By LEE RAJSICH Special to the Daily Press
What may be the largest trove of unused American paper money to survive from the 1800s was recently sold for more than $10 million by a Santa Monica company.
The entire collection, known as the Atlantic Collection, consists of more than 1,000 extremely rare $5, $10 and $20 U.S. paper notes which first appeared in 1869.
Among the collection of large-size notes are the “Woodchopper” and “Jackass” designs, both of which first appeared in 1869. The designs depict scenes of early American life and are widely considered some of the best examples of the engravers’ art. The Jackass note is a design that appeared on several $10 legal tender notes and are named because when turned upside down, the picture of the bald eagle looks like the head of a donkey.
Before their sale, the grouping had been held as vault cash reserves in a bank on the eastern seaboard. The notes were sold privately to more than 500 investors and collectors — all of whom were previous clients of Goldline International. The notes sold between $2,075 and $50,000, based on rarity and condition.
“The existence of the collection was kept secret until now,” said Mark Albarian, president and CEO of Goldline International, which is located at 100 Wilshire Blvd. “We offered the notes to a select group of our clients and they sold out very quickly.”
Historical collections of paper money are a unique rarity, according to Goldline International. Most of the currency was spent and ultimately destroyed as new notes were issued and as a result, very few paper notes from the 1800s survived.
The collection of paper money has unique historical distinction because of its extremely high quality. Before they were discovered, collectors didn’t know that they had been uncirculated.
“Most experts in the paper money field will be shocked that a collection of this quality survived in such incredible condition,” Albarian said.
The collection’s $20,000 face value has now appreciated 500-fold — better than four times what one would have earned had the money been held in a bank at 4 percent interest over the 123 years since the notes were introduced, according to Goldline International.
High grade U.S. paper money from the 19th century is usually more valuable than gold coins from the same era. Given the choice of saving a $20 bill or a $20 gold coin, most people saved the gold, according to Goldline International. Paper money also is more vulnerable to damage, further contributing to its rarity.
Whether notes from the Atlantic Collection will be available to the public for viewing is not yet known.
Since 1960, Goldline International has helped investors and collectors acquire rare coins and precious metals — mainly gold, silver and platinum.
Goldline International and its affiliate companies have about 70 employees. Their parent company, A-Mark Financial Corp., has recently been ranked the fifth largest privately held company in Los Angeles by the Los Angeles Business Journal and was ranked the 74th largest private company in the U.S. by Forbes.
Goldline International has brought other famous collections to market, including former Horseshoe Casino owner Ted Binion’s Silver Dollar Collection and the Wells Fargo Nevada Gold Collection of $20 gold coins.
Originally published in the Santa Monica Daily Press print edition on October 27, 2003. Read the original PDF.