keep the channels of commerce flooded with both silver and clad coins as well as sell off sufficient silver to stabilize the silver market sufficiently to make it uneconomic to melt the silver coins until they could be replaced entirely by the clads. The silver sales had to accommodate international as well as domestic buyers to quell the market. A growing run was developing for purchases of silver from the Treasury in May 1967, mostly attributed for export (Fowler, Dec 30, 1968). Strong additional steps were taken by Secretary Fowler using the authority vested in him by the Coinage Act of July 23, 1965. He terminated the sale of silver to all but domestic industrial users and instituted a ban on the melting and export of silver coins on May 18, 1967 (NYT, May 19, 1967). Run on Silver Bullion Fowler’s May 18th actions set off a bullion run by speculators, quickly causing the Treasury to require an end-use certificate that insured that the silver was being used for a legitimate domestic industrial purpose (NYT, May 20, 1967). Next on June 24, 1967, Treasury won a hastily passed act of Congress that allowed the Treasury to write off as much as $200 million worth of irretrievably lost small-size silver certificates that would never be submitted for redemption. $147,717,000 worth of silver certificates was written off six days later freeing up 116 million ounces of silver that was transferred to the free silver stockpile (Fowler, 1968, p. 77). The remaining $52,283,000 was written off April 1, 1968 (WP, Apr 1, 1968). The June 24, 1967, act also specified that redemption of silver certificates for silver bullion would cease on June 24, 1968. This gave the holders of silver certificates a full year to redeem them for bullion. The act allowed for the sale of Treasury silver at not less than $1.2929/oz. Consequently, sales of silver at $1.2929/oz ceased July 14th and resumed at going market rates on a sealed bid basis (NYT, Jul 15, 1967). Suddenly the world changed. The great silver certificate redemption of 1967-1968 was launched Figure 6. A market quickly developed to funnel silver certificates to New York where brokers exchanged them for silver bullion during the great silver redemption rush of 1967-1968. This ad ran continuously in the New York Times. Paper Money * Sep/Oct 2021 * Whole No. 335 333 and those of us who lived through it never had seen anything like it before! The market price of silver was free to rise. Americans couldn’t mine silver coins from circulation owing to the prohibition against melting coins, but they could redeem their silver certificates for bullion at $1.2929/ounce and sell it immediately for a profit in the commodities market. The Treasury officials were confident they had pumped sufficient clad coins into the banking system by mid-1967 to meet the nation’s commercial needs—there were now 8.5 billion of them (Fowler, Dec 30, 1968). They also knew that there would be a mad scramble by the public to hoard the silver subsidiary coins from circulation and there was. This hoarding would be rewarded when the ban on melting and exporting silver coins was lifted on May 12, 1969, by order of Secretary of the Treasury David M. Kennedy. Kennedy exercised his authority to do so in accord with the Coinage Act of 1965, and General Counsel Paul W. Eggers issued the order (Kennedy, 1969, p. 380). Treasury officials also were aware that the more than 800 million 40% silver clad 1965 half dollars were not circulating owing to hoarding. They recommended getting the silver out of future half dollar production because circulating halves were needed in commerce (Fowler, Dec 30, 1968). This was accomplished through an act passed December 31, 1970, that took effect with halves dated 1971. The Treasury also was scooping up as many silver coins as it could. This was carried out without fanfare through the Federal Reserve banks. As the clads became available, the stream of mixed silver and clad coins circulating back to the Federal Reserve banks from commercial banks were withdrawn, stored and replaced by the clads. In time, when the technology became available, the silver coins were sorted from the mixtures so the silver could be recovered. In the interim, the incoming streams continued to be stockpiled until some threshold was reached where it was no longer economical to sort out the ever- diminishing silver fraction. On July 31, 1967, the Treasury held 81 million ounces of silver in its coin inventory. Over the next 16 months an additional 186 million ounces of silver were salvaged from the coins retained by the Federal Reserve banks. These two stocks were melted to support silver sales designed to continue dampening the rise in the price of silver in order to discourage the scavenging of silver coins from circulation. (Fowler, Dec 30, 1968). A market quickly organized to funnel silver certificates to brokers in New York. The brokers redeemed notes for silver bullion and granules at $1.2929/oz. They in turn sold the bullion on the silver market at the prevailing price. Coin and paper money dealers quickly got on board buying silver certificates from holders in their region and selling them to the New York brokers. The notes could be moved through the mail or accumulated by regional middlemen who sent them by courier to New York. Individuals and anyone handling money including employees of commercial banks could shortcut the process by selling directly to the New York brokers. It was a mad scramble that in a matter of weeks evolved into a well-oiled machine where everyone was working on a percentage basis with what seemed like money raining from the sky! Figure 7. For all the tens of millions of dollars’ worth of silver certificates that came in during the bullion rush, no one reported finding a single Series of 1933 $10. William Baeder photo. Paper Money * Sep/Oct 2021 * Whole No. 335 334 Converting Silver Certificates into Bullion The following is a window into the process from the perspective of Nathan Taylor, the self- proclaimed largest broker, who set up ten currency exchange offices in New York. He talked to reporters from both the Washington Post and New York Times. From the Washington Post (Dec 26, 1967): Nathan Taylor of Terminal Trading Corp., the largest of the silver certificate redemption centers in the nation, said his headquarters at 70 W. 23rd St. in New York is being swamped with registered mail containing silver certificates from all parts of the country. The premium the holder receives from Terminal is directly connected with the closing prices of spot silver on the New York Commodity Exchange on the day the registered mail arrives. Taylor said the search for silver certificates has brought money out of unusual hiding places. “It’s interesting the places people select for hiding,” Taylor said. “We can tell from the odor which certificates have been hidden in moth balls or cedar closets, which have been buried in the earth, hidden in musty attics or stored in damp cellars. Each has a distinctive odor.” Taylor said one batch of silver certificates received from Monrovia, Liberia must have been buried for almost 20 years. “If we sneezed near them we were sure they would disintegrate,” Taylor said. “They were too fragile to put through the ticometer for counting and because of the difficulty in handling, it took one of our cashiers an exceptionally long time to count them.” Excerpts from the New York Times (Feb 28, 1968): The lucrative smell of money fills the cramped storefront offices of the Terminal Trading Company at 70 West 23d Street here * * * where the cashiers at the shop exchange new dollar bills for the dwindling supply of “silver certificates” delivered by mail and in person each business day. For each of the old $1, $5 and $10 bills exchanged, the company pays a premium of between 35 and 45 percent over face value. “Smell it,” Nathan Taylor, president of the company, said the other day as he examined the morning’s mail. “The stuff comes out of mattresses, home freezers, cellars, the ground under African huts, South American barnyards, as well as safe deposit boxes and from between the pages of books.” The bearer of a silver certificate was promised the right to exchange it for silver at the rate of a bit more than $1.29 an ounce. But the price of silver has soared and last Friday the Government’s weekly auction of .999 fine metal brought more than $1.80 an ounce. Last August, the idea struck Mr. Taylor that many silver certificates, worth more than their face amount even then, were slipping out of the public’s hands at face value and nothing more. At the time, his Terminal Trading Company was engaged primarily in cashing checks under contract with concerns that did not want to handle cash payrolls and yet wanted to ease the check-cashing problems of their employees. “We decided to place a few small ads in papers around the country, offering to pay a premium for the silver certificates,” the pipe-smoking executive recalled. “In our first month, last August, we handled about $150,000. Today, we average about $1-million a month.” The prices paid depend on the silver quotes received during each day in his office over the ticker of Commodity Exchange, Inc., New York. Since last summer, a network of agents has been set up around the Figure 8. It wasn’t long into the 1967-1968 rush that these last 1957 series $1s vanished from our wallets. Everyone was scavenging them from circulation. Heritage Auction archives photo. Paper Money * Sep/Oct 2021 * Whole No. 335 335 world by Terminal Trading as well. Consequently, large sums have been received from such lands as Liberia, where United States money is the official currency, and from far-flung places where dollars have become the only means of savings because of devaluations, inflation and general instability. At home, many of the parcels of silver certificates received by registered mail also contain notes explaining gratuitously why the dollars have been amassed and not banked, often, why they smell. One dollar bill that Mr. Taylor does not intend to part with bears a typed line at the top margin: “First B-29 Squadron to land on Saipan-Sept. 19, 1944.” Some of the bills come in odd forms, woven into quilt-like sheets or with edges glued and rolled into tight rolls, in the shape of flags, and the like. Most common is the smell of mothballs or of the ground the bills were buried in, and many are discolored, brittle or tattered. Regardless of how they look, the Terminal Trading people collect them each day and send them to the Federal Reserve, to be exchanged for silver bullion at the rate of $1.29 an ounce. “We used to get the triple-nine stuff [.999 fine] from the San Francisco mint,” Mr. Taylor said. “Now we seem to be getting .965 fine metal at slightly less cost.” The bullion is either sold to industry or private holders, or refined to .999 fine and sent to the banks that keep the Commodity Exchange’s silver used for trading in the form of contracts for future delivery. All silver earmarked for futures trading must be .999 fine and each contract consists of 10,000 ounces. I was a beginning graduate student at the University of Arizona in Tucson with little money and limited free time to get in on the bullion rush. It quickly became obvious that silver certificates were fast disappearing from circulation. I did manage to accumulate a couple hundred or so of them during the early part of the rush. I mailed them to a broker named Pep Levin in Pennsauken, New Jersey, who ran saturation ads in Coin World offering to buy them. What you were paid is explained in this excerpt from The Washington Post (Feb 25, 1968). “Buyers of silver certificates have based their payments on the spot bid price of silver at the close of the silver commodity trading day. One firm, claiming to have bought more than $6 million worth of certificates, has paid 41% above face value on Jan. 29; 35% the next day; 40% Feb 1, and 36% as of Feb 9.” The Party Ended June 24th, 1968, a Monday Excerpts from the New York Times (June 25, 1968): About a dozen people were camped outside the United States Assay Office at Old Slip and South Street at 11 o’clock last night when one sergeant of the Mint Service guard arrived at work. They wanted to be sure they would get in under the wire to exchange their hoarded silver certificates. By the time he had started his second consecutive shift at 8 A.M., the sergeant * * * had seen the crowd grow to nearly 200. The lines numbered at least 100 most of the day. They came from as far as Chicago and Randolph, Wis. They carried their bills in attache cases, overnight bags, shopping bags, even in their fists. Some had to wait as long as three hours for their silver. In San Francisco, where people take their silver more seriously, some 500 persons waited in line at the Assay Office in the mint, the Associated Press reported. Mrs. Richard Vail of Chinchilla, Pa. stood outside the New York Assay office yesterday holding two Figure 9. The Federal Reserve Bank of Dallas used to ship plenty of $5 silver certificates to Tucson; however, no $10s came our way that I ever saw in the early 1960s. Heritage Auction archives photo. Paper Money * Sep/Oct 2021 * Whole No. 335 336 silver bars. Her husband had a plastic bag of silver granules making up “the change” for the $398 of silver certificates they exchanged. Mr. Vail explained that they had garnered most of their bills from customers of their food store. The Vails, noting that they have five children, said they would “pack their silver in a small vault and wait.” Silver for almost immediate delivery was quoted at $2.47 an ounce yesterday on the Commodities Exchange, where silver futures are traded. James Pals, who operates a restaurant near O’Hare Field in Chicago, was not sure what he would do with the $1,200 load of silver he lugged away from Old Slip in a suitcase. “Just wait, I guess,” he said as he hurried for a return flight to Chicago. The Assay Office remained open after its usual 3 o’clock closing time to accommodate the crowds. To reduce the waiting time, the office issued receipts to those opting for them that will be redeemed in silver starting July 5 and for five days thereafter. But there was quicker action on the street. The pay-out window was kept open until about 5 P.M. to take care of everyone in line. The Assay Office declined to disclose how many silver certificates were sold. Daniel J. Lander, who specializes in silver certificates at his 101 West 45th Street store, hired a Wells Fargo armored truck and three guards at $50 an hour and conducted a brisk business at curbside. Mr. Lander offered $1.60 to $1.65, depending on quantity. “It’s really silly,” he said. “I’m not making any money on this, when you figure the cost of the truck and the guards. This is fantastic stuff, three traders and my own private guard. But this is my business and this is where the action is.” Mr. Lander said he could offer a better deal to hoarders, because they would have trouble reselling their silver. He said they would have to sell the metal at discounts because it had to be refined to commercial grade from the 899.5 purity offered by the Government and because they would deal in small quantities. But profit did not seem to be the only motive in many of the hoarders yesterday. David Busse, a bookkeeper from Randolph, Wis., took away three bars and some granules for the $396 in certificates he exchanged for his own account and that of three friends. “They’ll make great paperweights. Maybe some day they’ll be worth something. But it’s fun having it.” Those hoarders with more than $1,000 in certificates to exchange were sent to the New York Federal Reserve Bank on Liberty Street, a few blocks from the New York Stock Exchange. The Reserve, expecting a large turnout, opened its doors an hour earlier than usual at 8 o’clock when about 50 people waited in line. But the rush was all over in two hours. Ten dealers, like Mr. Lander, unloaded trucksful during the day. Perspective The Treasury Department was caught in a bind in the 1960s as silver prices on the world’s commodity markets crept above the nominal value of U.S. silver coins. They had to demonetize silver and at the same time maintain a supply of coins for commerce. The threat they faced was a public that would scavenge silver coins from circulation and hoard them for their silver content, thus removing coins from commerce. It would take time to manufacture base metal coins and get them into circulation. A primary ploy to tamp down the speculative impulses of the pubic was to artificially hold down the price of silver in the Figure 10. 