Ormsby's Bank Note Engraving

Front matter

I

Ife?

* t r

Preface

Introduction ...... 1

The transfer press .... 5

The ruling machine .... 6

The medal copying machine . . 6

The geometrical lathe .... 6

The printing department ... 6

Bank note dies ..... 7

The geometrical lathe work ... 7

Multiplying geometrical figures . . 8

P Ah

Rules for constructing a bank note . 17

Violation of these rules in the present system 17 The counterfeiters’ process . . . 19

The first invention of the American note 20

Congreve’s analysis . ... 28

Remarks on Congreve’s work . . 36

Imitation lathe work by wood engraving 89 First imtroduction of the system into this

country . 41

Counterfeited plate, No. 1 . . . 42

Counterfeited plate, No. 2 . 43

The electrotype process .... 44

Portrait of Jacob Perkins ... 45

The first notes of the free banks . . 47

The counterfeiters’ modes of fraud . 48

Counterfeit plates of the original engravers 52 r I.

Page.

The medallion 9

The lettering 9

The Comptroller’s die . . . . 10

The red letters 10

Capital 10

Prices 11

Commencement of business . . . 11

Results 12

Concluding remarks . . . . 13

1 II.

Counterfeit treasury notes . . . .52

A multitude of frauds by one plate . 54

Counterfeited plate, No. 8 . 55

Stratagems of counterfeiters to obtain genuine

plates 56

Exploits of Brockway . . . . 57

Liabilities of banks ..... 62

Bank Note List, and Counterfeit Detector, 63

Defects and insecurities of the patch-work

system 66

Necessity of a change in the style of bank

notes 68

Difficulties of effecting a change of system 71

Detecting counterfeits . . . . 74

A tribute of respect to artists . . 75

A word to banks 76

What we have proved ... 77

A new system of bank note engraving . 77

The new plan ..... 80

Objections ...... 83

EMBELLISHMENTS,

The Transfer Press 1

Ruling Machine .... 2

Vignettes ...... 3

Geometrical Lathe Work . . 4

Multiplying Geometrical Figures (frontispiece) 5

Medallion Engraving ... 6

A patent patch-work bill ... 86

A crowning evidence in favor of our system 88 Description of plates . . . 89 to 102

Engraved by Ormsby.

The Four Bank Notes .... 7

Forms for Bank Notes ... 8

Process of Counterfeiting . . 9

Portrait of Jacob Perkins . . 10

Vignette dies in common use . 11

Ditto ditto . 12

New system partially illustrated . 13

T7

#vl

...... _

PREFACE.

It IS with unaffected diffidence that this work is offered to the public. To expose the defects and dangers of the work of eminent Artists, with whom the Author has none but the most friendly relations, and for whose genius and character he entertains the highest respect, is a task too unwelcome to have been undertaken but from a deep conviction of its importance and necessity. For many years a professional Bank Note Engraver himself, the defects and bearings of the system of Engraving universally employed in this country upon Bank Notes, became, in the course of the Author’s experience, so painfully evident, and the facilities which it afforded the Counterfeiter so obvious, that he was unavoidably constrained to seek some adequate remedy. An investigation of the subject soon disclosed the evil to consist in the use of labor-saving machinery and dies, and in the piecemeal or patch-work system of Engraving necessarily resulting from their use. The more the subject was considered, the more apparent its weakness became ; until there arose in his mind a moral constraint to make it known, and to awaken the public attention to an evil so alarmingly prevalent, and so unavoidable under the existing state of things. The present work has had its origin in this feeling: and he cannot but persuade himself that the candid reader of his pages will arrive at the same conclusions to which his own sincere research led him, that there is no security against Counterfeiting so long as the present system of Engraving continues to be practised. The remedy proposed, is simple and practicable ; and it is the writer’s firm conviction that if it be universally adopted, Counterfeiting as now ordinarily practised, will be impossible.

