Articles
The world’s first polymer banknote, the intrigue & deception at work in 1988
An Historical article.
The Worst Production and distribution of an Australian banknote.
The $10 Johnston/Fraser Polymer banknotes remain the worst produced Australian banknotes in our history, both printing and distribution of our first Polymer banknote, the $10 Johnston/Fraser featuring Australia’s first native inhabitants the original owners, on the reverse side, with on the obverse side the good ship Endeavor, with many scenes from the first settlement of Sydney Cove. These included Afghan camel drivers, colonial settlements Parramatta, Sydney Cove, settlers’ images. The designers managed to fit so much into the obverse side, the reverse side of our original owners Native Australians, stands out as one of the best designed banknotes in our history.
FIRST RELEASE $10 Johnston/Fraser 1988.
The first issued banknotes featured on the watermark was created with Capt. J Cook within this watermark on both the obverse & reverse side, TRN have discovered a long-lost Publicity release from 1988 issued by Note Printing Australia to all banks throughout the world, major financial institutions, auction houses. This private & confidential publicity release, went on to mention “counterfeit detection: special security features, with is like a government manifesto NPA went on to mention 15 points of interest to discover counterfeit banknotes, so may claims Not backed up by science or importantly How the banknotes would survive “wear & tear” in the daily use of the banknotes these was never a test market as with all new release banknotes in the past. It was issued with no test market or trial period that would have discovered these terrible mistakes in the design & production of the banknote.
Except for the then $5 banknote the $10 banknotes were the second most used banknotes in this country, the 1988 First Issue for those that remember there were 2 issues, in the same year.
Many mistakes were made in the design of the banknotes, the creation of the CSIRO in partnership with Note Printing Australia should have created the perfect banknote on release in mid-1988 the banknotes were issued, it last roughly 2 months until the Hologram also called OVD. started to rub off, this Hologram was a security feature that would defy counterfeiting , it did not, the general public became aware through day to day usage of the note, the OVD watermark started to fade and rub off with a few months, these banknotes were becoming faulty, could not be used in ATM’s due to their damage, The Reserve Bank became aware of the problem quickly into the first release, and through their rights as the government instrumentality of banknotes & coins called a recall of the banknotes as they became back around to banks, retail institutions were also instructed.
Banknotes issued in the first tranche were withdrawn, whilst the CSIRO worked on fixing this serious problem. They had to revise their thinks on general usage these banknotes need to last from 12-18 months where paper banknotes as a rule lasted 6-12 months.
The first series ranged from AB10 to AB33. Although only in production for 4 months, 17,500,000 banknotes were printed. This enormous cost was absorbed by Note Printing Australia herein referred to as NPA, a fully funded government agency to produce Australian/International banknotes.
A second series was issued creating a numismatic market for 1st issued banknotes where the hologram would be safe, finding 1st issued banknotes with the hologram in Uncirculated grade, is job hence the banknotes are now worth $70. & rising.
The second series commenced in September 1988 ranging from AB10 to AB57 the OVD Hologram issue was solved.
It has never been revealed just how much these errors in design, printing & distribution cost the taxpayer, both the CSIRO, NPA & the then Treasurer would have hoped these matters would be forgotten in time, being in business for 30 years, sometimes I am amazed what I sometimes finding my ancient files.
IT WAS A MISTAKE OF MONUMENTAL FAILURE, GOVERNMENT AGENCIES NOT TALKING TO EACH OTHER, THE CSIRO SO CERTAIN OF THEIR INVENTION, NEVER A REQUEST FOR A TEST MARKET FOR 6 MONTHS TO SEE HOW THE BANKNOTE WOULD SURVIVE.
So much haste & repent in leisure.
I estimate the cost of the first at $17,500.00 then withdrawing the 1set issue and reissuing the 2nd issue issue at a then cost of $45,000.00 in today’s value a cost of $100,000,00, there has never been an admittance of responsibility, a typical government cover-up, look up GOOGLE who was the Treasurer in 1988.
No don’t bother it was Comrade Paul Keating the father “Of the banana Republic, that was an oldy but a goody, Never forget his lamentable ” This is the recession we need to have”, through his stewardship interest rates @ 19% The man was a trainwreck happening in real time, this venture above should be known as Keating’s folly?
Unless we remind ourselves of history it slips away, this bears a legacy of all involved.
You can click the articles below to open at full size.
Richard E Fahy
Managing Director