1934 series $10 silver certificates were attractive and actively traded in the 1960s for a few dollars over face if uncirculated. Heritage Action archives photo. Paper Money * Sep/Oct 2021 * Whole No. 335 337 commodities markets. This could be accomplished by feeding Treasury silver into the market at a low price, which, of course, would have to be done on the backs of the tax payers because the government would incur lost-opportunity costs in the process. The Treasury Department had no choice, so this policy was carried out as a cost that Treasury officials felt had to be paid. The obligation on Series of 1928 $1 silver certificates advised that “one silver dollar” was payable to the bearer. The obligation on the Series of 1933 $10s promised “ten dollars in silver coin payable to the bearer on demand.” Subsequent series stated “dollar(s) in silver.” There was 0.7734 ounce of silver in a silver dollar so this was the amount of silver the Treasury paid out for each dollar’s worth of silver certificates that it redeemed for bullion. This established the value of the bullion at $1.2929/oz. The Treasury honored this commitment by giving the public a full year to redeem their silver certificates despite the fact that the price of silver was rising rapidly during that year. The difference between the $1.2929/oz redemption rate and the higher market rate was another lost-opportunity cost that taxpayers had to bear. This cost was a measure of the integrity of the Treasury Department as it honored the obligations printed on these historic certificates. References Cited and Sources of Data Act of February 28, 1878, An act to authorize the coinage of the standard silver dollar, and to restore its legal tender character (Bland-Allison Act), Public Law 45-20, 45th Congress. Act of June 19, 1934, An act to authorize the Secretary of the Treasury to purchase silver, issue silver certificates, and for other purposes, Public Law 438, H. R. 9745. Act of July 6, 1939, An act to extend the time within which the powers relating to the stabilization fund and alteration of the weight of the dollar may be exercised, Public Law 165, H. R. 3325. Act of July 31, 1946. An act to authorize the use by industry of silver held or owned by the United States. And for other purposes, Public Law 579, H. R. 4590. Act of June 4, 1963, An act to repeal certain legislation relating to the purchase of silver, and for other purposes: Public Law 88- 36, 88th Congress, H.R. 5389. Act of September 3, 1963, An act to authorize the mint to inscribe the figure 1964 on all coins minted until adequate supplies of coins are available, Public Law 88-580, 88th Congress, S. 2950. Act of July 23, 1965, An act to provide for the coinage of the United States, Public Law 89-81, 89th Congress, S. 2080. Act of June 24, 1967, An act to authorize adjustments in the amount of outstanding silver certificates, and for other purposes, Public Law 90-29, 90th Congress, S. 1352. Act of December 31, 1970, An act to amend the Bank Holding Company Act of 1956, and for other purposes; Title II-provisions relating to coinage, Public Law 91-607, H. R. 6778. Barr, Joseph W., Under Secretary of the Treasury, May 1, 1967, Hearing before the Committee on Banking and Currency, House of Representatives, Ninetieth Congress, First Session on H.R. 7476, a bill to authorize adjustments in the amount of outstanding silver certificates, and for other purposes: U.S. Government Printing Office, Washington, DC, 57 p. Camden Courier-Post, Apr 10, 1969, Local coin dealer link to silver smelting probed. Camden Courier-Post, Jan 22, 2007, Crime figure buried. Dillon, Douglas, 1962, Annual report of the Secretary of the Treasury on the state of the finances for fiscal year ended June 30, 1961: U.S. Government Printing Office, 805 p. (Table 58, p. 632) Dillon, Douglas, 1963, Statement by Secretary of the Treasury Dillon, April 29, 1963, before the Senate Committee on Banking and Currency on silver; Exhibit 38, p. 400-406: in, Dillon, Douglas, 1964, Annual Report of the Secretary of the Treasury on the State of the Finances for the Fiscal Year Ended June 30, 1963: U.S. Government Printing Office, 774 p. Dillon, Douglas, 1964, Press Release, March 25, 1964, announcing that silver certificates will be redeemed only in bullion; Exhibit 52, p. 368-369: in, Dillon, Douglas, 1965, Annual Report of the Secretary of the Treasury on the State of the Finances for the Fiscal Year Ended June 30, 1964: U.S. Government Printing Office, 711 p. Donlon, William P. deceased, 1979, Hewitt-Donlon catalog United States paper money, Marc Hudgeons editor: House of Collectables, Orlando, FL, 188 p. Fowler, Henry H., 1968, Annual Report of the Secretary of the Treasury on the State of the Finances for the Fiscal Year Ended June 30, 1967: U.S. Government Printing Office, 794 p. Fowler, Henry, Dec 30, 1968, Major silver and coinage policy decisions, May 1967-December 1968: text of a Dec 20, 1968, letter from Secretary Fowler to President Johnson transmitted in a Treasury Department press release, 5 p. Kennedy, David, 1969, Annual report of the Secretary of the Treasury on the state of the finances for fiscal year ended June 30, 1969: U.S. Government Printing Office, 433 p. New York Times, Nov. 29, 1961, Silver sale by Treasury ended, President seeks support repeal, p. 1, 61. New York Times, Mar 24, 1964, Long lines form to buy silver dollars at Treasury, p. 10. New York Times, May 19, 1967, Treasury acts to protect silver, p. 55. New York Times, May 20, 1967, Prices surge in topsy-turvy silver market: p. 43, 53. New York Times, Jul 15, 1967, Treasury halting sales of its silver at $1.29 an ounce, p. 29, 38. New York Tines, Feb 28, 1968, Silver certificate, profitable scents, p. 65, 71. Paper Money * Sep/Oct 2021 * Whole No. 335 338 Tebben, Gerald, 2015, Clad coinages, ‘ugly duckling’ of US coins growing into sway? https://www.coinworld.com/news/precious-metals/clad-coins-gerald-tebben-coin-world-1963-numismatics- circulating-coins.html Washington Post, Dec 26, 1967, Silver certificate hunting becomes a fad, p. C5. Washington Post, Feb 25, 1968, Coin changer, silver certificate status: p. F10. Washington Post, Apr, 1968, More silver certificates written off, p D9. Figure 11. Some collectors prefer the old large-size silver certificates. There is no accounting for taste. The Treasury still will redeem them at face in Federal Reserve notes. Heritage Action archives photo. Paper Money * Sep/Oct 2021 * Whole No. 335 339 Lyn Knight Currency Auct ions If you are buying 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 will be happy to travel to your location and review your notes. 800-243-5211 Mail notes to: Lyn Knight Currency Auctions P.O. Box 7364, Overland Park, KS 66207-0364 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 acknowledge receipt of your material upon its arrival. If you have a question about currency, call Lyn Knight. He looks forward to assisting you. 800-243-5211 - 913-338-3779 - Fax 913-338-4754 Email: lyn@lynknight.com - support@lynknight.c om Whether you’re buying or selling, visit our website: www.lynknight.com Fr. 379a $1,000 1890 T.N. Grand Watermelon Sold for $1,092,500 Fr. 183c $500 1863 L.T. Sold for $621,000 Fr. 328 $50 1880 S.C. Sold for $287,500 Lyn Knight Currency Auctions Deal with the Leading Auction Company in United States Currency William Fraser White, a Newly Identified Assistant Register and Bond Signer for the Confederate Treasury Charles Derby The Register of the Confederate Treasury was responsible for recording the government’s debt, including signing bonds and their coupons.1 Many men and women signed bond coupons, but only a few signed the bonds themselves.1,2,3 As Register, Alexander Clitherall and later Robert Tyler signed some bonds, but three other men signed most of them over the course of the war. Charles T. Jones, the Treasury’s second chief clerk of the Register, signed in his other appointed capacity as Acting Register, and he signed bonds up until early 1863. By then, the Confederate government realized that the increasing number of bonds being issued, all of which needed to be signed, and the need for the Register to focus on tasks besides signing documents required establishing a new position, Assistant Register.1 Charles Alexander Rose and Edmund Bacon Williamson Apperson4 were appointed Assistant Registers, and Rose signed bonds from 1863 until the end of the war and Apperson from mid-1864 to the end of the war. Confederate bonds with signatures other than by these men can be found, and these have typically been attributed to spurious signatures on remainder or counterfeit bonds.1 But among the bonds with signatures other than these five Treasury officials are several from 1865 signed “Wm. F. White.” In this article, I argue that these bonds were legitimate issues and were signed by a newly recognized Assistant Register, William Fraser White, appointed by Memminger’s successor, George Trenholm. Bonds signed by “Wm F. White” as Assistant Register of the Confederacy Confederate bonds signed by “Wm. F. White” for the Register are 6% nontaxable call certificates with the “Man at a turnstile” vignette, authorized by the Act of February 17, 1864.1 Three denominations with this signature are known: $100 (Type 178, or B- 362 and -363), $500 (Type 179, or B-364 and -365), and $1000 (Type 180, or B-366 and - 367). Examples of $1000 and $500 bonds with Wm. F. White’s signature are shown in Figure 1. Known examples include bonds to be issued in Richmond or Norfolk Virginia, Augusta Georgia, and Mobile Alabama. They were initialed by recorders such as “PFG” and “HGA” who also initialed other bonds. One bond appears to be fully issued, initialed by “TGB” to indicate that it was entered into the register and issued to the Exchange Bank of Virginia at Norfolk on March 22, 1865 (Fig. 2). All known examples are hand dated March 9, 1865, which makes them some of the last issued bonds of this type, since April 1, 1865, appears to be the last issue date for any of these “turnstile” bonds.1 These bonds have serial numbers, which because of their late issue date are high, with known numbers being 28061 for the $1000 bonds, 16371, 16372, 17876, and 19579 for the $500 bonds, and 17373 for the $100 bonds. Interestingly, two of these – the $500 bonds with serial numbers 16371 and 16372 – are from Thian’s albums. The other Assistant Registers, Rose and Apperson, also signed some of these Paper Money * Sep/Oct 2021 * Whole No. 335 341 bonds on March 9, 1865, also with high serial Figure 1. Valid issues of bonds signed by Wm. F. White (top from Heritage Auctions, bottom from Henry Simmons). Paper Money * Sep/Oct 2021 * Whole No. 335 342 numbers, so White’s late signing seems not to be because the other Assistant Registers were no longer available to sign. The question at hand is, are these “Wm. F. White” bonds valid or spurious issues? Certainly there are known examples of spuriously issued remainders and counterfeit Confederate bonds, including, as we will soon see, spurious issues of these “Wm. F. White” bonds. There are several lines of evidence supporting the validity of these bonds and that they were signed by William Fraser White as a duly appointed Assistant Register. Key to this argument is the discovery of a receipt from Major James B. Ferguson, a Confederate States quartermaster in Richmond, for the sale on April 9, 1863, of 11 shoe knives for $22 by a “Wm. F. White” (Fig. 2). A comparison of the “Wm. F. White” signatures on the Confederate bonds and on this receipt reveal a perfect match, as shown in Figure 2. Beyond these examples of arguably validly issued bonds, other $1000 turnstile bonds are known with a “Wm. F. White” signature that appears different from valid signatures, as shown in Figure 3. I argue that they are spuriously issued. These bonds are $1000 denomination, dated March 9, 1865, recorded by “WCl” and with serial numbers of 18164, 18213, 18509, 18612, 18707, of 18809, thus suggesting that at least 645 of these were produced. None were fully issued as all lack other information to be handwritten on the bonds. Further evidence of their spurious nature is that the issuer attempted to copy the initials of a valid recorded bond but failed to do this accurately, as shown in Figure 3. The question remains, who is this “Wm. F. Fraser” who was selling shoe knives to the Confederate army in Richmond in 1863? Figure 2. Left: Receipt for sale of 11 shoe knives by Wm. F. White to the Confederate Army in Richmond on April 9, 1863. Right top: signature from the receipt. Right middle: valid signature on 1865 bond. Right bottom: spurious signature on 1865 bond. Paper Money * Sep/Oct 2021 * Whole No. 335 343 William Fraser White William Fraser White (Fig. 4) was a Richmonder his entire life (1824-1884). His parents were Hannah J. Fraser White (1800- 1873) and Phillip King White (1799-1865) (Fig. 5). William had only one sibling, a sister, Mary Matilda White (1831-1845), but she died at age 13 by a lighting strike that also killed her friend Eliza Ann Putney.5 Phillip was for many years one of the most prominent shoe merchants and influential businessmen in Richmond,6 having real estate valued at $10,000 in 1850 and personal estate of $8,000 in 1860.7 Figure 6 shows a newspaper business advertisement from 1857. Both before and during the War, William worked and lived with his father8 (Fig. 7). The Whites profited from their business with the Confederate army, selling shoes, brogans, and shoe knives to the Figure 4. William F. White, young and old. Figure 3. Spurious signatures of “Wm. F. White.” A comparison of this spurious signature and that on valid bonds is shown in Figure 2. The spurious issuer also attempted to copy the initials of a valid recorder but mistakenly used “WCl” (bottom left) compared to the valid initials of “WCC” (bottom right). Paper Money * Sep/Oct 2021 * Whole No. 335 344 Confederacy for “the defense of Richmond,” as attested through contracts and receipts.9 One major contract between Phillip King White and Major James B. Ferguson, Quartermaster of the CSA army in Richmond, was for the sale of 5000 pairs of brogans at $3.50 per pair10 (Fig. 8). Perhaps because of his business with the Confederacy, William’s military service was as a Private in Company I, 1st Regiment, Virginia State Reserves (2nd class militia), from August 28, 1863, to March 1, 1864.9 In his personal life, William married Margaret Shardale Greanor (1828-1909) in 1848 in Richmond. Margaret’s father was William Henry Greanor, also a leading Richmond businessman, engaged in the tobacco industry. In 1850, he owned $43,300 in real estate.7 His tobacco factory and warehouse was Castle Thunder, located on Tobacco Row (Fig. 9), and which during the War was converted into a prison by the Confederacy to house civilian prisoners. William and Margaret had seven children born between 1849 and 1862,11 three of whom are shown in Fig. 5. Phillip White died suddenly, after a brief illness, on August 27, 1865, at 66 years old. William took over the business and continued to advertise using both his and his father’s name, as in the advertisement from May 1867 shown in Figure 6. William moved to a new store, “a large and commodious store in the new building lately erected by Mr. John Graeme.”12 During this time, there were some highs: William was appointed to the Board of Commissioners of Election and was registrar for his local precinct in Jefferson Ward.13 But things quickly unraveled for William. By the fall of 1868, three years after Phillip’s death, William auctioned his stock of shoes and other items, sold his store to J. C. Page, Jr., another shoe merchant in Virginia, and appealed to all with debts owed to his father’s estate to pay those forthright.14 William took a clerk job in the office of the City Gas Inspector7 but that too did not go well. Complaints of malfeasance against him and the head of his office – that neither had Figure 6. Phillip and William White, prominent Richmond shoe merchants. From Richmond Dispatch, top, Dec. 8, 1857, bottom, May 13, 1867. Figure 5. William F. White’s family. Top left to right: his father, Phillip King White (1799- 1865); mother, Hannah J. Fraser (White) (1800- 1873); and father-in-law, William Henry Greanor (1793-1868) Bottom, three of his eight children, left to right, Mary Matilda White (1851-1925), John Henry White (1857-1922), and Margaret B. “Maggie” White (1860-1941). Paper Money * Sep/Oct 2021 * Whole No. 335 345 not paid their own gas bills since their appointments – were investigated by the Committee on Light of the Richmond City Council, and both William and his boss were both removed from office.15 By 1880, at age 56, he was suffering from “rheumatism.”7 Four years later, on July 30, 1884, he died of "Paralysis" and was buried at Shockoe Hill Cemetery.16 The plot in which he rests was co-purchased in 1845 by his father Phillip and his friend Samuel Putney, to bury their daughters who died in the lightning accident. William was buried next to his father Phillip and sister Mary, later joined by his mother Hannah and wife Margaret. The Case for William Fraser White as Assistant Register That William Fraser White was the “Wm. F. White” who signed Treasury bonds is supported by his signature, his location in Richmond, and his business and his political connections with the Confederacy during the War. Two additional facts that link William Fraser White to the Confederate Treasury add even more support for this conclusion. First, Phillip and William’s residence at the time of Phillip’s death was a house between Broad and Grace Streets. That house was formerly the residence of Christopher Memminger, which Memminger sold after he resigned as Treasury Secretary on July 1, 1864.17 Second, when William’s father died and William took over the business, he hired as one of his salesmen Charles S. Maurice, a Treasury note signer.2,18 The totality of evidence provides an overwhelming case for William Fraser White to join Charles A. Rose and Edmund B. W. Apperson as Assistant Register of the Confederate Treasury. Figure 9. Castle Thunder, tobacco warehouse of William F. White’s father-in-law, William Henry Greanor, later converted into a Confederate prison. Figure 7. Home of Phillip and William White on 2717 East Grace St. Figure 8. Major contract between Phillip White and Maj. Ferguson, Quartermaster of the CSA army.9 Paper Money * Sep/Oct 2021 * Whole No. 335 346 Acknowledgments. Many thanks to Henry Simmons for his encouraging me to research this topic, and to Henry Simmons, Mike McNeil, and Bill Gunther for providing comments on the manuscript. References 1 Ball, Douglas B., and Simmons, Henry F. Jr. (2015) Comprehensive Catalog and History of Confederate Bonds. 2nd edition. BNR Press, Port Clinton, Ohio. 2 McNeil, Michael (2003) The Signers of Confederate Treasury Notes 1861-1865. A Catalog of Their Signatures. Michael McNeil, Publisher, Nederland, Colorado. 3 Thien, Raphael P. (1972) Register of the Confederate Debt. Quarterman Publications, Inc., Lincoln, Massachusetts. 4 Derby, Charles. Edmund Bacon Williamson Apperson, Assistant Register and bond signer for the Confederate Treasury. (Manuscript to appear in Paper Money) 5 Ancestry.com. 6 History of Virginia. Volume IV. Virginia Biography. The American Historical Society. Chicago and New York. 1924. 