The Republican. [volume] (Oakland, Md.) 1877-current, 1903-04-30
BONFIRES OF BANKNOTES.
How the Bank of England Disposes
of the Paper Money That
Comes Back to 1t.

Few people are aware that Bank of
England note leaves that bank but
once, and that the moment the "Old
Lady of Threadneedle Street" regains
possession of the crisp sheet of paper
its doom is sealed, even though it has
been but five minutes in circulation.
Like the Imperial Bank of Germany,
our national banking institution de-
stroys its old notes by fire; but the
Bank of France and the United States
treasury prefer to destroy their old
paper currency by chemical processes,
though the aforementioned used also
to indulge in bank-note bonfires, says
London Tit-Bits.
Every year notes of the face value
of e1S,OOO,OOO are consigned to the
flames in the Bank of England furnace;
not all at once, of course, for that
would be an operation too lengthy and
monotonous for the officials who must
be present to witness it to take at one
sitting.
Fifty thousand notes of various de-
nominations are daily issued by the
bank, and in packets of $4,000 they are
destroyed. But ere it is burned a re-
turned note is kept in the bank-note
library for five years, in case it may be
required for reference. 1t is one of IT,
100000 notes. the number usually in
stock. but if it is required it can be
turned up in five minutes, so perfect is
10 g Til 81
is kept in 10, 400 boxes. each of which
measures Is inches in length by ten
inches in width and nine inches in
depth.
Ere they are burned 4 hole is punched
through the figure showing their value,
and the chief cashiers signature is torn.
off. They are packed into the furnace
while the officials look on, the fire is
lighted. and in short while a little ash
is all that remains of what once repre-
scented many thousands of British SOW
ereigns.
The Imperial Bank of Germany burns
over 1O0,OO0,O00 notes yearly. 1t seems
a number that should represent a
truly colossal sum; but then many of
them are for small amounts and the
ma iority for not more than five marks.
Twelve million pounds is the amount
representing the annual destruction Of
100000 notes of the Bank of France.
They used to be burned in a cage rotat-
ing over a huge fire. but now they are
reduced to a pulp in the presence of
several directors, after being first
punched and stamped "Canceled."
Such distinctions take place every
fortnight
Comparatively few pound notes are
seen in Great Britain. but in the United
States it is different; one sees more pa
per currency than cash. Indeed. in no
country in the world are so many notes
in circulation.
Hundreds of millions of dollars
worth of bills, varying in value from
81 to $500. are issued by the treasury,
while more are issued by the innumer-
able small banks all over America, Sc
cured on a cash deposit with the gov
eminent.
The treasury will redeem these in
any quantities for gold or new bills at
any time, Old notes are always being
sorted, and when their numbers have
been verified and cancelled they are
made mp in packets of a hundred.
Before they are ready for the de-
structor four holes are driven through
each bundle by a great punching ma
chine; next the packets are cut in
halves, and one-half goes to be again
counted and checked.
All being found correct the mutilat-
ed bundles are passed on for further
bad treatment, this time being placed
in a huge machine, the interior of
which is fitted with numberless sharp
blades. When these revolve they cut
the bills into minute fragments.
Still they are not finished with.
From the macerating machine the
fragments are sent to the watts and
boiled in a chemical preparation. All
that remains after the boiling is pulp
useless as currency, but useful for
molding busts of the president and
models of Americas famous buildings
for which unique purpose it is readily
bought by manufacturers of these and
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