Tracing a Counterfeit

1899

The tracing of counterfeit bills back to the person responsible for their issue is a curious and exciting employment. The experts assigned by the government to this work are among the most skillful members of the secret service. The protection of the currency depends in large measure upon their efficiency, and the pains they take are almost infinite. A curious story told by a government employee in the New Orleans Times-Democrat illustrates the difficulties which they meet and overcome.

One day a bank clerk in Cincinnati detected a counterfeit twenty-dollar bill in the deposit of a small retail grocer. I was sent for, and undertook the case.

I found that the grocer received the bill from a shoe-dealer, who had it from a dentist, who had it from somebody else, and so on, until I finally traced it to an invalid woman who had used it to pay her physician. When questioned, she said the money had been sent to her by her brother, who lived in New Orleans.

I looked up her brother's pedigree, and was certain that he was my man. He had a bad record, was the proprietor of a dive, and was just the sort of person to be a confederate of counterfeiters. I came to New Orleans with the handcuffs in my pocket, but I was a little premature.

The man proved to my complete satisfaction that he had received the money as rent for a small house he owned in Pittsburg. That was discouraging, but I couldn't give up after going so far, and took the next train for Pittsburg.

The tenant of the house turned out to be a travelling oculist, who spent most of his time on the road. He was then away in the West, but I saw him on his return, and he at once recognized the bill. It had been given him by a patient in Cincinnati, the very point from which I had started.

The patient was a boss carpenter. I dot his address from the oculist and made a bee-line for the city. I had a premonition that something was going to happen, and I wasn't disappointed.

The carpenter was an honest old fellow, and told me without hesitation that he had received the bill from Mr. —— for repairing his barn. Mr. —— was the small grocer in whose bank deposit the counterfeit had turned up. I flew to his store as fast as a cab could carry me, and found it closed. He had left town.

Afterward it was shown beyond question that he was the regular agent of a gang. His shop was a mere blind. That the bill which he gave the carpenter should get back again into his own till after travelling all over the continent was one of those miracles of chance for which there is no explanation. — Youth's Companion.

Uncle Sam Makes a Profit Minting Pennies

1896

Little Copper Coin Has New Lease on Life

The long despised copper cent has entered upon a new era of usefulness according to the authorities of the Mint at Philadelphia. The Mint has been turning out pennies lately at an astonishing rate, says the New York Journal. Ever since September 1 three presses have been working eight hours a day stamping Uncle Sam's design upon little disks of bright new copper. The average daily output has been 150,000 cents. This represents a profit to the Government per diem of a trifle over $130.

There is money in minting cents from the Government's point of view. The copper "blanks" are not made by the Treasury, but are bought under contract. They are turned out by a firm in Waterbury, Conn., and they cost Uncle Sam only $7300 per million. In other words, for seven and three-tenths cents he obtains material which by a simple process of stamping is transformed into the worth of $1. The profit on each 1,000,000 cents issued is $870.

Until within the last few years the blanks for cents and nickels were made at the Philadelphia Mint, but it was found to be more convenient and about as cheap to purchase them from private parties. The contract for producing them is awarded annually to the lowest bidder, and on this account their cost varies somewhat from year to year. These coins are considered merely as tokens, and their intrinsic value is of no consequence whatever. They are neither counted nor tested by assaying at the Mint, being weighed in bulk only.

One pound avoirdupois of the blanks for cents costs the Government twenty cents, and makes $1.40 worth of pennies when coined. In other words, there are 146 blanks to the pound. The blanks are shipped to the Mint in strong wooden boxes. They are extremely pretty, looking like so much gold when bright and new. In fact, visitors to the Mint frequently mistake the contents of boxes that stand open for gold, and it is a common thing for them to say that they wished they could be permitted to take away all that they can carry. This oft-repeated remark always excites a smile, inasmuch as the strongest man could not carry $100 worth of the blanks without great difficulty.

All of the United States cents are made at the Philadelphia Mint. During the last fiscal year 26,044,277 of them were minted. The production of cents rose three years ago to nearly 100,000,000 for a twelve-month. A steady stream of these little coins flow from Philadelphia to most parts of the country, though in some localities they are not circulated at all. But it often happens, as at present, that the demand exceeds the supply.

