1913 Liberty Head nickel

The 1913 Liberty Head nickel is an American five-cent piece which was produced in extremely limited quantities without the authority of the United States Mint, making it one of the best-known and most coveted rarities in American numismatics. In 1972, one specimen of the five cent coin became the first coin to command a price of USD|100,000; cite book
author = Garrett, J. and Guth, R.
title = 100 Greatest U.S. Coins
year = 2003
publisher = H.E. Harris & Co
location = Atlanta, GA
isbn = 0-7948-1665-7
pages = 10–11 ] in 1996, another specimen would become the first to break the million-dollar barrier. [cite web
url = http://web.archive.org/web/20070505183358/http://jeffersoncoinandbullion.com/article33.shtml
title = The 1913 Liberty Head Nickel: A Minor Coin of Major Significance
work = [http://web.archive.org/web/20070505150027/http://jeffersoncoinandbullion.com/featurearticles.shtml Jefferson Coin and Bullion Featured Articles]

] In 2003 one coin was sold for almost USD|3 million. Only five examples are known to exist: two in museums and three in private collections.

Origin

The Indian Head ("Buffalo") nickel was introduced in February 1913, replacing the Liberty Head design.cite web
url = http://www.coinresource.com/guide/exhibit/liberty_head_1913.htm
title = 1913 Liberty Head Nickel NGC Graded PR66 (Finest Known) – Original Catalog Description
year = 2001
work = [http://www.coinresource.com/ CoinResource.com]
publisher = Superior Galleries, Inc] These were the first official strikings of nickels in 1913; the United States Mint's official records do not record any Liberty Head nickels produced that year. Liberty Head nickels dated 1913 first came to the attention of the numismatic community in 1920. All five were in the possession of Samuel Brown, a numismatist who attended the American Numismatic Association's annual convention and displayed the coins there. Brown had previously placed an advertisement in "The Numismatist" in December 1919 seeking information on these coins and offering to pay USD|500 for each.cite web
url = http://www.money.org/AM/Template.cfm?Section=Money_Museum&Template=/CM/HTMLDisplay.cfm&ContentID=10205
title = 1913 Liberty Nickel
work = [http://www.money.org/Content/NavigationMenu/ExploretheWorldofMoney/MoneyMuseum/default.htm ANA Money Museum] ] Ostensibly, the coins had been purchased as a result of this offer. However, Samuel Brown had been a Mint employee in 1913, and many numismatic historians have concluded that he was therefore responsible for striking the coins himself and then removing them from the Mint. If true, this would not have been a unique occurrence; such clandestine strikes were actually quite common in the 19th century, with the Class II and III 1804 silver dollars being perhaps the best-known instance. Other numismatic authorities, such as Q. David Bowers, have questioned this scenario, and pointed out that there are several methods by which the coins could have been legitimately produced. Bowers suggests, for instance, that they may have been lawfully issued by the Mint's Medal Department "for cabinet purposes," or that they could be trial pieces struck in late 1912 to test the following year's new coinage dies.cite web
url = http://www.pcgs.com/articles/article2962.chtml
title = Pedigree of Five Known 1913 Liberty Nickels
last = Bowers
first = Q. David
year = 1996
work = Professional Coin Grading Service]

Pedigree

In January 1924, Samuel Brown sold all five 1913 Liberty Head nickels. The intact lot passed through the hands of several other coin dealers before finally being purchased by Colonel E.H.R. Green (son of the infamous miser Hetty Green). Green kept them in his collection until his death in 1936. His estate was then auctioned off, and all five of the 1913 Liberty Head nickels were purchased by two dealers, Eric P. Newman and B.G. Johnson.cite web
url = http://www.coinfacts.com/nickels/liberty_head_nickels/1913_liberty_head_five_cents.htm
title = 1913 Liberty Head Five Cents
year = 1999
work = [http://www.coinfacts.com/ CoinFacts.com]
publisher = Collectors Universe, Inc] The dealers broke up the set for the first time.

Eliasberg specimen

Of the five 1913 Liberty Head nickels, two have proof surfaces, and the other three were produced with standard striking techniques. The finest of the coins has been graded Proof-66 by various professional grading services, including PCGS and NGC.

This coin was purchased from Newman and Johnson by the Numismatic Gallery, a coin dealership that then sold it to famed collector Louis Eliasberg. It remained in Eliasberg's comprehensive collection until after his death. In May 1996, it was sold at an auction conducted by Bowers and Merena, where it was purchased by rarities dealer Jay Parrino for USD|1,485,000 – the most ever fetched by any single coin up until that point. When it was auctioned again in March 2001, the price climbed to USD|1,840,000. In May 2005, Legend Numismatics purchased the Eliasberg specimen for USD|4,150,000.cite news
title = 1913 Liberty Head nickel sells for $4M
url = http://www.usatoday.com/money/2005-06-02-nickel_x.htm
work = USA Today
publisher = Associated Press
date = 2005-06-02 ] In 2007, the Eliasberg Specimen was sold to an unnamed collector in California for USD|5 million.

Olsen specimen

While the Eliasberg specimen is the best preserved of the five coins, the Olsen specimen is almost certainly the most famous. It has been graded Proof-64 by both PCGS and NGC, making it one of only two Proofs (the Eliasberg specimen being the other). The Olsen specimen was featured on an episode of "Hawaii Five-O" ("The $100,000 Nickel", aired on December 11, 1973).cite web
url = http://www.tv.com/hawaii-five-o/the-100000-nickel/episode/34651/summary.html
title = Hawaii Five-O: The $100,000 Nickel
work = TV.com
publisher = CNET Networks, Inc] It was also briefly owned by Egyptian King Farouk.

