Chatter

2014 CCC Dues are Due

Check the outside of your printed Chatter. A slip of yellow paper stapled outside the cover indicates that, according to our records, you have not paid your dues for 2014. Please mail them to the address on that slip, or bring them to our next meeting.

Minutes of the 1139th Meeting

Session I of the 1139th meeting of the Chicago Coin Club was held November 13, 2013 in the Chicago Bar Association Building, 321 S. Plymouth Court, Downtown Chicago. President Elliott Krieter called the meeting to order at 7 PM with an attendance of 22 members and one guest, Dennis Gorman.

A motion was passed to accept the October Minutes as published in the Chatter. Treasurer Steve Zitowsky reported October revenue of $155.00, expenses of $198.15 and total assets of $22,096.47 held in Life Membership $2,390.00 and member equity $19,749.47. A motion was passed to approve the report.

The application of membership of Dennis Gorman received first reading.

The following announcements were made:

• First meeting of the 2014 ANA Convention Committee was held on Wednesday October 30, 6 PM, offices of Harlan J. Berk, 77 W. Washington, Suite 1320, Downtown Chicago.
• December 11 Annual Banquet will be held at Foodlife on the Mezzanine level of Water Tower Place, 835 N. Michigan Ave. The program by Mark Wieclaw on Brookgreen Garden, the world’s largest statuary garden, which includes many works by numismatic artists. Numerous members made reservations and ten members indicated they would need a discount parking voucher. Everyone was encouraged to submit $40 per person to secure their reservation.
• William Burd, Club Archivist, was presented with serial 001 of the Columbian Exposition Ticket souvenir card issued for the Club’s meeting at the August ANA Convention.
• Jeff Rosinia announced for every $50 donated to the ANA you receive a voucher for a free 1-year ANA membership to give a friend. For details, go to www.money.org, click on Membership, then Donate, then Fundraising Campaigns.
• Richard Lipman passed out survey forms from the Bureau of Engraving and Printing, looking for feedback on Kevin Brown’s presentation at the Club meeting at the ANA Convention and their exhibit booth on the bourse floor.
• President Krieter asked for a volunteer who is an ANA member, but not a current client of Numismatic Guaranty Corporation (NGC), to find out the direct submission benefit from the ANA. Jeff Rosinia volunteered and will report back at a future meeting.

The evening program was an auction with Jeff Rosinia serving as the auctioneer.

The meeting was recessed at 8:15 pm. The meeting will reconvene 1PM, Saturday November 23, 2013 at the PCDA National Coin & Currency Convention, Crowne Plaza Chicago O’Hare, 5440 N. River Road, Rosemont, IL. The featured speaker will be Mark Anderson on The Swedish Private Bank Note Era 1824-1906 with Observations on its influence on the Creation of the United States Federal Reserve System.

Session II of the 1139th meeting of the Chicago Coin Club was held November 23, 2013 in conjunction with the 28th Annual National Coin and Currency Convention, Crowne Plaza Chicago O’Hare, 5440 N. River Road, Rosemont, IL 60018. The meeting was called to order at 1 PM by Second Vice-President Marc Stackler with 22 members and guests.

A motion was passed to adopt an abbreviated agenda. The application of membership of Mike Clark received first reading.

The following announcements were made:

• The Field Museum’s special exhibit through Sept 7, 2014 is Opening the Vaults: Wonders of the 1893 World’s Fair.
• The American Numismatic Association Convention, August 5-9, 2014, will be at the Donald E. Stephens Convention Center, Rosemont.
  • Speakers at the Money Talks program will receive a personally engraved medal with a neck ribbon. Examples were shown from 2011 & 2013.
  • Attendees are encouraged to enter an exhibit. There are Club members who are available to assist and answer questions at three different multi-day coin shows in the spring of 2014.
  • Volunteers are needed to help with information booths, welcoming convention goers at registration, etc.
• The featured speaker at the Club’s meeting March 8, 2014, in conjunction with the Chicago Paper Money Exposition, will be Roger Urce, New York, with a presentation on Leper Colony Coins & Currencies.

Featured speaker, Mark Anderson, New York, delivered a presentation The Swedish Private Bank Note Era 1824–1906, with Observations on its Influence on the Creation of the U.S. Federal Reserve System. Following a question-and-answer period, Mark was presented with an ANA Educational Certificate and an engraved Club speaker’s medal.

The meeting was adjourned at 1:56 PM.