7 U.S. Censuses, accessed through Ancestry.com 8 https://www.genealogy.com/ftm/m/a/l/K athleen-Malicki/index.html. 9 Documents in the National Archives, accessed through fold3.com. 10 Major James Boswell Ferguson Jr. (1822- 1896) was a dry goods import merchant before the War, and so he was perfectly qualified for his appointment in 1861 to the quartermaster’s department in Richmond under Fitzhugh Lee, where he was responsible for procurement, especially of uniforms, garments, shoes, and boots. It was in this capacity that Maj. Ferguson contracted with the Whites in March, 1862, for a large order of brogans (shown in Figure 8), as well as other orders with the Whites throughout the war. But Maj. Ferguson was soon part of the Confederacy’s effort to expand their sourcing to Europe, and in September 1862, he became Quartermaster purchasing agent in England. There he contracted with 16 different mills there for shoes and bulk woolen cloth and blankets, and within a year and for the remainder of the war, many of the new Confederate uniforms were made with English wool. In fact, Maj. Ferguson sent uniforms to Robert E. Lee, including the one that Lee wore at his surrender at Appomattox. [Wilson, Harold S. (2002). Confederate Industry: Manufacturers and Quartermasters in the Civil War. University Press of Mississippi: Jackson. Jensen, Leslie D. (1989). A survey of Confederate central government quartermaster issue jackets, Part 1, in The Military Collector & Historian. Fall 1989 issue. Lee Family Digital Archive. https://leefamilyarchive.org, accessed January 10, 2021.] 11 The children of William and Margaret White were: Phillip Greanor White (1849–1850), Mary Matilda White West (1851–1925), William Ambrose White (1853–1858), James Nichols White (1855–1856), John Henry White (1857– 1922), Margaret White Scarff (1860– 1941), and May H. White Cottrell (1862– 1919). From Ancestry.com and findagrave.com 12 Richmond Dispatch, January 12, 1867. 13 Richmond Dispatch, May 10 and May 26, 1870. 14 Richmond Dispatch, August 6, August 27, and September 17, 1868. 15 Richmond Dispatch, August 19 and September 17, 1872. 16 Records from Shockoe Cemetery and Ancestry.com. 17 Alexandria Gazette, November 4, 1865. 18 Richmond Dispatch, January 12, 1867. Paper Money * Sep/Oct 2021 * Whole No. 335 347 You Collect. We Protect. Learn more at: www.PCGS.com/Banknote PCGS.COM | THE STANDARD FOR THE RARE COIN INDUSTRY | FOLLOW @PCGSCOIN | ©2021 PROFESSIONAL COIN GRADING SERVICE | A DIVISION OF COLLECTORS UNIVERSE, INC. PCGS Banknote is the premier third-party certification service for paper currency. All banknotes graded and encapsulated by PCGS feature revolutionary Near-Field Communication (NFC) Anti-Counterfeiting Technology that enables collectors and dealers to instantly verify every holder and banknote within. VERIFY YOUR BANKNOTE WITH THE PCGS CERT VERIFICATION APP 2021 SPMC Hall of Fame Inductees Forrest Daniel SPMC Honorary Life Member #15 served on the SPMC board of governors from 1970-1976. He was born in Sykeston, ND and was valedictorian of his High School class of the same town. In 1940, he began a trade in the printing industry which ultimately led to his involvement in the hobby of numismatics. Mr. Daniel was an accomplished researcher and writer and concentrated his research efforts mostly upon the subject of paper money and other numismatic topics. He was a frequent contributor of articles to Paper Money and was one of the two men who are credited with designing the SPMC logo for which he received an Award of Merit. He was awarded SPMC literary awards in 1964, 66, 67, 69, 81, 84, 92, 96, 97 and 1999. He received the SPMC’s Award of Merit in 1983, 98 and 2000 and the Society’s highest award, the Nathan Gold award in 1993. He was awarded the George W. Wait Memorial Award in 2002. He also won a Heath Literary Award from the American Numismatic Association. The SPMC owes a large debt of gratitude to Mr. Daniel who bequeathed a large endowment to the society upon his death. The society has subsequently named the Forrest Daniel Literary Award of Excellence in honor of Mr. Daniel. Clifford Mishler SPMC Life Member 142, Clifford Mishler was born in Vandalia, Michigan and attended Northwestern University. Author, publisher and researcher, his contributions to the hobby have been many. He received the SPMC’s President’s award in 2002 and the Nathan Gold award in 2019. He began employment with Krause Publications, on 3/3/1963 as associate editor and then was promoted to editor of Numismatic News. He served as publisher of all numismatic President of Krause. He was a driving force at KP behind the growth of the Pick catalog, behind Haxby, as well as the publication of the Std. Catalog of National Bank Notes. He has served as Secretary of the Higgins Museum and was on its Board for many years. He collects Nationals on a specialized basis (wrong place names-Paris, Texas, etc.). He served as President of the Numismatists of Michigan. He was a founding member of TAMS and when the SPMC split from that group, he became a founding member of the SPMC. The ANA honored him with its Medal of Merit, Farran Zerbe and Glenn Smedley Awards. He was named Numismatist of the Year in 2002 and was inducted into the ANA Hall of Fame in 2004. In 2005 he received the Burnett Anderson Memorial Award for Excellence in Numismatic Writing. He twice served on the ANA board and elected President in 2009. Coin World named him to their list of Most Influential People in Numismatics 1960-2020. Dean Oakes SPMC member 1322, Dean Oakes was born in Iowa and graduated from the University of Iowa. His start in the hobby began in 1949 when he founded A&A Coins, Inc. with two others becoming sole owner in 1965. He joined John Hickman in 1972 in a currency business named Hickman-Oakes. Through this business they put on thirty-eight auctions from 1976- 1989. A founder of the Iowa City Coin Club, he has also served as president of the Iowa Numismatic Association. A collector of Iowa obsolete notes, his collection is one of the finest in existence. He authored Iowa Obsolete Notes and Scrip in 1982 which was published by the SPMC. His credits include authoring or co-authoring other references, including Standard Catalog of National Bank Notes with John Hickman and the Standard Guide to Small Size U.S. Paper Money 1828 to date. Mr. Oakes served as President of the SPMC from 1995-1997, Vice President (1993-1995), Treasurer (19861993) and Governor from 1981-1999. The SPMC also awarded him an Award of Merit in 1982 and a Literary Award in 1994. Paper Money * Sep/Oct 2021 * Whole No. 335 349 Plate Letter Placement Glitches on Parker-Burke Series of 1907 $10 Gold Certificates Introduction and Purpose The two of us have been studying the $10 Series of 1907 gold certificates lately, which led Doug Murray to examine the scans of the Bureau of Engraving and Printing certified proofs lifted from the plates that were used to print the series. Upon launching into the Parker-Burke proofs (Fr. 1171), Doug was startled to find that the left plate letters and accompanying plate serial numbers on the number 1 proof were high in comparison to the standard position for the letters on the earlier proofs. He had never noticed this before and at first through that they had changed the placement coincident with the startup of the Parker-Burke plates, which had not registered on him before. He was quickly disabused of this notion when he got to the proof for plate 2, which had the expected placements. He brought the plate 1 oddity to Huntoon’s attention and suddenly the search was on! It is the purpose of this article to show you the interesting varieties that we found. Anomalous Plate Letter Placements The comments that follow are deduced solely from the scans of the certified proofs from the impacted plates in the National Numismatic Collection and the photos shown on Figure 1 that Doug found in the Heritage Auction Archives. The key reference point for judging the placement of the left plate letter is its spacing from the word ACT in the March 4, 1907, act authorization date that appears on the upper left-hand side of the faces of the notes. See Figure 2. The placement of the plate letter shown for plate 2 is normal. Parker-Burke plate 1 There is only one proof for plate 1; specifically, Treasury plate number 42627 bearing plate serial number 1, which was certified by BEP Director Joseph E. Ralph on October 31, 1913. The plate letters on all four subjects are uniformly high and align nicely with the act authorization date. The right image on Figure 1 demonstrates that notes were printed from the plate with the high placement. Telling on the proof is that someone penciled in an X under all four plate letters, a typical indicator that the problem was discovered. However, there is no second proof demonstrating that the letters were The Paper Column Doug Murray Peter Huntoon Figure 1. Series of 1907 $10 Parker-Burke gold certificates that reached circulation with misplaced left plate letters and accompanying plate serial numbers. Right is plate 1 position D and left is plate 64 position C, both with anomalously high left plate letters. Heritage Auction archives photo. Paper Money * Sep/Oct 2021 * Whole No. 335 350 moved to a normal position. We simply don’t know if the plate was repaired. Only time will tell if a note turns up with the letters where they should be. Parker-Burke plate 3 This is the jewel among the errors that we found. The affected plate was 42535/3 first certified October 22, 1913. Very strange is that the only misplace plate letter is the one on the C note, and as illustrated on Figure 2, it is dramatically low. Like the number 1 plate, someone put a bold penciled strike below it and also circled it. Parts of these flags show on the blowup on Figure 2. The giveaway for us that there was a problem with this plate was that there is a second proof for it. That can be a sign that something was amiss. The proof was lifted to show that the plate had been repaired and someone inserted it among the proofs, something that didn’t always happen when a correction was made. The second proof is undated, but the big deal with it is that there are a couple of sets of printer’s initials stamped onto the upper plate margin of the plate revealing that it had seen service before the proof was lifted. We have not found an issued example with or without the error but we are assured that both were printed. Parker-Burke plate 64 The proof for this plate, 43201/64 certified February 13, 1914, is as curious as that for plate 3 in that the plate letter on the A position note is normal, but those on positions B, C and D are high identical to plate 1. There are no marks on the proof indicating anyone spotted the mistake, and there is no second proof from the plate to reveal that it had been fixed. Doug found the photo of an issued note from the C position shown on the left-hand side of Figure 1 so we know the plate was sent to press with the mistakes. It remains to be seen if a note appears to reveal that the mistakes were corrected. Closing Comment We certainly aren’t promoting these plate letter placement varieties as major varieties deserving of separate catalog numbers or anything of that sort. Rather, they classify as unusual plate-making errors on par with say the small-size $1 1981A and 1985 Federal Reserve notes that came out with back plate number 129 against the lower left corner of the border instead of the lower right. The numismatic value of $10 Series of 1907 gold certificates already is sufficiently high that the fact of a note having one of these varieties probably wouldn’t nudge the price appreciably if at all. Instead, these are the delightful stuff that make for great cherry picking and owning one of the things simply has the potential to bring a bit of added joy to the owner. That is, provided the owner even recognizes what he has. The one that has the greatest appeal to us is the severely dropped C on the number 3 plate. Like all errors, the worst the mistake, the more appealing to the collector! Figure 2. Comparison between the placement of plate letters and accompanying plate serial number from left to right: normal on plate 2, high on plate 1 for all positions, high on plate 64 for positions B C D, plate 3 very low on position C only. National Numismatic Collection photos. Paper Money * Sep/Oct 2021 * Whole No. 335 351 Early Polymer Luminus With Color Watermarks from Domtar by Roland Rollins Domtar Corporation Founded in England in 1903, the firm was originally called the Dominion Tar and Chemical Company, Limited. The first timber plant was located in Cape Breton, Nova Scotia. In 1965, the company changed its name to Domtar Inc. In 2001 Domtar purchased four paper mills from Georgia-Pacific Corporation for US$1.65 billion. With the acquisition, Domtar became Canada's largest paper company in terms of sales. In 2006, Domtar, Inc. agreed to merge with the paper division of Weyerhaeuser. In2013, Domtar announced it was acquiring Xerox's US and Canadian Paper businesses. Domtar Corporation is the largest integrated producer of uncoated free-sheet paper in North America and the second largest in the world based on production capacity. Luminus Domtar Inc. holds the patents for a product that could replace paper currency trademarked Luminus. Luminus is a paper sandwich - a laminated product comprised of three layers of paper, film, and paper. The film in the middle is polyester and can contain a color image and other security features. The Bank of Canada obtained the Canadian rights to Luminus and continued to develop it as a potential substrate. Without notice Canada bird back $5 notes of 1986 with Luminus substrate were produced and tested in active circulation with a serial prefix range of GOG 0100000-0199999 (P95c2)1 before being withdrawn. This information was not widely known until the Autumn 2007 issue of the Bank of Canada Review. Due to no collector knowledge, the best-known condition Luminus note (MS60) sold for just over $22,000 US. The Domtar plant in Beauharnois, Québec, which produced Luminus, has since been closed. It produced bank note papers for more than 20 countries2. Canada $5 P-95c, BNB # B358c2 front Canada $5 P95c, BNB B358c2 reverse Paper Money * Sep/Oct 2021 * Whole No. 335 352 I acquired 3 Domtar test notes from a retired Technical Director of the firm2. The most dramatic test note was unknown to me. I have assigned the catalog number DOM-1213. Here is the note under normal lighting, then next with back light source. The entire middle polyester layer is colored, rendering the note with a back light with a distinctive, sharp color watermark covering the entire surface. Notice the microprinting of “DOMTAR” between images, replacing a security strip. These are certainly scarce, as in four years I have recorded one other sale for three times the cost of the three notes I purchased. Here’s a Luminus example on a mock 100 banknote test note. DOM-121 Normal Lighting DOM-121 Back light DOM-101a3 Front Paper Money * Sep/Oct 2021 * Whole No. 335 353 Here is the note with a back light. Notice even with a busy printing area everywhere except the front oval, the Luminus layer displays prominently when back light is applied. The intaglio printing on the maiden is distinct as can be seen by this close up. In all there are five known Domtar test notes with eight varieties. Most of the varieties are color or watermark differences. Another “sandwich” substrate called Durasafe was patented by Landqart from Switzerland in 2012. As a curious coincidence, both Landqart’s parent company Fortress Paper and Domtar are from Canada. Durasafe has seen wide use on Switzerland, Cambodia, Kazakhstan, Morocco, and the Bahamas banknotes. The top and bottom layers are also banknote paper, but Landqart uses the now widely accepted polymer material as the center layer. This makes the final product more durable than paper, but still allows traditional security devices to be applied to the surface. It also allows clear windows or a window the same color as the reverse paper. So are color watermarks possible from this product? No. The clear polymer substrate is applied in liquid form, so there is no way to add multi-colored design elements. Too bad. References cited and sources of data. 1- Tracy Schmidt, “Standard Catalog of World Paper Money, Modern Issues”, 24th Edition 2 - Richard Gratton, former Technical Director for Domtar Corp. 3 - Roland Rollins, “North American Printers Promotional Sheets & Test Notes”, 2020 DOM-101a3 Reverse DOM-101a3 Back Light DOM-101a3 Close Up Paper Money * Sep/Oct 2021 * Whole No. 335 354    William D. Nutt: Assistant Treasurer, USA — Acting Treasurer, CSA  by Nick Bruyer  In February of 1861 William Nutt must have felt as if was being torn in half. For twenty-three years he had faithfully served in the U.S. Treasury Department. Now, everything seemed to be falling apart; his greatest fears were coming true. Nutt was born in the District of Columbia in 1803. Married, with one daughter, he owned a farm with a dozen slaves near Falls Church, Virginia. Each weekday he saddled his horse and commuted seven and a half miles from his farm to his job in Washington, crossing the Long Bridge over the Potomac River along the way. Although there is no record of any formal military service, Nutt went by the sobriquet of “Major” and was known to friends and acquaintances by that title. Major Nutt’s Treasury career began in November of 1837, when he was one of two hires authorized under an act providing for the issue of U.S. Treasury notes for the first time since the War of 1812. In the wake of the Panic of 1837 specie had disappeared, forcing the Treasury to find an alternative means to fund the operation of the government. Nutt managed the Treasury note program until it was discontinued in 1844. Not long after that he again was busy with treasury notes, when in 1846 they were called back into service to finance the war with Mexico. Treasury notes continued to be issued until 1848, after the war ended. It was during this time that French entrepreneur Alexandre Vattemare was in Washington to acquire books and works of art intended for the American Library of the City of Paris. In particular, Vattemare sought fine engravings, such as those of the bank note companies, for his American Album. He succeeded in obtaining a presentation album of bank note proofs from the firm