Previous to the Act of the 37 Geo. 3. cap. 126, counterfeit French crowns, half-crowns, and shillings, of excellent workmanship, were introduced with a view to elude the punishment of the then deficient Laws relative to Foreign Coin.
Fraudulent die-sinkers are to be found both in the Metropolis and in Birmingham, who are excellent artists; able and willing to copy the exact similitude of any coin, from the British guinea to the sequin of Turkey, or to the Star Pagoda of Arcot. The delinquents have therefore every opportunity and assistance they can wish for; while their accurate knowledge of the deficiency of the laws, (particularly relative to British Coin) and where the point of danger lies, joined to the extreme difficulty of detection, operates as a great encouragement to this species of treason, felony, and fraud; and affords the most forcible reason why these pests of society still continue to afflict the honest part of the community.
An opinion prevails, founded on information obtained through the medium of the most intelligent of these coiners and dealers, that of the counterfeit money now in circulation, not above one third part is of the species of Flats or composition money; which has been mentioned as the most intrinsically valuable of counterfeit silver, and contains from one fourth to one third silver; the remainder being blanched copper.—The other two thirds of the counterfeit money being cast or washed, and intrinsically worth little or nothing, the imposition upon the public is obvious. Taking the whole upon an average, the amount of the injury may be fairly calculated at within ten per cent. of a total loss upon the mass of the base silver money now in circulation; which, if a conclusion may be drawn from what passes under the review of any person who has occasion to receive silver in exchange, must considerably exceed one million sterling! To this we have the miserable prospect of an accession every year, until some effectual steps shall be taken to remedy the evil.
Of the Copper Coinage, the quantity of counterfeits at one time in circulation might be truly said to equal three fourth parts of the whole, and nothing is more certain than that a very great proportion of the actual counterfeits passed as Mint halfpence, from their size and appearance, although they yielded the coiners a large profit.
Even at present the state both of the silver and copper coinage of this kingdom (the copper pence only excepted) deserves very particular attention, for at no time can any person minutely examine either the one coin or the other, which may come into his possession, without finding a considerable proportion counterfeit.
Until, therefore, a new coinage of halfpence and farthings takes place upon the excellent plan adopted by Government, with respect to the pence now partially in circulation, what must be the situation of the retail dealers, the brewers, distillers, and many other classes of industrious traders, who in the course of their business, are compelled to receive depreciated counterfeit money?[46]
The burden is not only grievous beyond expression, to those who have no alternative but to take such base money in payment; but extends indirectly to the Poor: in as much as the diminished value of such coin, arising from its reduced or base quality taken in connection with the quantities thrown into circulation, tends to enhance the price of the first articles of necessity.
The labourer, the handicraftsman, and the working manufacturer, being generally paid their weekly wages, partly in copper money of depreciated value;—it is obvious that they must obtain less than they would otherwise receive, were the coin of a higher standard; for the retail dealers who furnish the poor with food, must shield themselves, at least in part, against the unavoidable losses arising from base money; by advancing the prices of their various commodities.
Nor are such advances made upon a principle which cannot be defended; since it is evident that the relative value even of the old copper coin of the Mint to gold or silver, is nearly twice its intrinsic value; and while such copper money cannot be paid into the receipt of his Majesty's Exchequer, or received in payment by the officers of the revenue, the burden and loss of a diminished coin fall entirely upon the traders, (who are compelled to receive such money,) and upon the labourers and mechanics through whose medium it is chiefly circulated.
While the disproportion thus stated between the denominative value of copper and silver money is so very great, it is evident that the legal coinage of copper must produce an immense profit; as one pound of copper estimated at 15 pence[47] will make as many halfpence, of the legal coinage, as pass for two shillings.