Respectfully Submitted,
Carl Wolf, Secretary

Speaker’s Wor[l]d
The Swedish Private Bank Note Era 1824 to 1906, with Observations on its Influence on the Creation of the United States Federal Reserve System

a presentation by Mark B. Anderson,
to our November 23, 2013 meeting

After quickly showing a recent map of Sweden, and pointing out the locations of certain cities to be mentioned, Mark told us about the large and rich copper mine located near the town of Falun. The first mining activities are known to pre-date 1100 a.d., increasing in size and sophistication until, from 1600 to 1650 about two-thirds of Europe’s copper production came from Falun. An abundance of copper, coupled with little available silver or gold, resulted in the “Plate Money” vaguely familiar to many numismatists.

The last official year of mintage was 1776, but nothing dated later than 1768 is known today; the first pieces were made in 1644. Fewer than 11,000 pieces were reported to Tingstrom when he was gathering information for his 1986 reference book, but new pieces still are uncovered.

We are talking about a rectangular piece of copper plate, typically struck by a dated circular die in each of the four corners, and struck near the center by a value-bearing die. The 8 daler piece measured about 24 inches wide and 13 inches tall, and weighed about 32 pounds. Mark was only aware of one 8 daler piece trading publicly in the past ten years. Mark brought four examples with him: a ½ daler dated 1682, a 1 daler dated 1650, a 2 daler dated 1717, and a 4 daler dated 1735.

As you can imagine, plate money was inconvenient to transfer — soon it resulted in Europe’s first experiment with paper money. Johann Palmstruch created a bank, the Stockholms Banco, and in 1661 it started issuing paper receipts redeemable on demand for plate money on deposit in the bank. Mark showed us a uniface example dated 1666 — most of the text was printed, with date and value written in, with eight signatures of officials. Although the bank’s subsequent insolvency had a temporary negative influence on the use of paper currency, the needs of commerce and the convenience of paper led manufacturers, merchants, and other banks to issue their own notes; and over time, Palmstruch’s bank ultimately paid off all of its debts. During 1817 to 1824, private money issues, primarily by the so-called discount houses, were banned by the government, with the government to issue all money. But the treasury could not satisfy the demand, so beginning in 1824, a series of charters were granted allowing the creation of private banks. Until the legislated end to issuance of the “privatbanksedlar” in 1904, 31 banks, located throughout the country, issued private banknotes.

But first some comments upon the Riksdaler denomination. Beginning in 1776, one silver-backed riksdaler specie contained 48 skilling. Banks issued the copper-backed riksdaler banco, while the government debt office issued the copper-backed riksdaler riksgald. The values drifted apart over time, so that in 1834: 3 riksdaler specie equaled 8 riksdaler banco and also equaled 12 riksdaler riksgald. Mark showed us an 1837 2 Riksdaler Banco note with a large 2 in the center, from Privat Banken i Orebro; because this note also was worth 3 Riksdaler Riksgald, an oval containing something close to R^DR3R^GD appeared in both the left and right frames. Notes from 1824-1856, the Early Period, were crude; printed by copper plates. It sometimes was hard to tell the real notes from the counterfeits. Mark showed us notes with some color to them — the uniface notes were printed with a dark ink atop some light pastel printed backgound.

An 1848 note from Gothenburg’s Private Bank, denominated as 31/3 Riksdaler Banco, also carried a denomination of 5 Riksdaler Riksgald. The background is mostly blue, but with certain elements, including the central 31/3, in salmon; this color scheme easily identifies a note as from this bank, even from across a room! Not all notes stated values in multiple standards — a squarish 1841 3 Riksdaler Banco from Skanska Privat-Banken, printed on yellow paper, does not state an equivalent value. Other shown early notes were an 1837 2 Riksdaler Banco from Smalands Privat-Bank on pink paper, an 1836 3 Riksdaler Banco from Stora Kopparbergs Lans o Bergslags Enskilda Bank on white paper, and an 1848 10 Riksdaler Banco from the same bank but with a blue background in the center and in the corners.