This is, assuredly, an end in which all Banking Institutions, as well as the Public generally, have a vital interest. The losses occasioned by Counterfeiting are already enormous; and, under the present system of Engraving, they must inevitably become greater. The multiplication of Banks, and the increase of dies and machinery, are rendering the business of Counterfeiting so easy and so safe that its rapid increase will be inevitable. But few persons, whose attention has not been directed to the subject, are aware of the alarming extent to which this dangerous crime is now carried. Our Bank Note Detectors teem with cautionary notices and descriptions of counterfeits, alterations of denominations, and other kinds of Forgery, all of which can be distinctly traced to the system of Engraving now universally in use. This evil will go on till the paper currency of the country becomes worthless, unless some remedy, covering all the sources of danger, be adopted.

Whether that remedy shall be adopted, it remains with Banking Institutions mainly to decide. It is for them to determine whether the perilous system now in-use shall be prolonged, or whether a new system, avoiding the defects of the old, and affording the greatest possible amount of security, shall take its place. From Bank Note Engravers, whose interest, reputation, and capital are involved in the continuance of the present system, no aid in effecting the needful reform is to be expected.

YU.

PREFACE.

Without imputing to them any motives other than the natural instincts of interest, to which all men are subject, the Author anticipates their opposition in any and every form, — by the authority of professional knowledge, by the imputation of unworthy designs, and by means of the pre-secured confidence of Banking Institutions. It is not natural to expect, from parties whose interests are affected by a proposed reform, any thing less than an opposition proportioned to the amount of their anticipated losses. If reform there be, therefore, it must spring from the enlightened convictions and wisdom of the Banks themselves. They can see the evil, and without any professional assistance, they are able to judge of the merits of the remedy proposed.

As they are the only sources from which Bank Notes emanate, they alone have the power to effect the change proposed. These Institutions have suffered more from misinformation on the subject of Engraving, than from the depredations of Counterfeiters; and if they continue to rely upon the suggestions, of interested parties, every change will be likely to result, as heretofore, in making the original Engraving easy and profitable to the Artists, and still more expensive to themselves* And, as an inevitable consequence, rendering counterfeiting easy of accomplishment, and difficult of detection.

We enter the field of inquiry untrammelled by interest, seeking for no exclusive privileges, no emolument except the natural support of those for whom we labor, no favor except that of being heard and respected, and without any other aspirations than those of being useful — firstly, to Banks, by rendering their circulation secure against Forgery ; secondly, to Artists, by opening a new resource for the exercise of their talents and enterprise ; thirdly, to business men, by inspiring them with confidence in our great circulating medium, which now requires their constant watchfulness, and deserves their distrust ; and lastly, to aid the cause of morality, by closing a royal road to crime, fraught with excitement, temptation, and ruin.

It is to Banks, therefore, that the Author looks for the support and encouragement in attempting to effect a reform, of which they will reap the first and greatest advantages. He appeals to their experience of the evil, and their candid good sense to determine the value of the change he proposes, uninfluenced by sinister suggestions of interested parties, or by prejudices in favor of that which has long been acquiesced in. With their concurrence, a change can be speedily brought about, which will give to our monetary currency a security to which it has long been a stranger, and which he pledges himself, every reader of these pages will be convinced, is impossible under the present system of Engraving.

Though complete in itself, the arguments and demonstrations of the present work would be greatly confirmed by a more minute description of the ways and means by which the genuine work of Bank Note Engravers finds its way into the hands of Counterfeiters. If duly encouraged in this undertaking, the Author proposes another and more elaborate work, giving a circumstantial history of a large number of elegant vignettes, denomination- work, and other parts of Bank Notes, engraved by the best professional Engravers, which have passed from the hands of their original owners into other hands. Some of these involve deeply instructive lessons, and much romantic interest ; and their history will go to confirm the impression of the present work, that so long as dies and machinery are used, there is no security from the Counterfeiter.

Nfw York, August 13, 1852. W. L. ORMSBY.

I X T R 0 D U C T I 0 X fHE Art of Rank Xotc Engraving as practised in the United States, essentially differs from that of any other country. Our mode is more expeditious, and our notes more beautiful; but, that important feature, security against forgery , which ought to be paramount to every other consideration, seems to have been almost entirely disregarded, or, at least, to have escaped that attention, which a subject of such importance deserves.

