Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1885-06-21
How to Verify Coupons.


we published several days ago, makes
an important point as to the proper
manner Of verifying coupons. We again
call attention to it.
The bonds authorized by the fund
ing bill OF 1871 were not complete and
ready for delivery until they were
signed by the Treasurer and the Second
Auditor. Before any person coming
unlawfully into the possession OF any
Of those unsigned bonds could have
used them he would have had to forge
the signatures of the two officers
named. II is to be presumed, there
fore. that If there are any counterfeit
bonds on the market, their nature will
at once disclose itself TO the Treasurer
and the Second Auditor when the bonds
are presented to them.
But the coupons are not signed by
anybody. They are merely stamped
with the name OF the Treasurer. 1t is,
therefore, absolutely impossible that
anybody can prove such coupon to be
genuine when it is presented by itself.
The only method Of proving its genu-
ineness is to present the bond and the
coupon together-that is. before the
coupons are cut from the bond. There
is no other possible way Of proving
the coupons to be genuine coupons.
Why not? We answer, for the reason
Just stated, and for the additional rea-
son that hundreds Of thousands of dol
lars Of these coupons were engraved in
addition TO those actually needed to
fund the debt Of the State once under
the law Of 1871, this law giving to the
holders Of the bonds issued under it
the privilege Of exchanging registered
for coupon bonds at any time. In order
to be prepared to make such exchange
whenever bondholder might demand
it, the State officers were, we repeat,
compelled to have a large number Of
coupons prepared in addition to the
number necessary in the first funding
operations.
Now, all these coupons are perfect,
complete, finished, ready for use, when
delivered 10 the State officers. The
bonds are complete only when deliv-
cred by the State officers. In other
words, the millions Of dollars Of cou-
pons which were lying in the Capitol
for years and years after the passage Of
the funding bill Of 1871 were all that
time perfect coupons needing no sigma
ture or anything else. They were just
such coupons as had been issued to the
bondholders. andifpresented to a collect
ing officer who was in the habit ofreceiv-
ing coupons would necessarily be ac-
cepted by him, seeing that it was i'm
possible that he should know that they
had been cut from bonds which had
never been issued. The coupons cut
from an unsigned bond are just the
same as the coupons cut from signed
bond. The coupons cut from stolen
bond are just the same as the coupons
cut from bond lawfully issued. The
coupons cut from q bond to which the
signatures Of the Treasurer and the
Second Auditor have been forged are
just the same as the coupons cut from
a bond signed by those officers.
Now, how is it possible for collect
ing officer to know the genuine from the
counterfeit couponss What is the diff
ference between genuine and coun-
tcrfeit coupon, so far as the point we
are now making is concerned? None
whatever, except that the bonds IN the
one case were lawfully issued and the
bonds in the other case were never law.
fully issued. 1t follows, necessarily
that in order to prove the genuine
ness Of the coupons the bonds
themselves must be presented before
the coupons are cut from them.
There may be counterfeit coupons o.
other kinds than the kind we have de-
scribed. If so, they too can be KEEP
out Of the Treasury by requiring tn,
bonds to be presented before the cou
pons are cut from them.
Can the courts, in view Of the facts
deny to the Commonwealth the RICH
thus to protect herself from fraud, cor
ruption, and forgery?