The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1894-11-30

Millions Gained Through the Loss
and Destruction of Fractional Cur
rsncy.
The fractional currency Of the United
States was the most profitable form Of
money ever issued by the federal au-
tkorities. All OF 1t that was lost or
destroyed, and this is estimated by the
New York Herald In round figures at
$S.0Oo,0O0, but lis probably more, is
figured as n clear gain to the govern
ment. The total amount Of the cur
rency emitted, including reissues, was
$36S, T20.0T9.51. The total amount re.
deemed aggregates $353,447, 6265O. This
would apparently leave outstanding
$15,272,4 43.01, but in the last annual
set down as $4,000, 504.62. This amount
IN merely an estimate Of the authOri-
ties, but clearly illustrates the fact that
$S.271,93S.T9 has been marked off to
profit and loss. The government still
stands ready to REDEEM its fractional
currency and has no intention of re-
pudiating any Of 1t, although congress
has authorized the marking off Of 49,
10000. Very little of 1t Is now turned
Into the subtreasuries, in consequence
CT the rarity of certain issues and the
fact that large quantities are In h
hands OF collectors. who would not
part with their specimens for ten times
their face value. There were redeemed
last year exactly $2,95S worth Of this
profitable currency, and so accurately
ure the accounts Of the treasury de-
partment kept that the exact amount
Of each denomination destroyed can be
ascertained. Thay were - follows:
Three cents. $3.49; s cents, S28.43; 10
cents, S602.O5; Is cents, $50.11; 25 cents,
81, 095. ~, and 90 cents, 5 1,178.50. Frag-
ments of bills are, of course, redeemed
I'm proportion, which accounts for the
apparent ~impessibility Of redeeming
total amounts that r not ~niultiples
Of the face value of the notes.
Fractional currency was a feature OF
our money from Aug. /, 1862, when the
first issue was authorized, until Feb. Is,
1876, when the last or fifth issue ceased.
The emission Of 1t, therefore, covered a
period Of fourteen years, and 1t Is
eighteen years since the last notes were
issued. Considering the length of time
since the government discontinued the
issue of fractional currency. the amount
outstanding is enormous, greater by far
than any other form Of the public
debt, or, for that matter, all forms of
the public debt unredeemed from the
foundation of the republic down to
1862, when the legal tender notes were
authorized. 1t Is not likely now that
more than $4,000 of fractional curren-
cy win ever be presented for redemp-
ton so that the total profit to the gov
eminent will in the end amount to
fully $15,0O0,0 900 from it's issue.
4 curious fact about the presentation
Of fractional notes for redemption Is
the large proportion that spurious bills
bear to the total. Last year, when but
S2,95S worth was redeemed, counter
felt fractional bills to the amount of
$22S were turned into the treasury and
destroyed. The proportion is very
ly 8 per cent, which illustrates two
things how extensively the fractional
currency was initiated, and the tenac-
ity with which persons who had been
taken in by the bad money chung to
the hope Of eventually obtaining its
FaIIn.