The silver state news. [volume] (Winnemucca, Nev.) 1907-1909, 1908-01-20
Prophecy of a Mormon Leader Which
Eventually Was Fulfilled.

"A
Eventually Wa Fulfilled.
The need of a circulating medium
brought into existence a curious form
OF currency among the Mormons of
Utah in the early days, says the New
York Sun. They had a fairly album
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 the fractional change.
and issued due bills for the small
amounts.
Finally so great became the need
for a convenient circulating medium
that the suggestion was made by some
of the leaders that the circulation of
the Kirkland notes be authorized, the
community to stand sponsor for them,
and this was done.
The Kirkland notes were the prod
net of a bank of the wildcat species
which was in operation in 1897 at
Kirkland, Ohio, where, under the man
agement of Joseph Smith. the Nor
mons had a settlement. The %institu-
ton was known as the Kirkland Safe
ty Society bank. and issued notes in
the denominations of 81, SO, So and
$40.
Fully $4,000 worth of these notes
are said to have been issued. Then
the bank failed, not having at the time
more than $4,000 on hand at the time
to redeem its issue. The result was
that the notes became absolutely
worthless. Many of the Mormons kept
the notes regarding them as curiosities
while others kept possession of them
in the faith that the prediction of
Smith would become true, he being
reputed to have said that the notes
would one day be as good as gold.
Made Prediction True.
The action of the Mormon leaders
in Utah in 1919 made this prediction
become true, for the Kirkland notes
at once went into general use and
were plaed on a par with gold. Each
and every one Of them were redeemed
at the Mormon headquarters in gold
dust. of which there seemed TO be a
greater supply than there was of re
presentation in money.
There were two issues of the paper
money or script in Denver. Colorado,
which were redeemed in gold. Some
of them were redeemed in gold at a
time when gold was at a premium,
and so rank among the curious money
representations Of which this country
has seen many curious examples
In September 1861 the firm of {.
A. Cook & ompan of Denver. Colo,
issued notes of the denominations of
10. 25 and 50 cents and one dollar.
This firm conducted a large merchan-
disc business, in the coure of which it
handled large quantities of gold dust
the latter at that time being the only
circulating medium in Colorado, or
Kansas Territory, as it was then,
From Merchants 70 Bankers.
Later the firm dropped the mer-
chandise business and took up bank
ing. Great need was felt for a frae-
tional currency which would be worth
as much as gold and at the ann time
save the inconvenience of handling the
gold dust. To supply the prevailing
need. Cook & Co. issued these notes
which were all finely engrave don
steel and bore the promise of the iirm
TO redeem them in gold dust.
The notes were snapped up by
everybody, particularly the merchnts
and il was not long before Cook 4
Co. notes were in general circulation IN
Denver and the surrounding mountain
country. They were promptly redeem
eed whenever presented, and being re-
deemable in gold dust were more de
sirable than United States currency.
They were the smallest gold notes
ever issued.
Some time later thebanking house
caught fire and was entirely destroy
ed. At great risk the senior mem
her of the firm entered the burning
building and rescued the stock of gold
dust. which amounted to something like
500, goo.
Redemption Guaranteed.
The following day, the holders of the
notes. fearing a possible loss on ac-
count of the fire, asked for the re-
demption of the notes, which in every
instance was granted, but this sem.
ingly want of confidence so provoked
Mr.. Cook that after the last note had
been redeemed and cancelled, he deter
mined never to issue another. and thus
ended an issue unique in American
financial history. 1t is not possible
that a specimen of this interesting
series of notes is in existence today
Denver was responsible for still
another paper issue worthy in several
ways. The banking, ~assaying and
minting firm Of Clarke, Gruber & Co,
of Denver issued a bank note in the
latter part of 1861, redeemable in gold
that was worth ever more than the
United States paper money.
This firm which began business in
Denver in 1860, and had bought great