The banner-enterprise., 1883-05-17
In THE MACERAT0R'S JAWS.
WHAT TIE UNITED STATES DOES
WITH WORKOUT MoHEY.

WITH WORKOUT HoHEY.
Ground 70 Pulp and Sold TO Paper Makers.
An Average of S2,OOO,O0 Year NsveI
Presented for Redemption.
A Washington letter-writer has had
an interview with the United States
treasurer In regard to the final dis
position Of wornOut notes sent to the
treasury department for redemption.
The correspondent asked:
"What is done with this worn and
mutilated money when it is presented
for exchange?"
ut is sent to the 'macerator, big
iron machine in the basement Of this
building, where it is ground to pulp,
and the pulp sold to paper makers,
who get the color out of it and make
it into paper again"
"You used to burn it, did you not ?"
"Yes, but the present system was
found preferable, as it destroys the
money more effectually, and the sale
of the pulp brings something into the
treasury"
"Are the worn greenbacks redeemed
with other and new greenbacks of the
same denomination?"
mot necessarily. Most Of them
are redeemed with new greenbacks,
except where gold, silver or New York
exchange is asked for; but as to de-
nominations, we usually give whatever
is asked for.
OF greenbacks and gold and silver
notes there had been redeemed this
year up to date $l0S,000,000. of ma
tional bank notes, s72, 100000 had been
sent in for redemption, and $lO,O0O,OOO
of the lot had been decided fit" for
circulation and sent out again.
OF the currency thus redeemed, one.
dollar notes form a very large proper
ti0n. They are worn out faster than
any of the other bills, in spite Of the
fact that the silver dollar is constantly
being thrust forward in the vain at
tempt to make it take the place of the
greenback dollar. In the redemptions
last year of the greenbacks alone there
were s., 36S.0O0 in one-dollar bills re-
deemed and destroyed, 100000 two
dollar bills, 3,544,OO0 live-dollar bills
and l,3S0,000 ten-dollar bills. The life
Of the dollar greenback appears to be
very brief. OF the 26,000,OO0 one
dollar notes issued between 1875 and
1879, known as the tissue of 1870
25,0000C0 have come back torn and
ragged and dirty, and been redeemed
with others, bright and new and crisp.
Yet of the 100000 ten-dollar bills Of
the same lot issued at the same time
not half had yet come back at last ac-
counts. OF the tissue of 1873" which
still continues, 100000 of the l3,-
100000 one-dollar bills have come
back, some of them scarcely year old.
OF the tissue of 1880" which began
three years ago, but is still running,
100000 of the one-d0llar fellows
came back used up in the first two
years. The ten-dollar bills are much
OF 1jS,000 ten-dollar
notes is ued between 1880 and 1882,
only 10000 came back during those
two years, or about six per cent. of
the whole number issued, while of the
one-dollar bills of the same issue
nearly twenty per cent. came back in
the same time. The total amount Of
greenbacks and other government Oh
legations (silver certificates, fractional
currency, etc. which have been
redeemed and destroyed since the
of the issue of these obliga-
tions is about S2,500000,00O, nearly
eight times the amount now Outstand-
ing, and nearly four times as much as
was ahoat in 1865, when the largest
quantity of this sort of obligations
$698, ,000,000) was in circulation. A
great deal of this money that has been
issued by the government in the past
twenty-five years has never come
hack for redemption, and will never
cc>he back. The governments is gamer
hAlions upon millions of dollars in
hts way. 1t is estimated by the
treasury department, for instance,
that 81 100000 was burned up in the
Chicago fire. Other millions were lost
md destroyed during the war, Others
~ lost or sunken and blown up in
steamboats,, others burnel in burning
buildings, and many millions were lost
rom careless pockets or worn out and
lsver presented for redemption. No
)o6y sees any paper fractional cur
'ency in circulation now, yet there is
learly $4,000, 600 of it that has never
)een presented for redemption. 1t Is
that not $l,00O,000 of the
of this still out will
ver come in. Experts estimate that
It least one per cent. of the money
hus issued BY the government never
ONES back for redemption, and that
he government has been gamer from
IS, 900, ,0C0 to $40,000,000 by this pro-
ess in the past twenty years, or near
Y g., 100000 year.