CURRENCY ACT, 1927

REPORT

OF THE FOR THE YEAR ENDED, 3 ist MARCH, 1929

Presented to the Oireachtas pursuant to Section 36 (1) of the Currency Act, 1927

Roinn Airgid, Deire Fómhair, 1929.

This Publication may be purchased through any Bookseller, or directly irofa Eason and Son, Ltd., 40 and 41 Lr. O'Connell Street, Dublin.

Price Tu-o Pence.

DUBLIN: PUBLISHED BY THE STATIONERY OFFICE. (P. No. 61) H REPORT WM OF THE CURRENCY COMMISSION FOR BH THE YEAR ENDED, 31st MARCH, 1929 ^^H| ( I ) The construction of offices and vaults for the Currency ij^^HB Commission on the site acquired from the Bank of Ireland in ^HB Poster Place was commenced early in the year 1928-29 and made ^^B6 good progress throughout the year, portion of the premises ^HHbeing available for dealing with the initial issue of Legal Tender l^^Rj Notes in September. — H| (2) The designs for the now notes were settled finally during ^PP ^ fl^^B t tic year. The principal feature on the front of the Legal Tender ^HB „ Notes is an emblematic female figure designed for the purpose |^H| by Sir John Lavny, R.A. Only the head of the figure appears jfl^B on the notes of the denominations of Ten , jj^^M and Five Pounds, but the full design appears on the notes of ^HB higher denominations. For the back design of these notes ^^Kthe Commission has used the series of sculptured heads executed ^^H in the eighteenth century for the Dublin Custom House by the H^E sculptor Smyth. These heads are intended to be symbolical HB| representations of the rivers of Ireland, A different head has H^K been assigned to each denomination. The paper of the Legal BHE Tender Notes contains a conspicuous watermark showing in HH| profile a head of Erin from a copy in the National Museum of HHB a model by the well-known Irish sculptor Hogan. ^^H (3) The front design of the Consolidated Bank Notes, showing B^BE a peasant with a pair of horses and a plough, is from a drawing fl^H prepared for the purpose by Mr. Dermod O'Brien, President ^^D of the Royal Hibernian Academy. The back designs are from H^B drawings by Mr. E. L. Lawrenson and are as follows :— ^^tg ^^R i I Note ... Dublin Custom House. ^^r ^^H £5 Note ... Patrick's Bridge, Cork. ^^H £10 Note ... Office of thç Currency Commission. SH £20 Note ... Rock of Cashel. |H| £50 Note ... Croagh Patrick. EH£100 Note ... Killiney Bay. ^H| (4) Pursuant to Section 47 of the Currency Act, 1927, the HH 10th September, 1928, was duly fixed as the appointed day for HHthe commencement of the issue of Legal Tender Notes. This ^^S important step, involving a fundamental change in the currency HHarrangements of the , was carried out without HB any disturbance of monetary conditions or inconvenience to ^^B the interests affected. The circulation of Legal Tender Notes ^^B expanded steadily up to the end of the year under review when H the total amount outstanding was £6,557,998. 3

(5) In accordance with a direction under sub-section (2) of Section 36 of the Currency Act, the Commission has furnished every week to the Minister for Finance for publication in Iris Oifigiuil a statement giving full details of the Legal Tender Notes issued, redeemed and outstanding. A table is appended to this Report showing for each week of the year the amount of Legal Tender Notes issued during the week, redeemed during the week and outstanding at the end of the week. (6) The British currency notes heretofore in circulation in the Irish Free State have been gradually retired through the Commission by being presented to it by banks and others in payment for issues of Legal Tender Notes. The total amount of British currency notes so retired up to the 31st March, 1929, was £2,808,519 10s. (7) In order to provide for the redemption of Legal Tender Notes in London and kindred matters the Commission appointed the Bank of England to be its London Agency under Section 29 of the Currency Act. (8) In exercise of the discretion vested in it by sub-section (2) of Section 49 of the Currency Act, the Commission on the 13th December, 1928, notified the Shareholding Banks of the provision of facilities for the redemption of Legal Tender Notes at the office of the Commission in Dublin. (9) The Commission, under Section 64 of the Currency Act, required every Shareholding Bank to pay to it on the 15th June, 1928, a second instalment of £1,000 in respect of capital liability. A third instalment of the same amount was required to be paid on the 13th August, 1928. These requisitions were duly met by each bank, the total amount paid up by each bank in respect of the said liability being thereby brought up to £3,000, and the aggregate payments of the eight banks concerned being accordingly brought up to £24,000. (10) Under sub-section (3) of Section 35 of the Currency Act, the Minister for Finance, after consultation with the Commission, made regulations on the 30th July, 1928, prescribing the form of the statements of accounts to be prepared annually by the Commission (Statutory Rules and Orders, 1928, No. 50). A vStatement of accounts in the prescribed form for the period ended 31st March, 1928, was completed on 27th September, 1928, and after certification by the Comptroller and Auditor General, was in due course laid before Dail Eireann and published. A similar statement for the year ended 31st March, 1929, has been prepared by the Commission and transmitted to the Comp- troller and Auditor General. (11) Under sub-section (5) of Section 63 of the Currency Act, the Minister for Finance, after consultation with the Commission, made regulations on the 8th March, 1929, entitled the Currency Commission (Surplus Income) Regulations, 1929, whereby pro- 4