of Rawdon, Wright & Hatch in New York. He also was in touch with Secretary of the Treasury Robert Walker and doubtless requested specimens of government notes and bonds. A request for samples of Treasury notes most likely would have been referred to William Nutt. Indeed, within Vattemare’s collection are a group of U.S. Treasury notes having unique “butterfly” cut-out cancels on them, one of which bears Nutt’s signature on the back. (1) This $1000 note from the Vattemare collection is endorsed on the back by William D. Nutt. (Author’s collection) Major Nutt was one of two people hired in 1837 to manage the U.S. Treasury note program. (Courtesy Heritage Auctions) Alexandre Vattemare Paper Money * Sep/Oct 2021 * Whole No. 335 356 The butterfly-canceled notes date from the period 1837-1847. They include all the denominations, special issues such as the 1843 Demand note, and notes bearing special overprints from 1843 and 1847. All are regular notes, not proofs, clearly taken from the Treasury’s stock. Some have handwritten serial numbers, indicating that they were removed from a sequence ready to be filled out and issued. One of the highlights of this group is the highest denomination of the 1837-1846 Treasury note series, the $1000. Serial numbered 66; it is lavishly endorsed on the back “Wm. D. Nutt”. As the issue of Treasury notes wound up in 1848, Nutt found work as a cashier due to the implementation of the Independent Treasury act of 1846. Under this law, government funds were moved from private banks into government “sub-treasury” facilities, including at Washington. Suddenly the Treasury Department had to perform cash deposit, transfer, disbursement and bookkeeping work formerly performed on its behalf by state banks. In the 1850s Nutt and another clerk, Anthony McClean, worked under U.S. Treasurer Samuel Casey at the sub- treasury “money branch” of the Treasury Department in D.C. As chief cashier with a staff of four, Nutt handled over $1 million in deposits and payments of specie each month and kept accounts for sixty disbursing officers in various government agencies. All Army and Navy pensions were paid through this office, as well as the salaries and expense accounts of members of Congress. Nutt served as both a teller and bookkeeper of the Washington sub-treasury. (2) When in 1856 James Buchanan won the Presidential election, Nutt was thrilled. Here was a Northern Democrat who sympathized with the South and understood its interest in the “peculiar institution” of slavery. Buchanan underscored this when he appointed former Georgia Governor Howell Cobb to be his Secretary of the Treasury. Never did Major Nutt feel more welcome and comfortable in his Treasury job than under Howell Cobb. Cobb advocated for the extension of slavery into the U.S. territories. In 1856 he published a religious tract on slavery in which he wrote, “We assert, and we shall prove, that the system of slavery in the United States, in every feature and in every particular of every feature, is essentially the same as the system authorized by the Bible”. He went on to say, “There is nothing more disgusting than abolitionism--- nothing, we consider, more wicked and mischievous”.(3) Not long after the Buchanan administration took office the Panic of 1857 struck. Soon the government ran short of funds and, once again, turned to Treasury notes to shore up its finances. Nutt’s experience with the issuance, redemption and accounting for Treasury notes immediately became useful. Congress continued to authorize Treasury notes for the duration of Buchanan’s time in office. In February 1860 Buchanan appointed William C. Price, a lawyer nationally known for his advocacy of slavery, as Treasurer of the U.S. Nutt worked directly under him, having been promoted to Assistant Treasurer of the Washington D. C. Sub-treasury. (4) In the fall of 1860 the tide of national politics turned decisively against Major Nutt and his fellow Southern Democrats. The Democrat party, severely divided between anti-slavery and pro-slavery factions, split its votes in the Presidential election. The split allowed the candidate of the young Republican party, Abraham Lincoln, to win the Presidency with less than 40% of the national votes. A deep gloom fell upon the Treasury Department. Secretary Cobb fumed over the prospect of the government being filled with “black Republicans” and abolitionists. On December 8 he resigned from his post and returned to Georgia to lead a secession congress. Buchanan replaced him with a southern sympathizer, Philip Thomas, but a consortium of New York bankers forced Buchanan to quickly replace him with a solid Union man. On January 15, 1861 John Dix, a Union Democrat and “free soil” advocate, became Secretary of the Treasury. U.S. Treasury Secretary Howell Cobb appears on this $20 Proof from Georgia. (Courtesy Heritage Auctions) Paper Money * Sep/Oct 2021 * Whole No. 335 357 Meanwhile, the credit of the United States rapidly deteriorated as states peeled away from the Union. Fear gripped the credit markets, making it increasingly difficult for the Treasury to finance the day-to-day expenses of the government. Nutt could see the writing on the wall. Several of his friends at the Treasury had quit or were planning to. He worried that the man Lincoln would appoint to be the next Secretary of the Treasury would be a Republican abolitionist, putting his job at risk. Fortunately, Nutt had something to fall back on. During the past decade his northern Virginia farm had flourished. He doubled the number of slaves tending his crops. He also had a black servant in his household. (5) In February 1861 rumors swirled throughout Washington that President elect Lincoln would pick Salmon P. Chase to be his Secretary of the Treasury. There was not another man in the entire country better known as a sworn enemy of slavery than Chase. Nutt was furious. Not only did Chase have no background in finance, but surely he would purge pro-slavery employees from the department. Nutt resigned the day after Chase became the Secretary of the Treasury. On the morning of February 25, Nutt walked into the Treasury and handed a letter to Secretary Dix. (6) Treasury of the United States February 25, 1861 Dear Sir: By invitation, I entered the Treasurer’s Office in 1837; have since occupied confidential relation to it; have conducted every issue of Treasury notes subsequently made; put into operation here the Independent Treasury Acts of 1840 and 1846, and have been at the head of that branch until now. The Republican party having prevailed, and its principles, as I understand them, from their publication at Chicago, and from the previously published speeches of Mr. Lincoln, being as I think, in vital conflict with the constitutional rights of the people of my State, Virginia, I cannot subscribe to them. To seemingly acquiesce by retaining place as long as I might, would, I think, be a departure from a cherished rule of my life, viz: to endeavor so to act, as to prove to those around me that matters of principle have no pecuniary equivalents. Therefore, I respectfully tender my resignation to take effect on 4th proximo, or as soon as the matters of trust confided to me can be examined, and I be safely and honorably relieved. I should be wanting in candor, not to admit that it will be with feelings of discomfort, after having been so agreeably associated for twenty-three and a half years in the service, I shall leave it to seek business in other fields. I am, sir, very respectfully, your ob’t serv’t, Wm. D. Nutt  Nutt set his resignation to be the day after Salmon P. Chase took office. However, he was asked to stay on for a few weeks to transition his replacement. That done, Major Nutt returned to his farm to contemplate his future. On April 12 the Confederacy attacked Fort Sumter, unleashing war between North and South. Five days later Virginia joined seven other States in seceding from the Union. Richmond became the capitol of the Confederacy. On May 23 and 24 Union forces under Brigadier General J.K.F Mansfield crossed the Potomac river from Washington. On the first night eight thousand infantry, two regular cavalry companies and two sections of artillery entered Virginia, followed the next day by over 13,000 more troops. They built fortifications and occupied the area, including the city of Alexandria, to protect Washington against attack. Picket lines were set up about three miles from Nutt’s farm. Brig. General J. K. Mansfield, depicted on this 1880 $500 Legal Tender note, sent over 21,000 troops across the Potomac to set up defenses in and around Alexandria, Virginia. (Courtesy Stacks-Bowers) Salmon P. Chase Paper Money * Sep/Oct 2021 * Whole No. 335 358 Nutt heartily endorsed Virginia’s secession. He and a friend, a former Treasury Dept. messenger named George C. Jackson, patrolled the area on horseback to surveil the Union troops. On the evening of June 8 they neared a picket line near Fort Corcoran when suddenly they were surprised by Yankee infantrymen. They were taken prisoner and brought to Alexandria’s Marshall House Inn. (7) The Marshall House became infamous two weeks earlier, when Union Colonel Elmer Ellsworth was shot and killed by its proprietor, James W. Jackson, for cutting down a Confederate flag flying from its rooftop. The flag was visible from as far away as Washington. Jackson swore the flag would be taken down only “over his dead body”. Ellsworth became the first Union officer killed on duty during the war. Jackson was shot and stabbed to death by another Union soldier, who subsequently received the Medal of Honor. Upon interrogation, Nutt and his comrade apparently convinced the Yanks that they were merely innocent civilians caught in the wrong place at the wrong time, and released. On August 1 Nutt’s farm was under Confederate control, but by the end of the month the Union Army extended its lines his doorstep. On August 26 members of Co. A of the 25th New York Volunteer Infantry entered his farm. Nutt treated them cordially and welcomed two of them into his home. Unbeknownst to them, while Nutt occupied their time with friendly small talk, he sent for Confederate soldiers at nearby Falls Church. When Rebel cavalry arrived at his farm a skirmish ensued, during which one of Nutt’s Yankee “guests”, Private David Smith, was killed. The Confederates returned to Falls Church, bringing Nutt with them. Subsequently members of the 8th New York Volunteers under General Louis Blenker seized the farm and found two salt-cured hams, ready to eat. But they soon discovered that Nutt had “salted” the hams with arsenic. Outraged at Nutt’s treachery, they ransacked his home, took his livestock, torched his house and outbuildings and burned his crops in the fields. (8) A soldier from the 21st New York Infantry described the scene afterwards: "the remains of a fine piano and other heavy furniture litter the grounds; the garden and outbuildings are sacked and destroyed, and the stock appropriated by the ravagers." Nutt fled west to his daughter’s home in Loudoun County, Virginia. Everything he had worked for over the last forty years—his career and his farm—were gone. Consumed with anger and despair, a kernel of an idea began to sprout in his mind. In time it became an obsession that would hold him in its grip for the rest of the war. Historical records document that In October 1861 Nutt did some business at the railroad junction known as Manassas, adjacent to Loudoun County. On October 8 he signed a military forage voucher for 67,000 pounds of hay. Although he had no title, it suggests he was acting as a subsistence agent for the Confederate army. Five weeks earlier, Confederate forces under General “Stonewall” Jackson had whipped Union troops there in a humiliating defeat that became known as the Battle of Bull Run. (9) In February 1862 Nutt sent a letter to Confederate President Jefferson Davis. In it he declared his readiness to serve in the military and requested a commission as a major.(10) Soon thereafter he rode to Richmond to press his request. He was disappointed to hear that it had been referred to the Confederate Treasury Department, headed by Secretary Christopher G. Memminger. There he was told that while no army opportunity was presently available to the 59-year-old former clerk, he could join the treasury immediately at $1,200 a year. Major Nutt and George Jackson were interrogated at the Marshall House in Alexandria, shown here in 1861. (Courtesy Wikipedia.com) Paper Money * Sep/Oct 2021 * Whole No. 335 359 Although deeply disappointed, Nutt reluctantly accepted the Confederate Treasury job. Still he held fast to his dream that one day he would get his commission and lead a military force to seek retribution against his Yankee enemies. Confederate treasury officials knew they had acquired a gem. Nutt found the department functioning beneath his standards and threw himself into strengthening it. By 1863 Nutt was Chief Clerk of the Treasury, second only to Treasurer Edward C. Elmore. Whenever Elmore was away from his office or otherwise disposed, Nutt served as Acting Treasurer. Nutt was to suffer an ironic indignity at the hands of the United States. On May 30, 1863 the Union Army took over Nutt’s property, pitched tents and turned it into one of five farms for escaped slaves, then known as “contrabands”. It was named Camp Rucker. Crops raised by the contrabands fed themselves as well as Union soldiers. By August the “Superintendent of Freedmen” reported that 105 contrabands resided on the farm. As Union forces grew closer to Richmond, the 3rd Virginia Infantry, Local Defense Troops (also known as the “Departmental Battalion”), was organized. Its recruits consisted of various Confederate government departments, including the Treasury. Nutt was listed as a private in Company F on a muster roll dated June 20, 1863. On January 27, 1864 Nutt again pressed his case for a military commission in a letter to Secretary Memminger. “All this time I have thought my request for an appointment not unreasonable, and that I was as fairly entitled to it as any man was... I have not made the acquaintance of the President nor do I know that he remembers anything about me, perhaps he would think a renewal of the suggestion from me, as too unimportant for consideration... I venture to C. G. Memminger, depicted here on an 1861 CSA note, described Nutt as “essential to the proper conduct of the affairs of the Treasury”. (Courtesy Heritage Auctions)  1863 map shows the “Maj Nutt” farm north- east of Falls Church and just north of Union Ft. Buffalo. (Courtesy Library of Congress) Paper Money * Sep/Oct 2021 * Whole No. 335 360 submit these views to you, before I take any action upon them, supposing you would be able to judge whether an application for commission as Major would be favorably received by the President or not.” Memminger believed it would be a great loss to the Treasury if Nutt left. He waited until July 19 to forward Nutt’s letter to President Davis, along with his comment that “The writer of this note is one of the most intelligent, useful and faithful officers in the Treasury Dept--- he is essential to the proper conduct of the affairs of the Treasury proper...” It seems that Nutt, by then 61, would never receive his long-sought military commission. During 1864 the war turned violently against the Confederacy. In late spring the government repudiated a third of its money supply. By June the credit of the Treasury collapsed. With the Union Navy effectively blockading Southern ports, many goods became rare and costly. Sending money to troops in the field became difficult and dangerous as broad swaths of territory were occupied by Union forces. The air filled with recriminations between members of the Confederate Congress and the Treasury. On June 15 Secretary Memminger submitted his notice of resignation to Congress before it could fire him. He returned to his home to sit out the rest of the war. On July 2 Treasurer Elmore resigned. Apparently Nutt took charge as Acting Treasurer during the three months until a replacement, John N. Hendren, was appointed on October 2. G. A. Trenholm became Confederate Treasury Secretary on July 20, the day after Memminger had sent to President Davis his recommendation concerning Nutt’s request. Memminger doubtless realized that his successor would need all the help he could get at the Treasury. As 1864 came to a close hyper-inflation set in, with the government issuing $50 million, and later $100 million, a month in paper money. By March of 1865 the Confederate dollar was valued at 70 to 1 dollar in gold. The Treasury was utterly bankrupt, reduced to soliciting donations of silverware, trinkets, jewelry or anything that could be melted down for silver or gold. The final issue of Confederate currency in May bottomed out at $1,200 to $1 in gold. Depository receipt signed by Wm D. Nutt as Chief Clerk of the Confederate Treasury on April 11, 1864 (Courtesy Fold3.com)  Confederate war warrant signed by Nutt as Acting Treasurer September 14, 1864. (Courtesy aocurrency.com) Paper Money * Sep/Oct 2021 * Whole No. 335 361 With no farm to return to, Nutt remained at his post until General Grant laid siege to Richmond and it was evacuated on April 2. The government fled to temporary quarters in Danville, Virginia. Fires set to destroy Confederate supplies grew out of control, forcing the mayor of Richmond to invite Union forces in to put out the flames. On April 4 President Lincoln visited the city and the Confederate White House. Everywhere he was met with the roar of cheers from freed slaves lining his path. On June 17, 1865 Nutt took the oath of allegiance to the United States at the Provost Marshal’s office in Richmond. On September 4 he received a full pardon from President Andrew Johnson. Major Nutt returned to Alexandria to find that the U.S. District Court had entered a decree of condemnation against his farm, allowing it to be sold. In October the farm was sold for $2,400 and transferred to its new owners, consisting of Judge Underwood, Governor Peirpoint and James Madison Downey, an anti-secession Virginian. (11) Downey