The sun., 1902-01-27
TIE STOLEN BANKNOTES GOOD
LACKING GENUINE SIGNATURES
or BANK OFFICERS.
They Hear the Government Signatures
Either the banks or the Treasury
WIN Have 10 Redeem Them Eventually
Good In Hands Of Innocent Holders.

WIN Have 10 Redeem Them Eventually
Good In Hands Of Innocent Holders
Some 800 national bank notes, OF the
aggregate face value Of $4,000, which
bore the signatures of the Treasury officials
al Washington hut had not received the
signatures Of the officials Of the banks 10
which they were issued, were stolen last
summer from the Great Northern Express
Company while on the way TO the National
Bank Of Montana and the American Ma
tional Bank, both OF Helena.
A question has arisen now whether inno-
cent holders Of the notes can get them re-
deemed at the Treasury Department. That
department. in November. gave out a
ruling which said that a controversy over
the responsibility for the loss had arisen
and until that controversy was settled
and funds were provided for tho redeptionm
Of the notes, they would not be received
at the Treasury Offices. In the ruling,
the notes were described a. "incomplete :"
On this point Diclermdns United States
Treasury Counterfeit Detocfor has this to
say
The notes referred to were incomplete.
as we understand, only. IN the matter OF the
signatures of the officials, Of the banks to
questions Of responsibility may arise between
the banks, the Government and the trans
hodsrs Of th. notes 9 T Srs sn,,sd
10 receive their face value. This. point was
settled by nct OF Congress passed July, 1892.
Revised i Statutes OF the uhited states pro-
viding for the redemption OF national bank
notes shall apply to all national bank notes
that have been or may be issued to or received
by any national bank. notwithst andins such
notes may have been lost by or stolen from
the bank and nut In circulation without the
tho President. or vice-President aud cashier, :"
The purpose OF this law. enacted nearly
people of the necessity of familiarizing them
selves with the names and signatures OF the
President and cashier Of every national bank
bank note appear -four signatures, two Of
them of officials Of the Unites States Treasury,
bank issuing the note. The signatures are
of no value whatever so far as convincing
the public Of the genuineness OF the notes
Sometimes notes were stolen from the pos
session OF the Government before they
reached the bank OF issue, while other notes
were stolen from the banks after coming
into their possession and before the sigma
lures of the banks officers were affixed
Whore the Government was responsible
Treasury Department upon authority given
by Congress. Where the negligence of the
banks occasloped the loss. In most Instances
when presented. but a few banks refused
10 do IL Because of their action Congress in
1892 passed the act quoted above.
Under the law, therefore. the notes stolen
recently are good Ia the hands of innocent
holders The banks are required 10 redeem
them upon prcsentation, and the 5 per cent.
redemption fund IN possession of the Govern
ment Is applicable to their rcdempti
the banks, the Government and the express
company. there is no reason. as II seems 20 US,
why the slightest cloud should rest upon the
legality Of the notes stolen.
Comptroller Of the Currency Ridgelcy
explained, however, TO the correspondent
OF TIE Sun AZ Washington last night that
the refusal Of the Treasury 20 redeem the
notes was due 10 the fact that the banks
had not deposited the usual redemption
fund OF 3 per cent. with the Treasurer Of
the United States. The law OF July, 1892,
provides that such fund shall he deposited
by each OF the national banks with the
Treasurer 10 cover the expense of redeem
ing their notes. For some reason these
Helena banks did not deposit redemption
fund.
A suit Is now pending against the express
company which lost the notes AT the in
stance Of the bank officials. Meanwhile
many Of the lost notes, which were un-
signed by the officials of the banks have
been recovered A few weeks ago nearly
h ,OOO Of the notes were found bv Federal
lfhcers In Nashville. Tenn. The Treasury
will take no further action In the matter
until after the settlement Of the suit let tween
he banks and the express company.