The Riksdaler Banco standard was replaced in 1855 with the Riksdaler Riksmynt standard, where 1 Riksdaler Specie equaled 4 Riksdaler Riksmynt and equaled 4 Riksdaler Riksgald. This was the beginning of decimalization as 1 Riksdaler Riksmynt contained 100 ore; this First Reform Period, 1856-1873, also saw the standardization of note sizes. We saw an 1858 5 Riksdaler from the Kopparbergs Enskilda Bank, printed in Sweden but no longer uniface; the design on the back was a mirror image of the front design that was printed with dark ink, but the back still had no background printed in color. The 5 and 10 notes were rectangular, while the 50 and 100 notes were square. We saw a cancelled 1867 50 Riksdaler note from the Malare-Provinsernas Enskilda Bank, and a specimen 100 Riksdaler note from the Stockholms Enskilda Bank on which Mark pointed out, in fine printing, that it had been engraved and printed by the National Banknote Company of New York. In addition to fine lathework, this last piece also had allegorical, historical, and scenic vignettes.

The Second Reform Period, starting in 1873, saw the replacement of the Riksdaler Riksmynt standard with the kronor standard, where 1 kronor equaled 100 ore. As a result of this change, all notes had to be redesigned to use the new denomination. Some banks initially kept their basic design and just changed the denomination, while other banks improved the design and quality of their notes. The shown 1878 5 and 10 kronor notes of Kopparbergs Enskilda Bank were similar to the old design, but the name of the local printer, Jacob Bagge, was added on the front, and the 10 kronor was printed in green; the back image no longer used a mirror image of the front. An 1894 10 kronor from the same bank showed improvement in the design and engraving quality; it had a vignette of Gustav Vasa, the “father of modern Sweden,” and the printer was identified as Aktiebolaget Jacob Bagge Sedeltryckeri. Notes from other banks were shown — all with sharp vignettes and intricate design elements that were cleanly printed — printers included Bradbury Wilkinson of London, and National Banknote of New York — 500 kronor and 1000 kronor notes were introduced.

An 1897 law authorized the Riksbank as the only banknote issuer in Sweden; the private banks could continue issuing notes until 1903, with the required redemption of their notes starting in 1906. The redeemed notes were canceled in a number of ways, including: stamped with the word BETALD (paid) or INLOST (received), round holes, star shaped holes, perforated letters, and some had the signatures cut out. The above, along with SPECIMEN, appeared on some of Mark’s later notes, especially the larger denominations and ones with little wear.

Having reviewed the Swedish history of notes from private banks, Mark reminded us of the notes issued in the US during the last half of the 19th century — various types from the federal government, and the many National Banks issuing their own notes. The panics and growth of the country caused the public to perceive weaknesses in that system.

In the wake of the Panic of 1907, a 1908 act of Congress established a National Monetary Commission to study the banking laws of the US, Canada, Mexico, and much of Europe. The commission issued 30 reports from 1909 to 1912, and a final report contained recommendations and draft legislation to establish a national reserve association in the US. Among the reports is the 1910 The Swedish Banking System by A.W. Flux; it included histories of the Riksbank and Enskilda banks, focusing on the currency challenges and advantages associated with each institution and system. The final result was the Federal Reserve Act of 1913, taking effect in November of 1914. Mark observed that the need for combining centralization of monetary control, while still ensuring regional institutional responsiveness has been around for a long time, with many flavors of answers being offered. And the notes are collectible!

Bibliography
• Plate Money, Bertel Tingstrom, Uppsala Sweden, 1986.
• Sveriges Sedlar, Vols I, II, and III; A. Platbarzdis, Lund 1965.
• Myntboken 1981; Privatbanksedlar, Ove Svensson, 1981.
• Report to the 61st Congress - Second Session, National Monetary Commission; The Swedish Banking System, A.W. Flux, Washington, G.P.O., 1910.

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Auction Results
November 13, 2013

These are the realized prices for the lots listed in the November Chatter.

Our December Banquet (1140th Meeting)

Minutes of the 2014 Chicago ANA Convention Committee

October 30, 2013

The first meeting of the 2014 Chicago ANA Convention Committee was called to order at 6 PM by Host Chairman William Burd on Wednesday October 30, 2013 in the offices of Harlan J. Berk, 77 W. Washington, Suite 1320, Downtown Chicago.

The following members were present: Paul Hybert, Steve Zitowsky, Dale Lukanich, Sharon Blocker, Mark Wieclaw, Harlan Berk, Robert Feiler, Eugene Freeman, Jeff Rosinia, Elliott Krieter, Marc Stackler, Rich Lipman, Robert Weinstein, and Carl Wolf.