It is well known that the country is inundated with spurious bank bills, many of them beautifully executed. Some arc genuine bills of broken Ranks, altered to represent those of good Ranks. Some also, are impressions from genuine plates of insolvent institutions, which are changed in the lettering, to bear a general resemblance to any Bank in the country ; and all genuine bills arc now liable to be altered from low to high denominations. This flood of spurious paper is rapidly increasing, and the public seems to regard it as without remedy. Ranks are often compelled to call in their issues, and procure new plates at great expense*

The following inventions are now generally employed in engraving banknotes. The ruling machine, the geometrical lathe, the medal copying machine, and the application of steel to engraving purposes. These inventions, though in themselves splendid improvements, without a parallel in the history

Introduction

of the fine arts, nevertheless, when applied to the manufacture of Bank Notes, furnish the counterfeiter with his chief facilities of fraud. For in order to make the above-named inventions available, the Bank Note Engravers are compelled to adopt a system of what may be called p&lcliwoi li , of separate and distinct pictures, so arranged on a note, that one may be removed without materially defacing another. The lettering also, is separate and distinct from the ornamental portion, and may be altered, erased, and changed at pleasure. The same dies are used many times on the same note, and also on many notes— evidently increasing the temptation to forgery at every repetition. Such also, is the similarity in all our Bank Bills, that the counterfeiter is enabled to make one plate answer for a multitude of frauds.

Our present Bank Bills arc so cheaply and expeditiously executed, and the pictures upon them are so indescriminately used, as to be open to the attacks of the counterfeiters in.' a great variety of ways. Now, if we are protected from an overwhelming issue of spurious money through the counterfeiter’s want of knowledge of our imperfect system in manufacturing the original plates, it is important that the public should first understand that imperfection, and remedy it. But if counterfeiters already know the defects of the system, and are actually availing themselves of them, it is of still greater importance that the public should know them also, and take energetic measures to correct the evil while yet in its infancy.

O

Counterfeiters can now obtain well-engraved Bank plates in imitation of those of any institution in the country, and procure upon them the genuine WO rk of the best artists, without their knowledge or consent. Many of the original vignettes, denominations, etc., now seen on notes in circulation, are at the counterfeiter’s disposal. They have actually procured a cojipci plate from the original Bank Note Engravers, ostensibly for a mining company, and have erased and changed the lettering to represent a five hundred dollar Treasury Note. What more convincing proofs of the weakness of our present system of Bank Note Engraving in respect to security against forgery need be

given ?

It is time that our rapidly increasing Banking Institutions should imestigate this subject thoroughly. It is time they should know why the Bank of England Notes, which are so plain and simple, are not counterfeited as readily o

INTRODUCTION.

as our own, which are, apparently, so complicated, and so exquisitely beautiful. If it be a fact that the safety of our notes, in respect to security against forgery, has been sacrificed to the convenience of the artist in manufacturing them, and to the beauty of the Notes in their general appearance, the necessity for a radical change in the mode of manufacture cannot be questioned.

Objections may he raised to the publication of this work, on the ground that it conveys information to the counterfeiters which will enable them to practice their designs more successfully. This implies, that security against forgery consists in the secresy of manufacturing the original N otes.

But the truth is, that secresy is favorable to counterfeiters, who will soon discover any plan, however ingenious. Those who first succeed, obtain a monopoly of the business, and a monopoly of the business of manufacturing both the original and counterfeit Notes, is equally objectionable.

Publicity is favorable to the public. A thorough knowledge of the manner of engraving Bank Notes, will render the detection of a spurious production a matter of certainty ; providing, however, the manner of constructing and executing the original Note is founded on correct principles.

The object and aim of this, work will he, firstly, to prove that the present system of engraving Bank Notes is not founded on correct principles to prevent forgery. And, secondly, to describe a system which will give the utmost amount of protection in this respect.

A work of this nature ought certainly, to claim the serious attention, not only of Bankers, but of every philanthropic mind. If our Bank Notes are easily counterfeited, the temptations to crime are in proportion to the extent of our paper circulation. By rendering the counterfeiting difficult, we remove the temptation, and thus contribute to the advancement of human happiness.

It will be necessary for the reader to possess a thorough knowledge of this system in order to comprehend its defects ; and this we believe will sufficiently explain our motive in giving a comprehensive view of the private, though simple arrangements of Bank Note Engraving Establishments.