The odd prices fixed by dry goods firms nowadays have something to do with the unusual demand, inasmuch as they require the making of small change on nearly every purchase. Such prices seem to have an attraction for the public, and particularly for women, who are apt to buy an article for $1.98 when they would not pay $2. Then, again, the slot machines absorb an immense number of pennies. But after all the movement in favor of cheaper newspapers has done more to place the little old red cent on a plane of respectability than any other agency.

Very few pennies come back to the Mint for remelting. The stream of coppers flows out continually, but its history is like that of many rivers in Western deserts, which are lost finally in the sand. Nobody knows what becomes of the millions on millions of cents that are minted annually; they simply vanish out of sight and are gone forever. The phenomenon seems a strange one, but it is easily accounted for. Pennies are subject to more accidents than any other coins; they change hands ten times as often as dimes, it is reckoned, and being of small value, they are not cared for. People say: "What becomes of all the pins?" The answer is the same in both cases.

Are We To Have Half-Pennies?

1900

Department Stores Want Them to Make Exact Chance With

A movement is on foot to put a one-half cent coin in general use in the United States. Several suggestions have been made to the government, and last week a document was presented, signed by the heads of the big department stores of New York, Chicago, Philadelphia, and Pittsburgh showing the need for this money in making change where articles are sold at 3½, 7½, 12½¢ and at similar prices.

The half-cent coin has been in use in Chicago for the last two years, and last week one of the New York stores ordered 500,000 one-half cent coins. These coins are to be made of copper, size one-half inch in diameter, or just two-thirds of the size of the regular one-cent piece. Stamped in heavy raised figures and letters on one side will be "½ cent," and on the reverse side will appear the name and address of the firm issuing the coins.

Besides, being a convenient change maker, this new coin is considered an advantage from an advertising standpoint, as it carries the name and address of the merchant and would be carried in the purse sometimes for weeks, until the customer receiving it returns to the store where it can be used in making purchases. So far the United States government has nothing to do with issuing this new money. It is put out by individual firms and is only recognized at the store from which it is issued. The proprietors of the big stores are anxious, however, to have the government make and recognize the half-cent coin. — New York Herald.

Legal Tender — Guidelines for U.S. Money

1907

You Might Think Gold Certificates Are, but They Are Not

"Gold certificates, silver certificates and national bank notes are not legal tender, but both classes of certificates are receivable for all public dues, while national bank notes are receivable for all public dues except on imports and may be paid out by the government for all salaries and other debts and demands owing by the United States to individuals, corporations and associations within the United States," says the treasury department.

"Gold coin is legal tender at its nominal face value for all debts.

"Standard or silver dollars are legal tender at their nominal or face value for all debts, public and private, except where otherwise expressly stipulated in the contract.

"Subsidiary silver is legal tender for amounts not exceeding $10 in any one payment.

"Treasury notes of the act of July 14, 1890, are legal tender for all debts, public and private, except where otherwise expressly stipulated in the contract.

"United States notes (also called greenbacks) are legal tender for all debts, public and private, except duties on imports and interest on the public debt.

"The minor coins of nickel and copper are legal tender to the extent of 25 cents." — Bulls and Bears.

The Dollar Sign

1909

A Theory as to the Origin of This Monetary Symbol

The origin of the dollar mark is one of the curios of our financial history.

In the early days of the nation, there was utter confusion in the circulating medium. Several of the colonies had authorized coins of different denominations, and, besides these, there were English pence, shillings, crowns and half crowns; French coins brought from Europe and Canada; Spanish coins of half a dozen denominations, especially reals and doubloons; Mexican coins; in Pennsylvania Dutch and German pieces, and along the coast Portuguese and even Italian money was often seen, brought by seamen.

The United States mint was established in 1791, and the United States coinage became, of course, the legal tender. The mixed coinage, however, was not at once displaced, but continued in local use, so that it became necessary for merchants in keeping accounts to designate that a bill was to be paid in United States currency, or, if in miscellaneous coins, these were received at a discount. So before the sum total of the bills the merchant was accustomed to write the letters "U. S.," signifying United States money. In the hurry of writing the "S" was often written over the "U;" then the connecting line at the bottom easily dropped off, and to the present day most people unconsciously commemorate the original practice by making the two down strokes first, then adding the "S."