eventually became sole owner of the farm. For the next six years Nutt battled in court to regain it. An 1867 editorial in the Washington Chronicle opined that “the Government of the United States would fail in its obligations to the true men if it allowed itself to be influenced by the example of restoring to red-handed traitors’ property that had been fairly purchased and occupied by loyal citizens”. It then reprinted a letter from Downey to Major Nutt. Downey ranted, “You have ... but one right common with all traitors, and that is, to expiate at the end of a halter the crime you ... committed when you conspired knowingly and willingly to sap the foundation of our Government and consign it and its sacred trusts to the bottom of a chaotic grave.” (12) Undaunted, Nutt fought his way through appeals all the way to the United States Supreme Court. On February 1, 1871 he won his tax sale case against Downey and the federal government, recovering his property. Major William D. Nutt passed away in Alexandria on October 20, 1889 at the age of 86. From 1837 to 1861 he managed multiple issues of Treasury notes as well as the Sub-Treasury in Washington, a record of success he could be justly proud of. But his reliance upon the vile institution of slavery to operate his farm put him on the wrong side of history. Perhaps he could have preserved both his career and his farm had he forsaken slavery? While he dreamed of revenge for his losses, he was lucky to have been cloistered in the Confederate Treasury in Richmond as the war raged and ultimately overtook him. A few fragments remain to attest to his service in both treasuries, including the unique $1000 Treasury note he endorsed, which was intended to reside in a French museum. It is remarkable that, although it surfaced at a Christies- Robson Lowe auction almost 40 years ago and has been offered in multiple auctions since, until now no one took the time to identify the prominent signature on its back. Notes (1) Bowers, Q. David, Alexandre Vattemare and the Numismatic Scene, Stack’s Bowers Galleries, 2018, pp. 43-55. (2) “The Money Branch of the United States Treasury”, The Daily Memphis Whig, Memphis, TN 30 Apr 1855, p.5 (3) Cobb, Howell, A Scriptural Examination of the Institution of Slavery in the United States, With Its Objects and Purposes, self-published, Georgia, 1856 (5) United States Census, William D. Nutt, 1860. (6) The Daily Exchange, Baltimore, MD 2 Apr 1861, p. 1 (7) National Republican, Washington, D.C. 10 Jun 1861, p. 3 (8) Evening Star, Washington, D.C. 1 Oct 1861, p. 2. Details also were recounted in a letter from Pvt. Robert A. Hubbel, Co. K, 14th New York State Vols, written from Arlington Heights, VA on Oct. 3, 1861. The name of the Union soldier killed on Nutt’s farm is noted in the Civil War roster of the 25th New York Infantry. (9) McNeil, Michael, Confederate Quartermasters, Commissaries, and Agents, Pub. Pierre Fricke, Sudbury MA, 2016 (10) Fold3.com (11) Donald W. Gunter,"James Madison Downey (1809–1884)," Dictionary of Virginia Biography, Library of Virginia (1998– ), published 2016 (12) “CONFISCATION”, The Salem Observer, Salem, NC 29 Mar 1867, p. 2 Paper Money * Sep/Oct 2021 * Whole No. 335 362 Courtesy of James Hodgson $10 SC Series 1934-A *01492085A – Face Plate 209 $10 SC Series 1934-A face plates 207-210 have the distinction of being on the press when the only $10 SC Series 1934-B plate was used. A press holds four plates, so three Series 1934-A plates were also on the same press. Plates 207-210 were previously unused during past Series 1934-A production runs. What makes this note interesting is it was printed during the time when Series 1934-B notes were the prevalent series being printed for other classes of currency. This note is printed on a brighter whiter paper typical of Series 1934- B notes instead of the greyish paper used to print Series 1934-A notes during World War II. The white paper really accentuates the blue overprint on this note. $100 FRN Series 1934-A A00029003* Plate #5 was the only $100 Series 1934-A face plate used to print 1934-A Boston notes. This note is one of 3000 $100 1934-A star notes printed from A00026601* to A00038600*. Bureau of Engraving and Printing records indicate the last star serial number for $100 Series 1934 to 1934-D Boston Federal Reserve Bank was A00038600*. Using plate data from observed notes, it was determined the last run was 12,000 notes, which includes all reported $100 Series 1934-A star notes. A printing press holds four plates, and since only one Boston $100 Series 1934-A plate was used, the number of 1934-A notes would be one-quarter of the 12,000 printed, or 3000 notes. Series 1934 plates 2, 3, and 4 were the other three plates on the press and account for the remaining 9000 notes printed in the run. Paper Money * Sep/Oct 2021 * Whole No. 335 363 POP ART ICON ROBERT DOWD: CURRENCY AS ART By Rick Melamed We paper money enthusiasts like to think government issued currency can also be categorized as works of art. While the images contained on the actual notes often have a compelling artistic component, most people would just consider them money. But in the hand of an accomplished artist, the theme is reversed: money changes from a financial instrument to a captivating work of art. Robert Dowd (1936- 1996) a renowned pop artist made a career by turning regular everyday items into something memorable. Just as his contemporary Andy Warhol did with Campbell soup cans and Brillo boxes, Dowd did the same for U.S. currency. Robert was a shy, thoughtful gentleman. He was a voracious reader, an intellectual who had a brilliant career exploring the complex relationship between people and money. On the surface, money is just a piece of paper that has no intrinsic value like silver and gold coins. Currency’s value is based in our trust of the government. Taking that relationship a big leap beyond, Dowd extends our trust onto the canvas. If we assign value based on faith (of a piece of paper money), does that faith extend to a painting of currency? What on the surface appears to be just a simple work of art, is actually something much deeper. Dowd’s art is a real paradox open to many interpretations. Some are whimsical, some are profound – they’re mostly colorful…and all are wonderful. Robert Dowd (on the right) was born in Grand Rapids, Michigan in 1936. After his discharge from the U.S. Marines in 1957 he entered the Society of Arts and Crafts/Center for Creative Studies in Detroit, Michigan where he studied painting. In 1958-59 he began drawing common objects, including “STOP” signs. In 1960, he moved to San Francisco and began painting images of postage stamps. In 1961, Dowd moved to Los Angeles and began work on his extensive series of currency paintings. By 1962 he gained fame with his pictures of money. Robert painted a full range of currency: large sized, small sized and fractional. His artwork was embraced by the art community and made its way into galleries and museums. In 1962, Dowd married fellow artist Mara Devereux. It was a strong marriage and both their careers prospered. She was with Dowd until he died in 1996. Devereux, who is still alive at 97, said in 2013: "Robert was the one who told me, made me realize, I am a free spirit. He wanted me to express that. I had never been told that before him. And he was a genius." In the 1960’s the pop artists grew in popularity and became the defining art movement of the period. Along with Dowd’s contemporaries (e.g. Roy Lichtenstein, Andy Warhol, Jim Dine, Phillip Hefferton, Edward Ruscha, Wayne Thiebaud), the common and colorful images of everyday things became mainstream and “Pop Art” usurped abstract expressionism as the most popular art form in the public’s eye. Gone were formless drip paintings of Jackson Pollack replaced by paintings of items familiar and instantly recognizable. A painting by Andy Warhol of (200) one-dollar bills sold for $43.8 million a few years ago. High art indeed! Paper Money * Sep/Oct 2021 * Whole No. 335 364 The $10 “BUX” painting on the first page and the $5 “CASH” painting shown on the left are examples of Dowd’s grasp of one of the most basic parts of everyday life. Money has a universal reach, but beyond the financial institutions and banks that are driven by the abstract meaning of money, Dowd has redefined it to the street level. For the common folks, it is not about the concept; it is about the actual, physical money - cold hard cash. The term “CASH” is as basic as it comes. But then again, Robert simplifies the concept even further by shortening the 5-letter word “BUCKS” to 3 letters: “BUX”. SHREDDED ART SERIES By reducing money into fragments Dowd was mimicking the government’s practice of shredding old worn money when it was taken out of circulation. While the shredded money no longer has any purchasing power, Dowd still viewed it worthy of artistic interpretation. Shown below is a reconstructed $5, $10 and $50 bill. The out of sequence positioning of the note strips could be viewed as a metaphor of life. After all, isn’t life a series of random events? Asked why he loved to paint money as a cultural image, Dowd was quoted: “Money is a powerful blend of American literature, document and symbol. Forget that it illustrates a complete monetary system of unimaginable proportions or that it represents destinies of nations and men. What we are dealing with here is a marvelous form of American literature of epic proportions in the proud tradition of P.T. Barnum and tabloid journalism.” DOWD MASTERPIECE: LINCOLN $5 TOMB This somber painting of Abraham Lincoln was purposely composed as a tombstone. Entitled Lincoln $5 Tomb – it portrays Lincoln as a victim. Dowd snuffed out the former president’s eyes and mouth implying his life was suddenly taken from us. The aura of death is further reinforced by the black background. The misspelling United States to “NIED STAT OF A” and Five Dollars as “FIVF DOLAP” could possibly point to confusion of life in the United States at the time of Lincoln’s assassination. The depiction is poignant and heartfelt and considered one of Dowd’s masterpieces. Paper Money * Sep/Oct 2021 * Whole No. 335 365 Lincoln was a favorite subject of Dowd; he painted his portrait often. Robert frequently omitted letters and numbers. The painting on the left drops the final “E” in STATES. The image on the right is missing “T” in UNITED, the “E” in FIVE, the “E” in FEDERAL, one numeral in the serial number, etc. DISASTER AT THE TREASURY PAINTINGS The pair of “Disaster at the Treasury” paintings is another example of Robert’s wit. The grand neoclassical Treasury building exudes a powerful authority. But in the hands of Dowd, he deconstructs that authority as the building is laid siege by a fire and a tornado. It does not seem like a coincidence that the “IN GOD WE TRUST” motto is partially obliterated by the twin disasters. The handwritten description at the bottom of each painting reflects his liberal viewpoint. With the calamities at the Treasury building, the power temporarily moves from the government to the common people. A dream scenario for the anarchists of the late 1960’s is realized. The caption on the bottom of “Fire at U.S. Treasury (1968)”: The great U.S. Treasury fire: 12:42 p.m. fire broke out on the top floor of the Treasury Building, sending clouds of black smoke into the Washington sky. A major threat to our nation’s money supply was averted when hundreds of on-lookers dashed into the building, jammed their pockets full of new bills and ran for safety. Many are still running.” The caption under “Tornado at U.S. Treasury (1968)”: A deadly tornado ripped through the U.S. Treasury Building yesterday destroying the structure. Officials said the twister sucked up one hundred million dollars and it’s believed the money is swirling around in the “eye” of the tornado. Towns in the storm’s path report people are standing in open fields with bushel baskets” Paper Money * Sep/Oct 2021 * Whole No. 335 366 THE SECRET SERVICE AND FBI TAKE AIM AT DOWD AS A COUNTERFEITER Creating currency paintings came at a steep cost to Dowd. The height of Robert’s popularity in the 1960’s came at a time of social unrest. The FBI and the Secret Service viewed the growing anti-establishment movement with suspicion sparking claims that by painting pictures of money, it implicated Dowd as a counterfeiter. Dowd was caught in the crosshairs as he was investigated and persecuted by the government agencies. What was ignored was the art community’s assertion that Dowd’s right of freedom of expression was being suppressed. It seems laughable by today’s sensibilities that paintings of currency could be considered counterfeit. But things were different 60 years ago and unfortunately for Dowd his fascination with painting currency caught the attention of the Secret Service who was working with FBI on the investigation. Dowd explains that in 1963, two agents from the Secret Service knocked on the door of his studio. They took him to the Federal building in downtown LA, where they sternly read to him a litany of counterfeiting laws that he was breaking. From Dowd: "They were attempting to intimidate me with all these threats. It was really a matter of them attempting to tell me that if I continued to paint money, that I would be arrested for counterfeiting; that I was breaking the law. They did have some work of mine that they had confiscated as contraband. They told me they were going to museums and collectors and confiscate all the paintings out of the collections. My situation as a young artist, struggling at that point, was that I certainly didn't need any major problems added onto my life at the moment, in terms of survival and trying to do my work". During the period he was investigated, Robert found that many of his paintings he had in storage were ripped to shreds, missing and/or destroyed. The paintings were a year’s work and were intended for a gallery showing. Dowd suspected the FBI was involved but nothing ever came of it. Dowd stopped painting currency and switched to postage stamps (though he did continue to paint currency privately). DOWD’S HOMAGE TO GREAT ARTISTS Dowd’s veneration for Vincent Van Gogh is wonderfully executed on this pair of $1 bill paintings. Stylistically Dowd copies the style of the great post-impressionist master with sublime nuance. The first image in the upper left is the actual Van Gogh self-portrait. The others are $1 FRN’s with Van Gogh’s self- portrait inserted in George Washington’s usual spot. Paper Money * Sep/Oct 2021 * Whole No. 335 367 The admiration of the great masters continues. In this painting, Dowd appropriates Picasso’s iconic Portrait of a Woman with a Hat for the note’s portrait. Considered one of Picasso’s last masterpieces – it was created in 1962, when he was 81 making it contemporaneous to the $1 Picasso bill painting. In keeping with the vibrant theme, Dowd employs bright, cheery colors in the note’s background. The great post-impressionist painter Paul Gauguin (a contemporary and friend of Van Gogh) is beautifully executed by Dowd in yet another $1 bill painting. On the right, Self-Portrait with a Yellow Christ, an 1890 Gauguin materpeice, is front and center in this Dowd depiction. Note the use of orange in the seal and serial numbers. It is a central color theme of Gauguin’s work that Dowd used in his rendering. In the painting on the left, Robert pays his respect and reverence to pop art icon Roy Lichtenstein. Even for those who are not knowledgeable about modern art should be familiar with Roy Lichtenstein’s style. His work defined the premise of pop art through parody. Inspired by the comic strip, Lichtenstein produced precise compositions in a tongue-in-cheek manner. Lichtenstein worked in primary colors and often included Ben-Day dots, all the same size and used mostly as a cheap way of rendering color in comic books. The painting shown on the right, Reverie, is classic Lichtenstein which Dowd employs on his Lincoln $5 bill. The caption: “MAYBE IF THINGS WORKED OUT...I’D BE ON A BIGGER BILL!” is Dowd using Lichtenstein’s often sullen introspection of comic book characters in his depiction of Lincoln. Paper Money * Sep/Oct 2021 * Whole No. 335 368 Dowd has a little fun and gives himself an ego boost with this disarming self-portrait. Looking quite dapper in a vintage bowler hat, crisp oxford shirt and neatly trimmed mustache, Robert is the picture of serenity. Note his name under the portrait. As he has done frequently in the past, Dowd executed this painting as part of his ‘folded money series’. Robert inserted a portrait of Albert Einstein on this ‘folded series’ painting of a $50 Federal Reserve note. It is cleverly titled E=MC 50”. America’s greatest general, U.S. Grant, has been replaced by history’s greatest physicist. Some could argue that Einstein turned science into art. Note the E=MC2 equation (Theory of Relativity) below the portrait. DOWD ON FRACTIONAL CURRENCY Much of Dowd’s currency painting was just a straight artistic interpretation. Shown are 4 different fractional notes. The first is a 3¢ 3rd issue fractional. The background behind Washington is decidedly dark; hence, it is an Fr. 1227 - dark portrait note. The rendering is quite accurate with some green shading. The 4th issue 10¢ Liberty fractional is faithfully reproduced albeit in a softer manner. With the 5th issue 25¢ (Walker) and 50¢ (Crawford) Fractional, Dowd took more artistic liberties. The portrait and seal have the feeling of a charcoal drawing Paper Money * Sep/Oct 2021 * Whole No. 335 369 OTHER DOWD CURRENCY PAINTIGS First row: The $10 Hamilton note is another example of Dowd omitting numbers and letters. The $50 FRN of Grant in another in his ‘folded currency note’ series. On the $20 FRN, Jackson’s portrait opens to reveal a bank with money pouring out…implying an endless amount of cash available at the bank. 2nd row: Undated $100 FRN and 1900 $10,000 gold note. 3rd row: 1840 $1,000 Bank of the U.S. note; 1934 series $100,000 gold certificate with the portrait of Woodrow Wilson. 