Some of these Establishments have been in operation for nearly thirty years, yet tlicir process and machinery have never been explained to the public. As their secresy no longer serves to protect the public from a fradulent imitation of their labor, an exposition of them can do no harm, while it will serve to illustrate the obvious defects of the system they adopt, and the facilities which counterfeiters enjoy in imitating their work. Security against counterfeits must have some surer basis than secresy ; for no monopoly of abilities, nor seclusion from the public eye, nor fidelity of professional artists, can protect these Establishments from the scrutiny of the fraudulent.

D E S C HI P T I 0 N

OF

BANK NOTE ENGRAVING.

The business of Bank Note Engraving is usually conducted, by professional artists; though, as will be seen in the sequel, personal ability to engrave is not indispensable to the conductor of it. A capital of about two thousand dollars, an extensive acquaintance and influence with Directors of Banking Institutions, and apt business capacities, are all that are necessary to the prosecution of the art.

The usual components of an Establishment of this kind arc, an office for the transaction of business ; rooms for the engraving, hardening, and transferring of the dies to bank-plates ; and a printing department of greater or less extent. No restraints are placed upon the workmen employed in the various departments of the business, which are not imposed upon those engaged in any other branch of mechanical labor. TV hatever merit, therefore, is due to the Establishment for integrity and secresy, belongs equally to all the members of it, from the humblest errand boy to the principals themselves ; for all have it equally in their power to take advantage of the facilities which the Establishment affords, for illicit purposes. The various instruments and machines used in the engraving of Bank Notes we will now severally describe.

TILE TRAN SEEK

PRESS.

The most important of the Bank Note Engraver’s implements, is the Transfer Press. The function of this is to multiply the small engravings of the Note, without re-engraving, in perfect fac-simile, and to any extent. The facility which this machine affords for multiplying the finest engravings, enables the artist to spend more of his labor and skill in finishing his vignette, since it may be used many times over, in different designs for notes, checks, certificates, labels, etc.

A

DESCRIPTION OF BANK NOTE ENGRAVING.

THE RULING MACHINE.

The next in importance is the Ruling Machine, now universally in use among engravers. It is employed in a variety of forms, as in executing the sky of a vignette, the back ground of a portrait, the shading of letters, etc. which constitute no inconsiderable part of the actual labor to be done in Bank Note Engraving.

THE MEDAL COPYING MACHINE.

This machine is used for the execution of that portion of Bank Bills which resembles has relief \ and is generally attached to the Ruling Machine.

THE GEOMETRICAL LATHE.

This machine is used to produce the white line net-work seen in ovals, circles, and strips of Bank Bills, in which the figures denoting the denomination of the bill are placed It is seldom used after a few specimens are obtained ; and many Establishments dispense with it altogether, content to purchase the productions of others.

These implements constitute all the machinery necessary to furnish the Bank Note Engraver’s atelier, on the prevailing plan in this country. They are few and not expensive. Their average cost may be estimated to be as follows :

The Bogardus Transfer Press ...... ^ 500.00

The Friction Ruling Machine, with the Medal attachment, 100.00

A variety of Geometrical Lathe work ..... 50.00

Desk tools, together with a stock of blank plates and dies

sufficient for the commencement of businsss . . . 150.00

THE PRINTING DEPARTMENT.

A well-fitted department for printing Bank Notes would require an additional investment for machinery, etc.; but it is an entirely separate branch of business, and may be procured of any professional printer, without the outlay of any capital in this part of the Bank Note Engraver’s work.

DESCRIPTION OF BANK NOTE E N G R A V I N G .

BANK NOTE DIES.

We will now proceed to describe succinctly, the mode of preparing the Bank Note dies. All the vignettes, portraits, and scroll ornaments, that adorn the usual Bank Note, are first engraved on soft pieces of steel, of about the thickness of window glass, which are called in professional parlance, “ bed pieces.” A representation of one of these may be found in Plate One, Figure Two, where it appears in full size, with the engraving upon it. When finished, this bed-piece undergoes a process called “case-hardening” — a process so fully described in mechanical books, as to need no description here. It is then placed in the Transfer Press. (Plate One, Figure One, Number Two.)

