The Press., 1908-05-06
I CURIOUS CURRENCY
Notes That Were Issued by the
 Mormons In Early Days.
MONEY BASED ON GOLD DUST
An Issue of Scrip In Denver Which Was Unique In the Financial History of Ameriea-Some of 1t Redeemed In Gold When Gold Was Above Par.

Unique In the Financial History os .Ameriea-Some of 1t Redeemed In Gold When Gold Was Above Par.
 The need of circulating medium
 brought into existence a curious cur rency among the Mormons of Utah in
 the early days. They had a fairly abun-
 dant supply of gold dust. but no form
 of money When taxes were collected.
 for instance. they were paid in gold
 dust. The tax collector was often un-
 able to give fractional change and had
 to issue due bills for small amounts.
 Finally so great became the need for
 convenient circulating medium that
 the suggestion was made by some of
 the leaders that the circulation of the
 Kirtland notes be authorized, the com
 munity to stand sponsor for them. And
 this was adopted.
 The Kirtland notes were the product of a bank of the wildcat species which
 was in operation in 1887 at Kirtland O., where under the leadership of Je- seph Smith the Mormons had a settle ment. The institution was known as the Kirtland Safety Society bank and issued notes ill the denominations of $1, $3. $5 and $1O.
 Fully $5O.000 worth of these notes were said to have been issued. Then the bank failed. not having at the time of suspension more than $5,OOo with which to redeem its issue. The result was that the notes became ab- solutely worthless. Many of the Nor mons kept their notes, regarding them as curiosities. while others retained possession of them in the faith that the prediction of Smith would one day be realized. he being reputed to have said that the notes one day would be as good as gold. "a.
 The action of the Mormon leaders in Utah in 1S49 made this prediction come true. for the Kirtland notes at once went into general circulation and were placed on par with gold. Each and every one of them was redeemed at the Mormon headquarters in gold dust, of which there seemed to be a greater supply than of representations of money. .r
 There were two issues of paper mon- ey or script in Denver, which were re- deemed in gold. Some of them were re- deemed at time when gold was at a premium and so deserve to be ranked among the curious currency representa- tions of which this country has seen many examples.
 In September, 1861, the firm of c. A. Cook & Co. of Denver issued notes of the denominations of 10, 9 and 50 cents and $1. This firm conducted large general merchandise business, in the course of which they handled great quantities of gold dust, the latter at the time being the only circulating medium in Colorado or Kansas terri tory, as 1t was then called.
 Later the firm dropped the merchan- Great need was felt for fractional currency which would be worth as much as gold and at the same time save the inconvenience of handling the gold dust. To supply the prevailing need, Cook & Go. issued these notes, which were all finely engraved Ion steel and bore the promise of the firm to be redeemed in gold dust.
 The notes were snapped up by every body, but more particularly the mer- chants, and 1t was not long before Cook & Co.'s notes were in general cir in Denver and the contiguous regions. They were prompt ly redeemed whenever presented and, being redeemable in gold dust, were preferred to the regular United States currency. They were the smallest gold notes ever issued.
 Some time after the banking house caught fire and was entirely consumed At great risk the senior member of the firm entered the burning building and the stock of gold dust, which to something like $83,OOO.
 The following day the holders of the notes, fearing possible loss on ac- count of the fire, asked for the redemp- dOn of their notes, which was granted h every instance. But this seeming want of confidence so provoked MT. Cook that after the last note had been redeemed and cancelled he determined never to issue another, and thus ended m issue unique in America's financial history. It Is not probable that a 'pecimen of this interesting series of 1otes is in existence Washing on Post.