When Newman and Johnson broke up the set of five coins, the Olsen specimen was sold first to James Kelly and then to Fred Olson. The latter collector sold the coin to Farouk, but his name has remained attached to it in numismatic circles ever since. In 1972, it was sold to World Wide Coin Investments for USD|100,000, thus inspiring its title appearance in "Hawaii Five-O" the following year. The coin's price had doubled, to USD|200,000, when it was resold to Superior Galleries in 1978. It has been resold on several occasions since then, most recently fetching USD|3,000,000 in June 2004. The current owner's name has not been disclosed.cite web
url = http://www.reedededge.com/olsennickel1.htm
title = Olsen Liberty 5c Sets Record
last = Deisher
first = Beth
date = 2004-06-07
work = Coin World
publisher = Amos Press, Inc]

Norweb specimen

The Norweb specimen is one of two 1913 Liberty Head nickels that currently reside in museums. It is currently an exhibit at the Smithsonian Institution.

Newman and Johnson sold the Norweb specimen to F.C.C. Boyd, who then resold it to the Numismatic Gallery (which handled several of the coins over the years). In 1949, it was purchased by King Farouk to replace the Olsen specimen, which he had sold. It remained in Farouk's collection until he was deposed by Gamal Abdel Nasser in 1952. Two years after that, Farouk's possessions were all auctioned off by the new regime. The specimen was once again handled by Numismatic Gallery, and sold this time to Ambassador Henry Norweb and his wife. In 1977, the Norwebs donated the specimen to the Smithsonian, where it remains.cite web
url = http://scoop.diamondgalleries.com/scoop_article.asp?ai=2797&si=124
title = The Incredible 1913 Liberty Head Nickel!
last = Bowers
first = Q. David
date = 2003-06-20
work = [http://scoop.diamondgalleries.com/default.asp Scoop!]
publisher = Gemstone Publishing, Inc]

Walton specimen

The Walton specimen is the most elusive of the five 1913 Liberty Head nickels; for over 40 years, its whereabouts were unknown and it was believed to have been lost. George O. Walton, for whom the specimen is named, purchased it from Newman and Johnson in 1945 for approximately USD|3,750.cite web
url = http://www.money.org/AM/Template.cfm?Section=Money_Museum&Template=/CM/HTMLDisplay.cfm&ContentID=10201
title = George O. Walton, Collector (1907-1962)
work = [http://www.money.org/Content/NavigationMenu/ExploretheWorldofMoney/MoneyMuseum/default.htm ANA Money Museum] ] On March 9, 1962, Walton died in a car crash en route to a coin show. He had promised the show's promoters that he would exhibit the 1913 Liberty Head nickel there, so it was assumed to have been among the coins in his possession when he died. However, although over a quarter million dollars worth of rare coins were recovered from the crash site, the 1913 Liberty Head nickel was not among them. Some numismatists believed that it had either been lost in the crash or had been taken from the site by an unknown individual. In fact, the coin had not been in the vehicle at all. It remained in the possession of Walton's heirs, but was misidentified as an altered coin. In July 2003, the American Numismatic Association arranged to exhibit the four specimens whose whereabouts were known. A USD|10,000 reward was offered to anyone who could identify the whereabouts of the fifth coin, with the Bowers and Merena auction house guaranteeing that it would fetch at least USD|1,000,000 at public auction. After carefully comparing their coin to digital photos of the other specimens, the Walton heirs began to doubt the original verdict that their coin was fake. They brought it to the ANA convention, where expert authenticators examined it at length and determined that it was in fact the genuine Walton specimen.cite web
url = http://www.coinworld.com/news/081103/missingcoin.asp
title = Found! – Missing 1913 Liberty Head 5¢ coin in closet for 40 years
last = Deisher
first = Beth
date = 2003-07-30
work = Coin World
publisher = Amos Press, Inc] The coin is still held by the Walton heirs.

McDermott specimen

Currently held by the American Numismatic Association's Money Museum, the McDermott Specimen has the distinction of being the only 1913 Liberty Head nickel to bear marks of circulation. From Johnson and Newman, it was sold to James Kelly, then to J.V. McDermott; it was this latter owner whose name became most prominently attached to the coin's pedigree. McDermott often carried the coin around with him, showing it off to bar patrons and boasting of its extraordinary rarity and value. Due to this activity, the coin lost some of its original mint luster, becoming circulated in condition. Eventually, McDermott protected the coin with a holder to prevent further wear. After McDermott died, the coin was then sold at auction to Aubrey Bebee in 1967 for USD|46,000. Bebee and his wife donated the coin to the ANA in 1989, where it is exhibited in the Money Museum.cite web
url = http://www.money.org/AM/Template.cfm?Section=Home&TEMPLATE=/CM/ContentDisplay.cfm&CONTENTID=1796
title = Liberty Head Legends: The famed 1913 Liberty Head Nickels and the whereabouts of the second specimen are making news – again
last = Deisher
first = Beth
year = 2003
month = July
format = PDF
work = [http://www.money.org/AM/Template.cfm?Section=Numismatist&Template=/TaggedPage/TaggedPageDisplay.cfm&TPLID=21&ContentID=3689 The Numismatist]
publisher = American Numismatic Association]

Books

*Paul Montgomery, Mark Borckardt, and Ray Knight. "Million Dollar Nickels: Mysteries of the 1913 Liberty Head Nickels Revealed". Irvine, CA: Zyrus Press, 2005
*Michael Wescott with Kendall Keck. "The United States Nickel Five-Cent Piece: History and Date-by-Date Analysis". Wolfeboro, NH: Bowers and Merena, 1991

References