1. Harlan Berk was given a warm round of applause for providing the meeting room, the dinner from Reza’s Restaurant, and parking vouchers.
2. William Burd reported:
   1. Jeff Rosinia is the Assistant Host Chairman.
   2. Announced the Committee Chairman appointments and passed out the Host Convention Committee Guide from the ANA.
   3. Rhonda Scurek, ANA Director of Conventions, shared the following in a telephone conversation:
      1. She will attend the January 22, 2014 committee meeting.
      2. The 2014 Pre-Show will not be administrated by the ANA.
      3. The Kick-Off event will be held in Rosemont with details to follow.
      4. No convention theme chosen as of this date.
      5. The planned exhibit area was moved (bourse floor map passed out)
      6. Local Club tables will be free.
      7. Club budget is under discussion but not approved.
   4. Club member Mike Gasvoda is planning a Museum Showcase Exhibit on the gold coins of Roman Caesars.
3. Mark Wieclaw, 2013 Host Chairman, made the following comments on how the convention operation could be improved:
   1. Registration needs to be fully staffed at opening.
   2. Better access for handicapped.
   3. Provide seating at registration for seniors.
   4. Provide a separate registration line for handicapped and elderly.
   5. The Convention Program was too thick and cumbersome to handle.
4. Committee Chairman Reports:
   1. Ambassadors – Carl Wolf
      1. Endorsed Mark Wieclaw’s report.
      2. Plans to begin recruiting after January 1 and expecting about the same number of volunteers (80).
      3. Will ask the ANA to provide 35+ chairs at registration during the morning hours for elderly and handicapped. When the registration line evaporates, volunteers will clear the chairs away.
      4. Communicate to the ANA that volunteers and convention goers found the Convention Program too cumbersome.
   2. Scouts – Eugene Freeman
      1. 2013 attendees: 85 boys, 25 girls, from 60 scout units & 6 states.
      2. The merit badge program went from 10 AM – 1:30 PM, leaving little time for scouts to spend on the bourse floor or exhibits.
      3. Trying to reach Rod Gillis, ANA Education, to discuss ways to improve the program.
      4. Received very good feedback from suburban Scout leaders.
   3. Pages – Richard Lipman
      1. Reported in 2013 more pages showed up than registered.
      2. Expressed concern with pages being paid to stand in line for dealers who wish to buy special limited edition collector coins.
      3. Was concerned about the pages passing out flyers from dealers without tables.
      4. Thought pages would benefit from buying a Starbucks gift card allowing them to receive free cups of coffee after buying a certain number.
   4. Money Talks – Dale Lukanich
      1. Will be working with Susan McMillan, ANA Education Project Manager.
      2. Presentation applications will be accepted after January 1, 2014.
      3. Plans to announce at the beginning of every 2014 Money Talks presentation that questions are to be held until the end of the talk.
      4. Reported a lack of good signage in 2013 and requested more volunteers in the area with the Money Talks, Auction, Specialty Clubs, etc.
   5. Collector Exhibits – Paul Hybert
      1. 2013 had only 220 cases of exhibits, but there was space for 400 cases.
      2. Only 2 Young Numismatists (YN) exhibited.
      3. Plans to write to local clubs.
      4. Recognizes a conflict with convention goers when closing the exhibit area to one-way traffic at 2 PM on the last day, when cases are open and valuable material is picked up by exhibitors.
5. Speakers’ Medals
   1. Money Talks committee members reported very positive feedback from 2013 speakers when they received the Club’s Standing Lincoln medal on a neck ribbon.
   2. Everyone thought it should be continued for 2014.
   3. Report on costs would be reported at the next meeting.
6. Hotel Lodging – Bill Burd
   1. The ANA will make reservations for committee members at the reduced rate received by ANA Staff and deduct it from the committee budget.
   2. The names of Committee Chairman needing rooms will be submitted after the next meeting.
7. Budget – Bill Burd: still open
8. Other – Restaurant Guide issued by the Club was met with good reviews, but many convention goers were not interested.
9. Tentative Upcoming Meetings:
   1. December 4, 2013
   2. January 22, 2014

Harlan Berk was thanked again for his generosity and the meeting was adjourned at 7:20PM.

Respectfully Submitted,
Carl Wolf, Secretary
Chicago Coin Club

Important Dates

Unless stated otherwise, our regular monthly CCC Meeting is in downtown Chicago on the second Wednesday of the month; the starting time is 6:45PM.

Chatter Matter

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CHICAGO COIN CLUB
P.O. Box 2301
CHICAGO, IL 60690

http://www.ChicagoCoinClub.org/

Club Officers

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