4th row: Impressionistic rendering of a $1 FRN back apltly entitled Half Dollar; 1990’s era colorful $100 FRN – note the ubiquitous bar code in the upper left corner. Paper Money * Sep/Oct 2021 * Whole No. 335 370 In this final painting, Dowd produced a softer rendering of the iconic 1896 $1 Educational Note. The top is Dowd’s work entitled $1 Silver Dollar. The bottom is the actual U.S. issued note. Dowd subtly omits many elements such as the names of famous Americans within the reef of laurel leaves, the stars on History’s sash, the text on the Constitution tablet, the titles under Tillman/Morgan’s names, or any of the printing above/below “ONE SILVER DOLLAR.” Also notice how UNITED STATES of AMERICA” morphs into UNITED STAES AMERICA.” You can sense Dowd pushing the limits, challenging us to notice what is missing. If pop art is defined as taking ordinary popular culture and imbuing it with a deeper meaning, then Dowd has certainly succeeded. He understood the the abstract value placed on a piece of paper (currency) is complex. The messages contained in his paintings are thoughtful and worthy of deeper contemplation. His paintings of money stand the test of time and while he was not as famous as Warhol or Lichtenstein, his contribution to the artistic community are nonetheless important and have a lot to say about the world around us. There is no arguing that Robert Dowd was a pop art icon. Unfortunately he died of advanced kidney disease at the young age of 60. Being an independent artist, he never had health insurance and could not afford a kidney transplant or the dialysis treatments that could have prolonged his life. A sad ending for a artisically productive life. He passed away in Los Angeles in 1996. Much thanks must be extended to the Frederick R. Weisman Museum of Art and Pepperdine University for their seminal work on Robert Dowd – Pop Art Money (2009). Also to the late Michael Zakian, author of the Dowd Catalogue. Finally to my son David who aided me on the editing of this article. Paper Money * Sep/Oct 2021 * Whole No. 335 371 The Numismatic Side of the Siege of Mafeking by Steve Feller During 1899 the Boers (fierce people of European descent in South Africa) and the British forces in the region prepared for war for a second round. On October 13, 1899 the town of Mafeking in the Transvaal Republic was besieged by the Boer forces. This siege lasted a long 217 days. About 2000 British troops under the command of Colonel Baden-Powell (known by his troops as BP) defended the town until it was, at last, relieved. This war has been called the last of the gentleman’s war but it was far from that rather it was a hard and brutal affair. Significantly, the siege of Mafeking has a rich numismatic history. By January 1900 coin was scarce and siege paper currency started to be issued in Mafeking. It was initially printed by Townshend and son in Mafeking and the emissions were of three distinct types: The lowest set of denominations of one-, two-, and three-shillings, the ten-shilling note, and the one-pound (or twenty-shillings) note. The one, two, and three shilling notes were issued January and February 1900 while the ten-shilling and one- pound notes were issued in March, 1900. One- and two-shilling notes were printed but not used in March. Full details are given in John Ineson’ s marvelous book, Paper Currency of the Anglo-Boer War, 1899-1902 and are briefly summarized here: The number of notes issued were: One-, two-, and three-shilling notes: 13,493 Ten-shilling notes: 7,000 One-pound notes: 683 Total number of notes printed: 21,176 Map of the Boer War in South Africa. Note the site of the Siege of Mafeking in the northeast part of the region. Paper Money * Sep/Oct 2021 * Whole No. 335 372 The notes are scare but obtainable from reputable dealers such as Colin Narbeth. Many varieties exist as well. The notes sell today from hundreds to thousands of dollars each. One-shilling Mafeking Siege note, January 1900. Two-shilling Mafeking Siege note, February 1900 (Colin Narbeth). Three-shillings Mafeking Siege note, January 1900 Ten-shilling Mafeking Siege note, March 1900. Note printer name at bottom. Error 10-shilling note. Note Commaning not Commanding Paper Money * Sep/Oct 2021 * Whole No. 335 373 However, the one-pound note, the most decorous and desirable of the notes, went through a rather laborious and curious process of manufacture. The notes are like miniature blue prints. The process was described by one of the signers of the notes, Captain Herbert Greener. His diary has been published and provides a fabulous description of the printing of the notes. He is quoted in Inside Mafeking “A Monument to British Pluck” The Diary of Herbert Greener: “In February (1900) the gold began to run short so we discussed the issue of a £1 note. I suggested something more elaborate than the small notes and BP (Baden-Powell) drew a design on wood which was cut out by G. Riesle, who had some experience in the making of in the making of wood blocks. It depicted two men at either side, one firing a machine gun and the other a 7 pounder, with a shell exploding between them, and above, in the smoke of the explosion, were the words ‘One Pound’.” “BP was not satisfied with the result so drew another design, this time on paper. It was a picture, more suitable for an engraving than a wood block that Riesle could produce. In the centre was the ‘Wolf’ (the mortar made by the railway workmen); beside it stood a trooper of the Protectorate Regiment clasping his rifle with bayonet fixed; below him, as though under his protection, knelt a woman with a child in her arms; on the right a troop of the BBP shooting over the top of his rocky position at Cannon Kopje; on the left one of the Town Guard, with rifle in hand behind his sandbag defences. Above all on a pole at the back, floated the Union Jack with the two words ‘Mafeking Besieged’, one on either side of it and in the background, behind the figures under the flag, in feint letters, was ‘ONE POUND’. It really was a work of art and it seemed a pity not to make use of such a typical design, but Whales (the printer and editor at the newspaper ‘The Mafeking Mail’) had no apparatus for reproducing it as a print and we were giving it up and falling back on the wood block when E.J. Ross, a partner of Alfred the auctioneer, and who was an amateur photographer suggested reproducing it by photography.” The note producers settled on a chemical process to make the notes. Greener describes the process in his diary: “Ross photographed the picture which was drawn in black and white, and printed a copy. It was a great success as a photograph but was not suitable for the purpose for which it was required. He suggested it would look well on what is known as a ‘blue print’, for which the surface of a suitable paper could easily be prepared by sensitising it with a solution of ferro-cyanide of potassium.” However, there wasn’t that chemical in Mafeking. A post runner was sent to the North to secure the compound but the wrong chemical was sent! A second try was dispatched but it was captured. A third try was successful. After getting the process to work it took 15-20 minutes to produce a note after exposing it to the strong sunlight of Southern Africa. Robert Baden-Powell, 1896, just before the Siege of Mafeking (National Portrait Gallery, UK). Paper Money * Sep/Oct 2021 * Whole No. 335 374 The finished “blue print note” was quite similar to the original drawing. Below is the uniface note in its full glory. The historic £1 note of the siege of Mafeking. Close-up detail of the historic £1 note of the siege of Mafeking. The actual “Wolf” was homemade in Mafeking as were the cannonballs (National Army Museum Study collection,). The Wolf today. It is a 4.5 inch howitzer that resides at the Firepower Museum in London. The Bechualand Protectorate one penny embossed stamp on the £1 note Some of the notes had printing difficulties due to the awkward process used. Blotches occurred near the end of the run of 683. Paper Money * Sep/Oct 2021 * Whole No. 335 375 683 notes of the £1 note were printed; few were redeemed. By the end of December 1907 Ineson says just 44 were redeemed and by the end of the redemption period (15 September 1910) a total of 59 one-pound notes were redeemed. This left 683-59 = 624 souvenirs for collectors to have a chance at. Other Items: Other numismatic related items are known from this siege or from one of the other simultaneous sieges. Representative ones from Mafeking are reviewed here. 1. The Women’s Laager (Camp) Pass. The women’s camp was established within the siege area but away from the fighting. A pass was required to leave the camp and to return to it. Ross prints the £1 note in Mafeking (Australian War Memorial) The Standard Bank of Mafeking during the siege. (Ineson, Paper Currency of the Anglo-Boer War, 1899-1902) The Women’s Laager Camp Pass An image of the Woman’s camp during the siege of Mafeking. This picture was taken by the rector of Mafeking, Rev. W.H. Weekes  Paper Money * Sep/Oct 2021 * Whole No. 335 376 2. Food coupons--Communal food fed the troops as well as the native population. Major Godley in Mafeking. He later became a general and commanded New Zealand forces in WWI. 3. Stamps The Mafeking Post Office continued throughout the siege. Runners were used to get the mail past the Boers and, internally, cadets (precursors to the Boy Scouts) on bicycles delivered the mail. At the end of March 1900 stamps began to be revalued by a surcharge overprint, see the illustration below of a 2-pence stamp with a 6-pence surcharge. Many similar Mafeking “Besieged Stamps” stamps are known. This was for mail being secretly sent out of Mafeking past the Boer defenses. The surcharge covered the added expenses of the runners. For internal use between “dingy holes,” where people lived, other stamps were issued. By early April two locally-produced stamps were issued, the so-called Mafeking blue stamps. These were produced by the “Mafeking Mint” using the blue print technique used previously for the £1 note. These very attractive stamps were produced in 1- and 3- penny denominations. From Inside Mafeking we further learn of the one pence stamp: The penny one (stamp), bearing the design of the messenger riding a bicycle, also has its history. The messenger was a boy named Goodyear, son of Captain Charles Goodyear, the well-known quartermaster of the BBP at one time. I took a snapshot of him posed in rather an unsteady position on the road, as though riding a dispatch, with the down pedal resting on a stone. In addition, the three-pence stamp has an interesting history. At first Paymaster Greener and his coworkers thought of putting Queen Victoria on this stamp. However, the modest use of the stamp made them switch to using Baden-Powel instead. His photograph was taken and it was trimmed to use as the model for the “blueprint” stamps. Twelve stamps per sheet were printed. BP actually questioned why the Queen wasn’t selected and this modest use A Mafeking coupon for 2 quarts of Sowen, a kind of porridge. This was for a family (Colin Narbeth). Major Godley issued this ticket for free sowen for the Mafeking Garrison (Colin Narbeth). Paper Money * Sep/Oct 2021 * Whole No. 335 377 reason was given to him. He is quoted by Greener as not really liking it but allowing his portrait to be used after they had all been prepared already. The stamps are scarce today and very popular among philatelists. Varieties exist. A three-pence siege stamp of Mafeking, unused, 1900. This stamp featured Baden-Powell himself from a photograph taken within Mafeking (Robert Siegel). 2-pence stamp with a 6-pence surcharge A one-penny siege stamp of Mafeking, postally used in May, 1900. The C.G.H. in the cancellation stands for Cape of Good Hope. Close up of the rider on the one-penny stamp. The Mafeking post office was also where low denomination notes were printed (Ineson). London rally celebrating the end of the siege of Mafeking, May, 1900 (Wikipedia). Paper Money * Sep/Oct 2021 * Whole No. 335 378 The siege ended on May 17, 1900. It had lasted 217 days. This was massively celebrated throughout the United Kingdom. I now have a much better appreciation of the meaning of “Mafeking” in British history. Formal portrait of Major-General Robert Stephenson Smyth Baden-Powell, 1st Baron Baden-Powell that is in the National Portrait Gallery, UK. It was made in 1912 (National Portrait Gallery, UK). Bibliography Robin Drooglever (ed) Inside Mafeking”A Monument to British Pluck” The Diary of Herbert Greener (Token Publishing: Honiton, Devon, England) 2009. John Ineson, Paper Currency of the Anglo-Boer War, 1899-1902) (Spink: London) 1999. Paper Money * Sep/Oct 2021 * Whole No. 335 379 U N C O U P L E D : PAPER MONEY’S ODD COUPLE Joseph E. Boling Fred Schwan Warsaw Uprising Propaganda - NOT By 1 August 1944 Soviet forces were approaching Warsaw, and called for the Polish home army to rise against the German occupation forces. Expecting help from the Soviets, the Poles fought for two months while the Soviets sat and watched. Warsaw was destroyed, along with the Polish forces. During this period some Polish notes were stamped with propaganda messages. These were little known to collectors until the 1980s, when a small hoard was dispersed. At the time World War II Remembered was written, we knew about them but little else. They are discussed on page 366, but not given catalog listings. Now, as old collections are broken up, some are re-entering the market. These overstamped notes predate digital printers—but not Xerox machines. In 2017 David Seelye asked me to examine some, and I discovered that every black overprint I handled had been created on a Xerox copier. Of all pieces available to me, only a single example stamped in faded blue ink on a badly stained note appears to be original. On many pieces, even at 20x magnification it is difficult to see the tell-tale stray bits of black toner that escaped from the applied image. A few are less well “printed,” and one shows distinct evidence of having passed over a roller on its path through the copier that damaged the black toner while it was still hot and malleable. Figures 1-4 show examples of the four “stamps” known from this group. Figures 5-7 show parts of the “stamp” in figure 2. Hopefully in the magazine you will be able to see the clouds of stray toner that lie outside the image. Fig 5 is the letter “W” inside the bottom of the large “V” of figure 2. Fig 6 shows the top right arm of the “V.” Fig 7 is the letters at the lower left of the “stamp” of fig. 2. See Figures on Boling Continuation page 383. Location, location, location As you know, I am more than a bit eccentric. I collect the entire country—large size, small size, the whole banana. When I finished my type set, I moved on to collect examples from each state. Territories? Sure if I ever got an opportunity. National bank notes? No. I collect United States defense and war bonds! The situation with war bonds is Joe’s fault. He pushed me into the bonds in the early 1990s and I have excitedly pursued them ever since. The similarities between collecting these bonds and collecting nationals are remarkable. Defense and war bonds (collectively henceforth war bonds) were issued in two distinct sizes. They were issued in every state and (probably) in all territories. The bonds were issued at far more places than were national bank notes. Just start with the idea that the bonds were sold by all national banks. They were also sold at post offices, other banks and at many grocery and shoe stores. A very interesting little twist is that you can collect bonds that were issued by national banks. I am dabbling in that a bit myself. I only collect nationals from one county (Ottawa county, Ohio). The county had only three national banks (six different titles, but that is a story for another time). I have notes from all three (six) banks, but have found a war bond from only one. Determining (estimating) relative scarcity/rarity of a bond by state of issue is an art akin to doing the same thing for nationals. The general assumption is that rarity correlates largely with the quantity issued. Mainly we do this because with the bonds, as with national bank notes, we have good ideas as to how many were printed and issued, but less accurate data, if any, on how many were redeemed and destroyed. Then there is the question of how many remain of those that were not redeemed. With the bonds there is one additional consideration. A substantial number of bonds that were redeemed AND cancelled escaped destruction and are available for collectors today. As you would expect, states with small populations are most likely to have had fewer bonds than states with larger populations. It will not surprise you that Nevada had the lowest bond sales of any state. With a wartime Paper Money * Sep/Oct 2021 * Whole No. 335 380 population of just over 100,000, the state had about $50 million in bond sales. Compare this with New York at $4,834,219,000 in sales. It was when I found a Nevada bond that I got hooked on collecting by state. I figured that if I had the rarest one, the rest would be easy. Right? Well, of course, we know that an item may well not be the rarest just because it had the lowest production or sales, or the highest redemption. There are always other factors. Hoards, and just plain luck (good and bad) play parts. Still, I was excited to start with my Nevada bond. The next four states in order of sales from scarcest to less scarce are Vermont, Wyoming, New Mexico, and Delaware. Nothing too surprising in this list. Not only do all four of these states have small populations, but they are ALL missing from my collection! As often happens I have loosened my standards since I started. Collectors often restrict themselves to uncirculated notes, but soon discover that such a standard is hopeless for nationals. I have loosened my standards so much that I am willing to accept a SCAN of bonds from any state that I do not have. You can help me! Do you have any war bonds from states that I do not have? In addition to Nevada, Vermont, Wyoming, New Mexico, and Delaware, I need images (or