The Universalist. [volume] (Chicago [Ill.]) 1884-1897, 1888-06-16
SOMETHING ABOUT THE "OLD
LADY OF THREADNEEDLE
CTPRETp

England, in which the conversion OF a.
New York draft into bank of England
notes formed perfect link in the chain
OF evidence by which the prisoners were
convicted, suggests a brief description
of the banks method with regard to it's
issue, says The Fandncier.
The paper on which the notes are print
ed is made by private factory in York
shire under strictly guarded conditions,
and with the water mark which is SO con-
spicuous feature. 1t is of silvery white
and so strong that it will sustain fifty
pounds weight when suspended at the
corners. The printing is performed at
the bank in Thre adneedle street, includ-
ing the signature of the nomin al maker
of the draft. The drafts or notes used
formerly to be signed by assistant cash
iers, but the issue eventually became too
arge to admit of sign manual being
issued, 80 printing was substituted.
Each individual note as soon as issued
has it's number, letter, date and demon
nation placed to it's debit in q ledger &C.
count, the per contra being filled on the
return of the note, perhaps the next day,
perhaps in Fifty years time. Some years
ago lot of Ell notes issued in the middle
of last century were handed in for pay
ment. A reference to the ledger Of that
date showed the credit side OF the note
account, with corresponding numbers, to
be open, 80 the drafts were duly hon
ored.
The lowest denomination now issued
is e5, the highest 100000. A notable
feature of the Bank of England note
when compared with that of other
issues and countries, is its crispness and
clea1ness. The simplicity of design and
clearness of lettering and figuring are
also very conspicuous. The reason why
we never find tattered and foul Bank of
England bills or bank notes, as the Eng
lishman prefers to call them, arises from
the custom of the bank never to issue one
of its notes second time. This rule is 80
scrupulously observed that should a
thousand notes OF e5 each, issued in the
morning in exchange for gold at the
issue department, come into the hands OF
the banking department as customers
deposit in the afternoon, possibly with
out having been united, they would be
Immediately cancelled. This cancella-
ton is performed by tearing off the sig
nature corner of each note, the number
and date first being recorded by the re-
cording clerk in his counter cash book.
The mutilated bills at the banking de-
partment are collected at short intervals
by clerk from the accountants depart
ment, where they are sorted into their re-
spective denominations and placed to
their individual ledger credits. They
are the stored, and after ten years inter-
val consigned to the flames.
The detection of forged bank note is
almost inevitable under this system.
Simply to initiate the paper is difficult
the difference in the best imitation being
readily perceptible to practiced touch
To counterfeit the printing is almost i'm
possible, owing to the absence of COM
plexity to confuse the eye, and third
reliance for the paying teller as he rapid
ly scans the notes before shovelling out
the gold in exchange, is popularity in
the formation OF certain letters, known
only to the initiated.
Should forgery slip through these
guards, the number and date and de-
nomination must all correspond with the
ledger entry, and should all these agree
the chances are that the legitimate note
will have already filed up the blank.
1t is the rule in all London banking
houses, and in most private establish.
ments to record the date and number Of
every bank note passing through their
hands, together with the name Of the per-
son presenting it. The Bank of England
moreover, requires the endorsement OF
the holder on every note or parcel of notes
presented for exchange for gold or for
notes of other denominations. This sys-
tenn greatly facilitates the detection of
fraud, and in the case which gave occs-
sion for these remarks was the direct
means of establishing the prosecuting at
torney.
The actual cost of each Bank of Eng
land note issued Is about five cents. An
ordinary days issue of notes, with cor
responding number cancelled is from 20
600 to 10000; but when forgery is known
to be ahoat all of that particular denom-
nation are poured in by their holders for
exchange or redemption, and as many as
$4,000 notes under such circumstances
have been presented and cancelled in
one day.
AS an Offset to this expense, the yearly
gain to the bank in notes destroyed by
fire and water amounts to large sum,
which, however, is taken into account by
the government when adjusting it's ma
tioDal debt and exchequer arrangements
with the bank.
The "Old Lady of Threadneedle
Street, !" as the Londoner lovingly calls the
institution, which, next to his queen, he
most deeply reveres, is very liberal when
dealing with cases OF notes destroyed or
mutilated. The secretary's office attends
to these matters, and there may be seen |
daily remnants of notes which have un-
dergone every conceivable ordeal of alb
aoInfo daefruafion