The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-02-19
oLD-T1ME FREE COINAGE.
A Chapter in the Monetary History OF
America.
From lhe Denuer coIoradan

Few people OF the present generation are
aware Of the fact that the United States govern
ment had no law for the prevention and punish
meht or counterfeiting It's coins for eighty.four
years after It's foundation. Yet, strange as 10
may seem, II ia an incontrovertible fact that
until 1883 there was no law upon the statute
books providing penalty for the uttering OK
OF coins made by private parties.
During the triennial coneave OF the Knights
Templar Ia Denver last August there was eK-
hiblted In the show window II iewelry store
collection o. gold coins which possessed more
that they were coihod by private parties ia
Denver Ia 1861. Most OF those who saw this
collection left Denver with the impression that
they were cJined under the special act OF con-
gress, as they we're. with tho exception OF the
lettering. perfect fRc-similies or the coin Of the
realm But this was far from the fact. They
we're coined without any authority OF law what
ever. and a. direct consequences OF the alb
sence of law, and when the fact became known
1t created no little CONSERVATION among tho
financial powers OF the nation. Tue first in
formation received at Washington regarding
this apparent usurpation Of one or the IN
doubted powers OF government was when Mr..
Chase, then Secretary OF the Treasury, was
shown a handful OF the coins by sir. Griber, a
member OF the firm engaged In the business OF
coming money, and the Arse act on the statute
book to render private coinage lliesal was In
direct consequences Of the visit OF Mr.. Gruber to
the national capital
The firm Of Clark, Gruber & Co bankers,
commenced business In Leavenworth, Kan. in
1857. Later the firm established branch IN
Denver. 10 was found that Ia sendnR gold dust
either east or west TO be mlnted 81 70 had 70 be-
expended TO get gold dollar ia return. This
consideration induced the suggestion OF c9ining
money on the ground, aud the head OF the
house at I.eavenwurth Immediately consulted
the most eminent legal talens attalnable and
found that there was no law prohibiting the is
sue of coin by individuals. Milton d. CLARK
thereupon went TO the east and purchased the
naH YpnnhfYaFW a
time arrived, and tn business OF coming money
connmsnced, tbs 1rst coins being issued In the
latter part of 1850
The first coins Issued were made from virgin
dust. without alloy. and ia denomination tens
and bsenties. On the face Of the coins, instead
of the head OF Liberty, was representation OF
Pixies PEAK, with the words. pixies Peak Gold,
Denver, Twenty D." On the diverse was an
eagle, with the words, CLARK Gruber & Co."
and the date 1860. Very few OF these coins are
in existence and many Of those are so badly
abranded as 10 be almost unrecognizable, A
Sl0-piece OF this coinage 10 tolerable preserva-
ton will readily bring $50.
Il was soon learned that this coin would MOI
answer the purposes OF trade The loss from
abrasion was very serious and. besides. tbs
metal was so brittle that fall upon a hard
surface was sufficient TO shatser the piece. 40
cordingly new set OF dies was procured ia
1861 and the government proportion or alloy
added. The design Of the new coins was the
same as that Of this United States coins, except
that instead Of the word Liberty" on the
ubdl VI bno NlEHbth6 N6Fc bub WOtu1s IAAc
Peak, E" and on the diverse. instead OF the words
limited States OF America" the words
CLARK, Gruber & Co., Twenty D."
The tirm made money fast In the two years
or less during which they we're engaged in cOin
ing their net profits from this source alone
were not less than SlC0000 the total amouns
coined being something over S5, 600. Tbs
purchase of dust frequently amounted TO $1,000
and $4,000 in a single day and the next morn
ing the coin was on the bank counter ready for
the business of the day.
la 1852 delegation went to Washington for the
purpose OF securing a mint for Denver. When
the parties interested called upon the secretary,
Mr.. Gruber was introduced as member Of the
firm which was coming money in Denver. To
say that the secretary was astonished at this
announcement is putting 1t very mildly indeed.
"Coining money ia Denyerln exclaimed the as
tonished official; why that sounds like coun-
terfeiting. This must be looked into" When
Mr. Gruber handed him a handful OF the coins
for inspection he was even more surprised.
why. these are fac-similes of United States
coins" he remarked. and i'm mediately sent q
message on the subject 20 the Attorney General.
As a result the law OF June s, 1864, was passed
prohibiting the coinage OF money by private
parties