bonds, please, please, please) of: Utah, Maine and Kentucky. What state is it anyway? The state of issue is often not as clear for war bonds as for nationals. War bonds were registered in the name of the buyer. The bonds also identified as to the issuing agency. This identification was usually by rubber stamp, but many other methods were used. Finally, for redeemed and cancelled bonds, the location of this final activity was often indicated. Ideally, all of these locations would be in the same state. Often this is not the case. It was very common for bonds to be sold by payroll deduction. In the case of Army personnel, the bonds were issued with a Chicago issuing agency stamp and mailed to the various states. From the point of view of collecting bonds by state, most of those bonds are not of much interest. However, if the bond were registered to and sent to a soldier in Alaska, I would be excited about it. I have quite carefully avoided mentioning bonds from the territories—I wanted to build up to them! Just as with national bank notes, the territories provide the most interesting challenges and opportunities. The most obvious non-state entities are the District of Columbia, Territories of Hawaii (TH) and Alaska. The first two are well known and perhaps surprisingly not rare. Indeed the district and TH had very high per capita sales. TH bonds are not rare, but they are popular and sought after. Additionally, they were issued with and found with various commemorative stamps making them even more desirable for collectors. What is the situation with Alaska? It is very simple. Collectors have been searching but none are known, reported or even hinted at and few clues. Certainly they were issued and likely some remain out there for collectors to find. It will be headline news when the first Alaska war bond is found. Government reports that I have been able to find include report of three additional territories (from most sales to least): Puerto Rico, Canal Zone, and Virgin Islands. Of these three, bonds are reported only for Puerto Rico. For the Canal Zone some sales promotional items are known in collection. For the Virgin Islands even less. Alaska Defense Command Certificate Puerto Rico Band Paper Money * Sep/Oct 2021 * Whole No. 335 381 Surprisingly there are more possibilities and reports. The clearest case is the Philippine Islands! A bond is known from Guam with a typewritten annotation in the margin that it was issued on Guam. There are other possibilities too. What about American Samoa and Guantanamo Bay, Cuba? Here is a really tantalizing idea. Bonds were sold at United States embassies around the world to staff and Americans who visited the embassies. That means that it is at least in theory possible to find defense bonds sold in Berlin or Tokyo before Pearl Harbor. No bonds sold at embassies have been found and identified—yet. It is very possible or even likely that most of these bonds have sales agency stamps that are not obvious as to place of sale, but it is equally likely that many of these (if we can find any) will have some sort of identification obvious or otherwise. The images of the small size Puerto bond and Philippine Islands bond are courtesy of Jim Downey. Please do dig out any war bonds that you have in the hope of filling in some of my holes! Puerto Rico Soldier bond (above) & Canal Zone $200 Bond Certificate (below) TH and Philippine Island Address TH bond issued Pearl Harbor Day 1942. Paper Money * Sep/Oct 2021 * Whole No. 335 382 Boling continued: Figure 1 Figure 2 Figure 3 Figure 4 Figure 5 Figure 7 Figure 6 Paper Money * Sep/Oct 2021 * Whole No. 335 383 Figures 8 and 9 are the left and right sides of the outer circle of the image in figure 4. Note the vertical lines created by something that scraped across the image while it was still hot and soft. Figure 10 is the single piece I have seen that appears to have a genuine rubber stamp. Figures 11-16 are pairs of the same portions of the blue and black images of figures 10 and 1. Figure 8 Figure 9 Figure 10 Figure 11 Figure 12 Paper Money * Sep/Oct 2021 * Whole No. 335 384 Watch for these propaganda “overstamps,” and do not be deceived. Figure 13 Figure 14 Figure 15 Figure 16 Paper Money * Sep/Oct 2021 * Whole No. 335 385 Chump Change by Loren Gatch Paper Money Fifty Years Ago Traditionally, for me summer is the perfect time to procrastinate. This year has been no different. Earlier this spring, Editor Benny Bolin solicited the SPMC Board’s help in constructing a proper index of back issues of Paper Money (on our website, you can do keyword searches of our archived issues, but somehow the results are unhelpful). I gamely committed to indexing a five-year span from 1969 to 1974 (that’s Whole Nos. 29-54) and then left the poor Excel file in my email inbox to rot away from neglect. By early August my remorse grew so strong that I finally threw myself into the task. With my modest chunk of the indexing project now done, I thought it worthwhile giving my impressions of what our journal, our organization and our hobby looked like a half a century ago. Then as now, Paper Money recognized the people who make our organization happen. Just as our present issue honors the contributions of Fred Reed, so too did we once salute the legacy of stalwarts of the hobby like the remarkable William A. Philpott, Jr. Philpott’s final article, on 1914 Series Federal Reserve notes, appeared in the same Winter 1972 issue as did his memorial notice. Aged 86, the man died happily in his traces. With their passing, the old authorities gave way to new stewards of the hobby. The Fall 1970 issue profiled an already-accomplished numismatic author named Peter Huntoon who, having just polished off his PhD in hydrology, promptly embarked on a career of researching and publishing that is still going strong after a half century (in contrast, by 1970 I had just managed to complete my merit badge in coin collecting). Likewise, a young Wendell Wolka had begun writing about banking and currency in Indiana, even while shouldering the duties of SPMC librarian. I mean no disrespect to our forebearers in saying that, back then, the journal looked drab. Color illustrations were still two decades away. If anything, these limitations put an authorial premium on descriptive precision to make up for the relative lack of imagery. In various ways, some less obvious than others, the Paper Money of 1969-1974 was simply a different publication. This reflected the state of the hobby itself. Much of what we know about state obsolete and national bank notes hadn’t yet been written or published. As a result, great effort went into the basic descriptive listing and classification of various issues. Harry Wigington’s work on Montana (Spring 1973) or Burgett’s and Lindsay’s on Kansas (Fall 1970) are good examples of this. During these years, coverage of world notes, never a strong point for our group, actually compared well to our present day, thanks to regular contributors like Richard A. Bányai and Mati Tiitus. Otherwise, some concerns are perennial. In 1970, Guy Cruse called for consistent grading standards (good luck with that!). Collectors fretted about the damage inflicted by the polyvinyl chloride in their holders. And, in July 1974, Huntoon inveighed against the “menace” to collecting posed by doctored (especially washed) notes. Given the relative difficulty of acquiring news and information in a pre-internet world, our journal served functions that it no longer does. Then, Paper Money formed the backbone of a clubby and intimate collectors’ community. Short, unsigned articles reported not just on hobby goings-on but on how the wider world affected “syngraphics” (a term invented about that time). The Spring 1970 issue described the attempted takeover of the American Bank Note Company by some upstart conglomerate. By early 1974, the resignations of Treasury Secretary Schultz and Treasurer Banuelos promised new signature combinations on Federal Reserve notes. That same year came word of a fellow named Lyn F. Knight who had established a mail order business in coins and currency out of Kansas City. Fifty years ago the paper money hobby was not just younger, but arguably more dynamic than it is today. My indexing chore ended with the November 1974 issue, which covered the SPMC’s 14th Annual Meeting. There, Secretary Vernon Brown reported that membership hit an all-time high of 2,042. The journal was moving from publishing four, to six, times a year. At the time, these meetings coincided with the yearly ANA convention, and Editor Barbara Mueller’s commentary bristled with indignation at perceived slights inflicted upon our organization by the ANA’s convention organizers. In all this, there was a confidence and brashness about the future that we would do well to revive. The very connectivity that the internet now provides weakens the rationale for groups like ours. Collectors have become, in a phrase Wendell Wolka once used, “lone wolves” pursuing their hobby online, and in isolation. More than just a source of information, Paper Money of the 1970s defined a community. It should do so once again. Paper Money * Sep/Oct 2021 * Whole No. 335 387 The Obsolete Corner The Erie and Kalamazoo Rail Road Bank by Robert Gill To all my paper money loving friends, I hope this has been a good year for you in your hobby endeavors. As the fall season is approaching us, it has been pretty rewarding so far for me in adding to my collection. And I'm hoping the upcoming Long Beach show in late September will have something for me. And now, let's look at the sheet that I'm going to share with you in this issue of Paper Money. So, let's go up North, and look at The Erie and Kalamazoo Rail Road and its Bank, operating out of Adrian, Michigan and Toledo, Ohio. My pictured sheet is tattered and in not very good shape, but oh is it a rare one! In early 1800s America, construction of railroads caught the interest of rail fans, business entrepreneurs, and investors west of the Allegheny Mountains. With a nominal capitalization of $1,000,000, of which $100,000 was paid in, principally by six investors in Adrian and Port Lawrence, The Erie and Kalamazoo Railroad Company was incorporated on April 22nd, 1833. This was done under special act of the Territory of Michigan, now the State of Michigan, for the purpose of constructing and operating a railroad from Port Lawrence (now Toledo, Ohio, which was then claimed to be in the Territory of Michigan) on Lake Erie, to Adrian, in Lenawee County, Michigan Territory, and then on across Michigan Territory to the head waters of the Kalamazoo River. This would give access to Lake Michigan. When the boundary dispute was settled, Toledo was declared to be within the limits of the State of Ohio, and the Rail Road was incorporated on April 4th, 1852, under the general laws of that State. Under special act of May 18th, 1846, the State of Michigan (became a state in 1837) amended the charter of The Erie and Kalamazoo Rail Road, fixing the westerly terminus at Adrian. Construction of the Railroad reached Adrian in 1836, becoming the first railroad to be in Michigan Territory. Its rails were made of oak topped with thin iron strips. Horses pulled small railcars the thirty miles between Port Lawrence and Adrian. In July of 1837, a steam locomotive replaced the horses. The owned mileage of the Railroad was acquired by construction during the period from between 1833 and 1837. It is unclear whether the construction work was performed by the Company's forces or by contract. In addition to being the first railroad west of the Alleghenies, it became, in 1837, the first railroad, west of that range of mountains, to operate a steam locomotive. It was also the first western line to operate as an interstate railroad, and to carry the U.S. Mail. The Erie and Kalamazoo Rail Road went bankrupt in 1840. During its life, it was part of multiple rail systems. As part of separate corporations, it existed as a leased railroad, paying regular dividends to its shareholders for more than a hundred and twenty-five years. As for banking, The Erie and Kalamazoo Rail Road Bank was authorized in 1836, and given the authority to choose its own officers and become separate from the Railroad, except that the Railroad was still liable for the notes issued by the Bank. In 1841, when the Bank was suspended, it was bought by Governor Hunt of New York. He also bought the Rail Road, and separated the Bank completely. In 1853, he sold it to a group of investors headed by Addison J. Comstock, who reopened it with himself as President, and A. Parker as Cashier. The Bank bought the property of Dr. Charles Hoyt on Maumee Street, to build a new, impressive banking house with a vault and President’s Room. A.J. Comstock retired in July of 1854 due to health reasons and financial obligations, and was replaced as President by Noah Lee, of Albany, New York. The Erie and Kalamazoo Rail Road Bank closed on October 1st, 1854, leaving a very negative impact on the areas where it operated. Paper Money * Sep/Oct 2021 * Whole No. 335 388 Below is an article taken from The Detroit Daily Free Press dated October 8th, 1854. So there's the history of this struggling enterprise, and the result that it left on the citizens that came its way. This is just another example of the usual impact that a failed business had on the areas where it operated. As I always do, I invite any comments to my cell phone number (580) 221-0898, or my personal email address robertdalegill@gmail.com So until next time, HAPPY COLLECTING. Defunct at last. We believe the free press has steadily expressed the opinion The Erie and Kalamazoo Rail Road Bank, at Adrian, would prove a short-lived concern. Time and again we have warned the public against it, and against all similar irresponsible institutions, predicting that to what ever extent credit should be given to it, and to them, to that extent would there be public loss. But too soon have our expectations been realized. The Erie and Kalamazoo Rail Road Bank has exploded. The immediate cause of the explosion is understood to be that the bank was found to have issued notes immensely beyond the limit of its charter, and that an injunction has consequently been served upon it at the instance of a large creditor. We are not advised as to how large the public loss will be by this failure, or what proportion of it will fall upon the people of our own State. We understand, however, that the circulation was pretty well cleaned up hereabouts, and that Wisconsin and Illinois are flooded with it. The great majority of sufferers, as usual, will be those who are least able to bear the sacrifice. Paper Money * Sep/Oct 2021 * Whole No. 335 389 A Golden Opportunity! by Robert Calderman The August Chicago ANA Convention has just ended and the pinnacle numismatic event of the (Hopefully) post Covid debacle did not disappoint. Not only was the show very well attended, countless dealers experienced record breaking sales results that they will be talking about for years to come. The market is on fire and it was so much fun to hear all of the laughable problems dealers were having during the show. On Friday I kept hearing things like, “I’m running out of invoices!” and “I just ran out of checks!” There was even a loud buzz hopping around the bourse floor that a paper money dealer got completely bought out! Wow what a dream come true! If you have not made it to a coin show lately, I can say, with authority, that shows are officially back and in full force! The Summer FUN show last month was so astounding that I thought it genuinely couldn’t be beat by any other event scheduled for the remainder of the year. That may have held true…and then the ANA boldly proved me wrong! Folks who chose to sit this one out should be kicking themselves and need to jump on the opportunity of booking the 67th Winter FUN Show in Orlando coming soon in January 2022. Now that I’ve thoroughly made you feel guilty for missing out on all the excitement, let us move on and talk about a great large size paper money variety that you could be hunting for. The next bourse floor may contain a pot of gold waiting for a savvy student like you, with the advanced skills required to unearth hidden treasures. Gold certificates are a crowd pleaser at shows and the large size designs are particularly coveted for their elegance and blazing orange ink. The backs of these notes are mesmerizing, especially when original quality examples reach extra fine and above condition. A gold note type that is generally considered common are the large size 1922 $10 Gold Certificates featuring the very first United States Treasurer Michael Hillegas. A chap that looks strikingly European, or dare I say even British, has his esteemed portrait featured on these notes as well as the earlier issue of 1907 $10 gold certificates. While he may look like a foreign dignitary, Hillegas was actually born in Philadelphia, Pennsylvania in 1729! As is often found on large size notes, these ten-dollar gold certificates feature one of the great royal portraits on our paper money that is not actually a U.S. president! As our first Treasurer, Hillegas is inarguably deserving of the honor. Gold certificates in general have experienced a significant jump in demand and pricing has followed suit with an uptick of nearly 30% over the past 18mos. If this seems shocking, take a look at recent eBay completed sales and see for yourself how these have very clearly jumped in price, especially for choice examples at the VF35Q level and above grades! Paper Money * Sep/Oct 2021 * Whole No. 335 390 There is an unrecognized rarity with Hillegas that we will look at in detail here together. 