The die is a steel cylinder, about two inches in diameter, of width varying from half an inch to about three inches, according to the size of the vignette or ornament to be transferred to it. Plate One, Figure Three, is a fullsized representation of a cylinder die, with the same engraving upon it that is seen upon the bed-piece in the same plate.

Now in order to obtain the engraving on the cylinder, or to “ take it up,” as it is technically called, it is placed upon the bed-piece in the Transfer Press, (as seen in Plate One, Figure One, Number Three.) A heavy pressure is put upon the cylinder by means of the foot-lever (Number Four,) and the beam (Number Six,) moved backward and forward by means of the hand-lever, (Number Five,) by which the soft steel of the cylinder, is pressed upon the hardened bed-piece, until a complete impression is made upon the cylinder in relief. The cylinder die thus produced, without the slightest possible defacement or injury of the bed-piece, is then case-hardened, and is ready for use in transferring the engraving upon it to any required place, in a steel plate for a Bank Note, or any other purpose.

THE GEOMETRICAL LATHE-WORK.

The figures on the Bank Note denoting denomination, as 1, 2, 3, 5, etc., are obtained on the die in a finished state, in the following manner : The lathe-work is taken up on a cylinder in the manner previously described, and the figures, or letters, are scraped off, to produce the white face figures, as seen in 'Plate Four, Figure One. An impression of the die is made on a

DESCRIPTION OF BANK NOTE ENGRAVING.

steel bed-piece, and the letters are “ finished up” by the engraver. The bed-piece is then hardened, and a die is again taken up, to give the finished impression seen in Plate Four, Figure Two. By this process, the various figures seen on Plate Four, are made ready on the several dies, to be used in transferring these engravings into plates for Bank Notes.

MULTIPLYING GEO M ETHICAL FIGURES.

A single latlie-work oval can be multiplied into an almost unlimited variety by the following process. The oval, (Plate Five, Figure One,) is taken up in relief on a cylinder die, and scraped oft’ again, except a section of one-eighth of a circle. Thus prepared, the die will give the impression seen in Plate Five, Figure Two.

Figure Two is then transferred to a steel bed-piece eight times, and produces the impression seen in Plate Five, Figure Three.

A die is then taken up from Figure Three, and scraped oft again, leaving another section of one-eighth. The figure Avill now be larger, as seen in Plate Five, Figure Four.

Figure Four is also transferred eight times, to a steel bed-piece, producing the impression seen in Plate Five, Figures Five and Five.

Figure Five can also be used for the back plates of Notes, as seen in Plate Five, Figure Six.

A parallel section of Figure Three is taken up on a die, giving the impression seen in Plate Five, Figure Seven.

Figure Seven is then transferred to a steel bed-piece, giving the impression seen in Plate Five, Figure Eight.

From the bed-piece of Figure Eight, dies are made, to produce the impressions seen in Plate Five, Figures Nine and Ten.

From the bed-piece of Figure Two, a die is taken up, and a portion in the centre is scraped oft’, to produce the impression seen in Plate Five, figure Eleven.

DESCRIPTION OF BANK NOTE ENGRAVING.

In the bed-piece of Figure Eleven any required letters may be engraved, and dies taken up to produce the impressions seen in Plate Five, Figures Twelve and Thirteen.

Figures Twelve and Thirteen may be transferred in a variety of ways, to vary the design, by matching in different places. Sections of these figures may also be taken up to give the impressions seen in Plate Five, Figures Five and Five. The letters Three and Five would then appear eight times, in the eight stars formed in the circle.

From Figure Five, a die may be taken up, and scraped off again, leaving the central portion, and will give the impressions seen in Plate Five, Figures Sixteen and Seventeen.

From the bed-pieces of Figures Twelve and Thirteen, dies may he taken up, and scraped off again, leaving the portion in the centre as before, and they will

These figures can he changed, varied, and multiplied, by continuing the process, to any length.

THE MEDALLION.

The Medallion is the ornamental portion of the Bank Note engraved by machinery, resembling has relief. (Plate Six.) It is made principally by the plain Ruling Machine, with the medal attachment, which copies, by a succession of lines running entirely across the design, whatever medal, coin, or relief pattern is placed in it. The medals most generally used for Bank Notes are selected from specimens obtained from plaster image venders; though original designs are sometimes procured for the purpose.