Vision is made for the determination periodically of the surplus income of the Commission (Statutory Rules and Orders, 1929, No. 10). The surplus income as determined under these regu- lations for the year ended 31st March, 1929, was £45,500 4s. 2d., of which an instalment of £20,000 was paid to the Exchequer during that year. In this connection it should be observed that revenue from Legal Tender Notes accrued only for a part of the year from 10th September, 1928, and that no revenue accrued from Consolidated Bank Notes, the issue of which had not commenced in that year. (12) Pursuant to Section 38 of the Currency Act, the Minister for Finance made arrangements with the Commission whereby the Commission undertook the work of issuing the new token coins provided by the Minister under the Coinage Act, 1926. Following a preliminary sale of specimen sets, the new coins were supplied to the banks for issue to the public on and after the 12th December, 1928. By way of payment for the new coins the Commission took over from the banks British silver coinage of equivalent amount, holding the latter for the account of the Minister and subject to his directions as to disposal. Details of the new coins issued up to the 31st March, 1929, are as follows :— Denomination. Amount. £ s. d. {Half-crown 94,435 2 6 Silver 70,988 2 0 56,194 1 0

Nickel { 14,397 0 6 4,823 10 3

fPenny 15,320 6 9 Bbonze ^ Halfpenny 638 18 ^ 104 9 2i Total issued £256,901 10 6|

(13) The Commission was consulted during the year by the Minister for Finance in regard to proposals by the League of Nations for the more effectual suppression of the counter- feiting of currency. (14) The term of office as an elected Commissioner of Captain Arthur Ronald Stansmore Nutting being due for expiration on the 20th September, 1928, an election to fill the vacancy thereby arising was held on the 5th September, 1928, in accordance with Section 27 of the Currency Act and Captain Nutting was re- elected for a further term of office.

Given under the official seal of the Currency Commission this 7th day of August, 1929.

Joseph Brenn an, Chairman. Newman Thompson, Secretary. Table showing for each week the amount of Legal Tender Notes issued during the week, redeemed during the week and outstanding at the end of the week.

Amount Amount Week ended Amount Issued. Redeemed. outstanding.

£ 15th September, 1928 £ 691,955 0 7 0 «91,948 22nd September, 1928 200,888 10 113 10 892,723 29th September, 1928 252,142 10 393 10 1,144,472 6th October, 1928 ... 242,058 10 876 10 1,385,654 13th October, 1928 ... 193,177 0 1,170 0 1,577,661 20th October, 1928 ... 287,215 10 1,516 0 1,803,360 10 27th October, 1928 ... 249,068 10 2,092 0 2,110,337 0 3rd November, 1928 474,098 10 2,224 10 2,582,211 0 10th November, 1928 312,916 10 2,957 0 2,892,170 10 17th November, 1928 303,955 10 4,771 0 3,191,355 0 24th November, 1928 213,680 0 8,866 10 3,385,169 10 1st December, 1928 354,458 0 11,619 0 3,738,008 10 8th December, 1928 377,875 10 25,839 10 4,090,044 10 15th December, 1928 304,689 10 9,141 0 4,385,593 0 22nd December, 1928 587,637 10 21,304 10 4,951,926 0 29th December, 1928 119,603 10 21,463 0 5,050,066 10 5th January, 1929 64,325 0 177,720 10 4,936,671 0 12th January, 1929 98,966 10 69,997 0 4,965,640 10 19th January, 1929 167,821 10 95,626 10 5,037,835 10 26th January, 1929 189,976 0 113,512 10 5,114,299 0 February, 2nd 1929 406,527 68,189 0 5,452,637 9th February, 1929 178,765 54,324 0 5,577,078 16th February, 1929 180,675 76,653 0 5,681,100 23rd February, 1929 132,285 71,623 0 5,741,762

2nd March, 1929 ... 217,302 89,600 10 5,869,463 10 March, 9th 1929 ... 241,847 10 7ö,840 0 6,034,471 0 16th March, 1929 ... 203,707 10 41,961 0 6,196,217 10 23rd March, 1929 ... 209,258 0 52,167 0 6,353,308 10 30th March, 1929 270,736 0 66,046 10 6,557,998 0 Totals ..£ 7,727,612 0 1,169,614 0 6,557,998 0

B. 9651. (Wt. 2829-938.) 3, 250. 10/1929.—A. T. & Co., Ltd.