1922 $10 GC’s come in a bevy of varieties. There are 1922 small serial number and large serial number varieties, with stars available on both. Also mule and non-mule varieties exist, including mule stars, creating an incredible total of eight possible notes required to completed a full variety set of all possible 1922 $10 gold certificates!!! Out of all of these possibilities the toughest non-star variety is the Fr.1173m large serial number mule variety. Looking at observed population numbers, there are nearly eleven thousand unique examples of 1922 $10 GC non-mules in the online census. When looking at the observed mule examples, it’s hard to take the data seriously at first glance. The numbers seem so vastly different that one would expect there must be a huge mistake! Mules for the large serial number variety tally in at a miniscule 138 notes known. This information supports Doug Murray’s estimate that roughly just two percent of surviving examples are mules. In uncirculated condition the disparity is equally shocking! For PCGS-Currency and PMG combined, there are currently a total of 765 non-mule notes graded CU60 or higher. Incredibly, only 8 mule examples have been holdered in CU by both grading services combined! So with mules accounting for an unbelievable one percent of the known population in uncirculated condition, this should now be something you emblazon in your mind the next time you look at a 1922 $10 gold certificate. However, this now creates a quandary that may hold you hostage? How does one identify a mule vs. the non-mule variety? Let’s take a look together at what makes these mules extremely easy to identify o n c e y o u ’ v e d e v e l o p e d a t r a i n e d e y e . All 1922 $10 GC’s feature the signatures of Spellman and White; their earlier 1907 series counterparts had a total of six different signature combinations! The final 1907 issue Fr.1172 features the signatures of Teehee and Burke. On all of these Paper Money * Sep/Oct 2021 * Whole No. 335 391 Burke notes, as well as their predecessors, the back of the notes all have their plate serial numbers located in the upper right hand area of the design. The newer 1922 Spellman-White notes changed this plate number location to the upper left quadrant of the note (See Illustrations). All you need to remember is on a 1922 $10 Gold Certificate, the mule variety will have the old Burke back plate with an upper right hand plate serial number. The old Burke back plates mated with the new Spellman-White faces create this “Mule” variety. Finding one of these mules in any condition is cause for celebration since the surviving numbers in all grades are crystal clear at 1.25% underscoring that fact that you have located a significant treasure. When it comes to valuing your find, things get a little tricky. Auction records are few and far between and specifically for the Fr.1173m there are not many instances where we have a clear picture to definitively evaluate values. Typically a heavily worn example will not command a significant premium. However, as higher grades combine with rarity, the desirability and demand significantly affect value. Recently in January 2018, an AU58 1922 $10 GC Mule sold at auction. Normally three and a half years ago would not equate to being recent, but when rare varieties are on the table, this is often as good as i t gets! The About Uncirculated 58EPQ specimen sold for $2,640.00 by Heritage Auctions as part of the Doug Murray Collection. This is a significant amount for an AU example when considering the average non-mule in G e m 6 5 f r e q u e n t l y s e l l s f o r f a r l e s s ! Do you have a great Cherry Pick story that you’d like to share? Your note might be featured here in a future article and you can remain anonymous if desired! Email scans of your note with a brief description of what you paid and where it was found to: gacoins@earthlink.net Paper Money * Sep/Oct 2021 * Whole No. 335 392 The front of the Type-41 Treasury note endorsed by Capt. B. F. Lovelace, Assistant Quarter Master. front and back images: Amanda Sheheen Capt. B. F. Lovelace Assistant Quarter Master Benjamin Franklin Lovelace, born in about 1834, was a teacher, and on June 26th, 1861 he was appointed as a Captain & AQM reporting to the 7th Regiment South Carolina Infantry. This unit was known as the “Bloody Seventh,” whose history is detailed by Mac Wyckoff.1 The unit saw little action in 1861 while stationed in Northern Virginia in Kershaw’s Brigade, but 1862 was a baptism of fire in the Seven Days Campaign and the Battle of Malvern Hill. They later captured the Maryland Heights at Harpers Ferry and fought at Antietam. During this time they lost 110 killed and 362 wounded. Similar losses piled up in 1863 and 1864, and in early January of 1865 they returned to South Carolina in an unsuccessful attempt to stop Sherman’s march. B. F. Lovelace was paroled on April 26th, 1865, as the AQM of Kennedy’s Brigade, Walthall’s Division, Stewart’s Corps. Here is an example of Lovelace’s endorsement with Interest Paid stamps from Augusta, Georgia, as found on the back of the note illustrated above, courtesy of Amanda Sheheen: “Paid out 12th day Feb’y 1863 B F Lovelace Capt & AQM CSA” The Quartermaster Column No. 20 by Michael McNeil Paper Money * Sep/Oct 2021 * Whole No. 335 393 B. F. Lovelace’s Civil War history is well documented in the National Archives files for Confederate Officers, available online at Fold3.com. 53 of his documents are found in the files for the State of South Carolina, Seventh Infantry, and there are a further 46 documents in the files for Officers. There was a great deal of activity in the Confederate files of the National Archives in the 1905 timeframe when the last survivors of the Civil War were dying off. Documents and field orders were cross- referenced to produce summary cards of promotions and transfers, and career summaries were typed for many, but not all, officers. Such a typed career summary exists for Capt. B. F. Lovelace, and it is shown in Figure 1. I do not have the luxury of space to show these career summaries for all of the officers described in the QuarterMaster Column, but the interested reader can find them the book describing these officers in more detail.2 In a communication of February 6th, 1862, Capt. Lovelace filed reports for payment of troops at what Lovelace called Bull Run, Virginia, a Northern term used to describe what the Confederacy called Manassas. Of more interest than the unusual place name are Lovelace’s reports of May 19th to Col. Myers, Quartermaster General, in which he referenced the payment of troops for the months of September and October 1861, and which were not actually paid to the troops until February 10th, 1862. Lovelace here touches on a serious problem for the Confederacy ― its finances. Comments from quartermasters about late payments to troops are not hard to find in the National Archives files. The problem was rooted in the new Confederate Treasury Department, which had to be built from scratch, unlike its Northern counterpart with decades of institutional history. The Secretary of the new Treasury Department, C. G. Memminger, whose father was a German quartermaster, relied initially on the New York printing houses of the National Bank Note Company and the American Bank Note Company to print the entire first issue of Confederate Treasury notes issued from April 5th to September 23rd 1861. Southern printers of currency were not geared at that time to large scale production. The willingness of Northern printers to take contracts from the Confederacy underscored the profit motive of the free market and its lack of conscience or loyalty to the North. President Lincoln, however, had other ideas about the free market and sent Union agents to seize the printing plates used for Confederate Treasury notes. It might be dryly noted that all American presidents of the last few decades have lacked Lincoln’s resolve with respect to free market excess. The total output of the first issue by the New York printers was a minuscule 16,022 notes of all denominations from $1,000 to $50, hardly the type of denominations needed to pay front line privates who earned $11 per month. With the seizure of the printing plates in the New York printing houses, Memminger was forced to build a public-private infrastructure in the South to meet his currency needs. The second issue of Confederate Treasury notes commenced with the private printing firm of Hoyer & Ludwig on July 25th, 1861, and by November 2nd Hoyer & Ludwig had produced 669,586 Treasury notes in denominations from $100 to $5. While this was vastly larger than the first issue, it was still inadequate to the needs of the Confederacy, and that inadequacy is reflected in Capt. Lovelace’s comments about the late payment of his troops. By the time that Lovelace had paid his troops on February 10th, 1862, the third issue of Treasury notes was well under way with millions of notes printed. Memminger struggled with production from multiple private printing houses in the South, and this no doubt contributed to weakness in the Southern war effort. Dr. Douglas B. Ball’s book, Financial Failure and Confederate Defeat, deals precisely with this issue. Memminger was very creative and an excellent administrator, but he was hobbled by the Confederate legislature on many fronts. On several occasions he asked the legislature for permission to use engraved signatures on Treasury notes but was repeatedly rebuffed. Northern currency used engraved signatures. When in full production in 1864, the Treasury-note Bureau in Columbia, South Carolina, employed about 100 women who signed for the Treasurer and the Register at significant cost. These women were paid a salary of $3,000 per year, more than the salary of a field Captain. My great-great-grandmother was one of them. It will be the lucky and astute collector who finds a note endorsed by Capt. B. F. Lovelace, AQM. In the eleven years since the first book was published on the endorsements of Confederate officers we have only found the illustrated example. ◘ carpe diem Paper Money * Sep/Oct 2021 * Whole No. 335 394 Notes and References: 1. www.ehistory.osu.edu/exhibitions/Regimental/south_carolina/confederate/KershawsBrigade/7thSCV 2. McNeil, Michael. Confederate Quartermasters, Commissaries, and Agents, published by Pierre Fricke, Sudbury, MA, 2016. More research on B. F. Lovelace can be found on pages 425-427. Figure 1. An example of a typewritten career summary compiled in the very early 20th century and gleaned from original documents and field orders. These career summaries were compiled at a time when the last survivors of the Civil War were disappearing. Not all officers have such summaries in the National Archives files for Confederate officers. image: courtesy of Fold3.com Paper Money * Sep/Oct 2021 * Whole No. 335 395 SPMC Awards SPMC President Robert Vandevender II and past president Shawn Hewitt gave out our awards for literary excellence, service and announced our class of 2021 HOF members at the summer ANA. HOF inductees Clifford Mishler Forrest Dean Oakes Daniel (awarded posthumously) Service Awards Nathan Gold Award—for long- term service to the hobby and society—Bruce Hagen Founders Award—for outstanding service in the last year to the society—Andy Timmerman Nathan Goldstein Award—top recruiter of members to the society—Tom Denly President’s Award—Presented by the President to person(s) deemed to have provided service to SPMC in the past year worthy of recognition.—Jim Phillips Education, Research and Outreach Award—For significant contributions to SPMC's emphasis on Education, Research and Outreach—for speakers in the first SPMC virtual meeting—Benny Bolin, Robert Calderman, Mark Drengson, Pierre Fricke, Shawn Hewitt, Cody Regennitter, Wendell Wolka. Paper Money * Sep/Oct 2021 * Whole No. 335 396 Literature Awards Forrest Daniel Excellence in Literature Award--in recognition for exceptional literary achievements—Loren Gatch Book of the Year (Wismer Award)--A Comprehensive Guide to Alabama Obsolete Notes 1818-1885--Bill Gunther & Charles Derby Wismer Award, Honorable Mention--Bank Notes and Shinplasters--The Rage for Paper Money in the Early Republic--Joshua Greenberg Articles Appearing in Paper Money Awards  World Currency—Evangelos Fvsikas  Large & Small Type Notes o First place—Lee Loftus o Second place—Joe Farrenkopf  National Bank Notes o First place—Frank Clark o Second Place—Gary Bleichner  Federal Currency Miscellaneous o First place—Nick Bruyer o Second place—Richard Melamed & Benny Bolin  Obsolete Currency o Tie for first place—Q. David Bowers & Gerald Dzara o Second place—Charles Derby  Confederate Currency—Enrico Aidala  Miscellaneous o First place—Kent Halland o Second place—Steve Feller  Favorite Column o First place—Cherry Pickers Column—Robert Calderman o Second place—Quartermaster Column—Michael McNeil Obsolete Database Awards  Issuer—Bill Gunther  Denomination—Mack Martin  Type—Shawn Hewitt Paper Money * Sep/Oct 2021 * Whole No. 335 397 The Numismatic Literary Guild has named Paper Money Best Club or Not-for-Profit Periodical-Small Circulation And Paper Money’s Odd Couple—Joe Boling and Fred Schwan’s column, Uncoupled, was named Best Paper Money Column. Paper Money * Sep/Oct 2021 * Whole No. 335 398 Corrections to an article In the last issue, while trying to make the table in the following article fit to a printable page, I inadvertently added paragraphs to the data in one of the columns. Below are the notes that should not have these. If anyone is interested in a corrected copy of the table, please email me for one. My apologies to the author and our readers. Obsolete Currency Counterfeiters: Doty & Bergen, Part 2: Saints or Sinners? I apologize for any inconvenience from the errors in my article in PM 334. In the text and captions repeated references to printers Doty & Bergen are abbreviated (D&B). All of these should be D&B without parentheses. This occurs 15 times (pp.274-278, 281). The paragraph explaining the table on page 278 is confused. The third sentence should read, “Haxby uses the abbreviation D&B for imprinted notes, (D&B) for attributed notes without imprint.” The table of Doty & Bergen counterfeits from Haxby fails to indicate which notes have the imprint. The entire column appears as (D&B) (= no imprint). As in the text, parentheses should be removed from the following notes in the “Imprint” column, changing all these to just plain D&B: Notes from the spurious bank in Mankato, Minnesota appear with and without the imprint of Doty & Bergen. Presumably, any altered Mankato note may or may not have the imprint. Column 8 of the table refers to the source note of the alterations. Any altered from Mankato may yet appear with or without the imprint. The table only lists how known notes appear in Haxby. Under References: Apologies to R. Shawn Hewitt and others responsible for the Obsoletes Database Project. The author could have sworn that it was the Obsolete Currency Database, with an unfortunate acronym. No irony intended. CT, New Haven Merchants CT-284 A70 CT, Norwich Merchants CT-350 A45 ME, Bangor Merchants ME-110 A10 ME, Bangor Merchants ME-110 A50 MA, Boston Merchants MA-285 A10 MA, Boston Merchants MA-285 A25 MN, Mankato Merchants MN-75 G2 MN, Mankato Merchants MN-75 G4 MN, Mankato, Merchants MN-75 G6 MN, Mankato, Merchants MN-75 G8 NJ, Freehold Banking NJ-155 A30 NJ, Freehold Banking NJ-155 A35 NY, Albany Merchants NY-84 A15 NY, Onandaga Farmers NY-2095 S5 NY, Onandaga Farmers NY-2095 S10 RI, Providence Merchants RI-355 A95 VT, Burlington Merchants VT-60 A15 VA, Lynchburg Merchants VA-124 A20a WI, Madison Merchants WI-380 A10 Warren Doty Peter Bergen Paper Money * Sep/Oct 2021 * Whole No. 335 399 SPMC’s 60th Birthday 1961-2021 Let’s celebrate and HAVE FUN!!! Paper Money * Sep/Oct 2021 * Whole No. 335 400 OUR MEMBERS SPECIALIZE IN NATIONAL CURRENCY They also specialize in Large Size Type Notes, Small Size Currency, Obsolete Currency, Colonial and Continental Currency, Fractionals, Error Notes, MPC’s, Confederate Currency, Encased Postage, Stocks and Bonds, Autographs and Documents, World Paper Money . . . and numerous other areas. THE PROFESSIONAL CURRENCY DEALERS ASSOCIATION is the leading organization of OVER 100 DEALERS in Currency, Stocks and Bonds, Fiscal Documents and related paper items. PCDA To be assured of knowledgeable, professional, and ethical dealings when buying or selling currency, look for dealers who proudly display the PCDA emblem. For a FREE copy of the PCDA Membership Directory listing names, addresses and specialties of all members, send your request to: The Professional Currency Dealers Association PCDA • Hosts the annual National Currency and Coin Convention during March in Rosemont, Illinois. Please visit our Web Site pcda.com for dates and location. • Encourages public awareness and education regarding the hobby of Paper Money Collecting. • Sponsors the John Hickman National Currency Exhibit Award each June at the International Paper Money Show, as well as Paper Money classes and scholarships at the A.N.A.’s Summer Seminar series. • Publishes several “How to Collect” booklets regarding currency and related paper items. Availability of these booklets can be found in the Membership Directory or on our Web Site. • Is a proud supporter of the Society of Paper Money Collectors. Or Visit Our Web Site At: www.pcda.com Bea Sanchez – Secretary P.O. Box 44-2809 • Miami, FL 33144-2809 (305) 264-1101 • email: sol@sanchezcurrency.com Highlights shown are from our June Hong Kong International Auction U.S. CURRENCY SIGNATURE® AUCTION Long Beach | September 29-October 4, 2021 Paul R. Minshull #16591. BP 20%; see HA.com 60257 DALLAS  |  NEW YORK  |  BEVERLY HILLS  |  SAN FRANCISCO  |  CHICAGO  |  PALM BEACH LONDON  |  PARIS  |  GENEVA  |  AMSTERDAM  |  HONG KONG Always Accepting Quality Consignments in 40+ Categories Immediate Cash Advances Available 1.5 Million+ Online Bidder-Members Highlights from Our Official Long Beach Auction View all lots and bid at HA.com/3585 For a free appraisal, or to consign to an upcoming auction, contact a Heritage Consignment Director today. 800-872-6467, Ext. 1001 or Currency@HA.com Fr. 161 $50 1880 Legal Tender PMG Gem Uncirculated 66 EPQ Fr. 2231-G $10,000 1934 Federal Reserve Note PMG About Uncirculated 50 Lowell, MA - Appleton Bank $500 Haxby G32P Proof PMG Choice Uncirculated 63 Deseret Currency Association $10 Printing Plate Ca. 1860s Fr. 1218f $1,000 1882 Gold Certificate PMG Very Fine 25 Fr. 203 $50 1863 Interest Bearing Note PMG Very Fine 30