THE LETTERING.

The name of the Bank, the State, and the Town ; the number, checkdetter, Cashier and President; the words “will pay,” “to bearer,” “ on demand,” “Ten Dollars,” etc., arc all transferred to the hank-plate, in a short space of time, by means of dies, which will answer the purpose for any number of plates.

9 B

DESCRIPTION OF BANK NOTE ENGRAVING.

The title of the Bank is most usually required to be engraved anew; though in the regular course of business for years, an Engraving Establishment will be apt to accumulate a number of titles, such as Farmers’ Bank, Merchants’ Bank, or Mechanics’ Bank, which will answer for plates of any Bank of the same name.

THE COMPTROLLER’S HIE.

This die is peculiar to the Bills issued by the Free Banks. The vignette design embraces the arms of the State in which the Bank is located. The words “ countersigned and registered in the Bank Department,” or others of similar import, usually make the border of the vignette, in an oval form, as in Plate Three, Figure Two.

THE BED LETTERS.

The red letters, One, Two, Three, etc., seen on the back and face of many Notes, as if the ink had penetrated the paper at one impression, are made by the following simple process : wood or metal cuts of the required letters are placed in a common printing-press; the “ form” inked with red. The first impression is pulled upon the “ tympan sheet,” which moves on a hinge. The form is inked again with red ; the bill placed upon it, and an impression made upon its face, while at the same time, a corresponding impression is made upon the back, by an offset from the tympan sheet.

Such are the processes by which a Bank Note is engraved in this country. The simplicity and ease with which they are performed, will thus be seen. To complete our survey of the Bank Note Engraver’s business, let us estimate the necessary amount of capital required successfully to carry it on.

CAPITAL.

The amount of capital required to purchase the machinery and the stock requisite to commence the business, we have estimated to be Eight Hundred Dollars. To this must be added the cost of engraving and preparing the first set of dies. If the conductors of the business are themselves professional artists, they will produce by their own labor, in a few weeks, vignettes, denominations, etc., sufficient for the execution of a bank-plate, without any further outlay of capital. But if not professional Engravers, which is sometimes

DESCRIPTION OF BANK NOTE ENGRAVING.

actually the case, the sum of One Thousand Dollars would be sufficient for this purpose; making the total amount of capital required, One Thousand bight Hundred Dollars.

PRICES.

The established prices for engraving and printing Bank Notes are the following :

Engraving a steel plate of four Notes, of any denomination $.500.00

Half plate 250.00

Printing a plate of four Notes, per one hundred impressions 2.50

COMMENCEMENT OF BUSINESS.

At the commencement of business, if an order be received for a full suite of plates for the Railroad Bank, for example, which has a circulation, we will suppose, of three hundred thousand dollars, the plates may be arranged as follows :

One whole steel plate, containing four Ones.

“ “ “ “ “ three Twos, arid one Three.

“ “ “ “ “ two Fives, one Ten, and one Twenty.

One half plate . . “ Fifty and One Hundred.

The supposed circulation of the Rail Road Bank will require the following amount of printing :

20,000

impressions of the Plate of four Ones, giving

$80,000

10,000

“ “ “ Twos and Threes

90.000

1,500

“ “ “ Fives, Ten, and Twenty

60.000

“ “ “ Fifty and One Hundred

75.000

32,000

“ making the supposed circulation of

$305,000

The Printing may be procured, without expense to the Engraver, of the best copper plate printers, for one dollar and a half for one hundred impressions.

n

DESCRIPTION OF BANK NOTE ENGRAVING.

Thirty-two thousand impressions will therefore cost the Engraver . §480.00 Add the amount invested in dies, machinery and stock, as before and we have a total of ...... §2,280.00

This comprises the whole amount of capital requisite to commence the business of Bank Note Engraving, and to execute the first order.

For the above work, the Artist’s bill to the Bank will be as follows :

Engraving Plate of Four Ones

“ “ Twos and Threes

“ “ Two Fives, One Ten, and One

Twenty .

“ Half Plate of Fifty and One Hundred Printing 32,000 impressions, full Plate, at $2.50 “ 500 “ half Plate, 1.50

$500.00