Q. David Bowers
On July 13, 1936, the following form letter was sent out by the Cincinnati Musical Center Commemorative Coin Association to those who had inquired concerning the availability of the new issue. Interestingly, even by this early time Melish said the coins had been "very greatly over-subscribed":
"We enclose herewith an order blank which will entitle you to order one complete set of Cincinnati commemorative half dollars. A set consists of three coins one from each mint (Philadelphia, Denver, and San Francisco). The price established by the Committee is $7.50 plus 25c to cover the cost of the display container with cellophane slide front, in which the coins will be packed, together with the cost of post-age and insurance ....
"Only one set of Cincinnati commemorative coins can be purchased by each collector. The issue has been very greatly oversubscribed, so please do not ask us to reserve another set for you. A check or postage money order for $7.75 must accompany your order. If by any chance you do not want to purchase this set which has been allotted to you we will appreciate it if you will return the order blank to us so that we in turn can send it to some other interested collector. There will, unfortunately, be none left for dealers. We are sorry that the issue is so small that it will be impossible to take care of everyone."
In actuality only a small number of sets were sold at the $7.75 price. Most recipients of the above notice had their remittances returned. Immediately sets jumped in price on the market to $40, then to $50. As it so happened, at these higher levels many coins were available, most of which are said to have been cautiously parceled out by Melish and other insiders. For many years thereafter Cincinnati sets were given as an example of the wrong way to do things.
An excerpt from a letter from L.W. Hoffecker to dealer Walter P. Nichols, August 13, 1936, gives a view of the goings on:
"I did not mean to confer the idea to you that Mr. Melish was doing anything crooked. I don't think he is, but I think he is very foolish in sending out some of the letters he has. I know of four people who were put on the preferred list, and then did not get their order blanks. When they wrote in and asked for them, they were told that their order arrived so late that they could not take care of them except that a collector died, and his widow was financially unable to pay for the coins, and they were sending her blanks to him.
"I think any man is very foolish who will send out letters like this, and think that he is getting away with it, for these collectors, especially if they have a grouch on, will get together and talk. He is holding back 2,000 sets for the music lovers of Cincinnati. Every commission thinks there is going to be a lot of local enthusiasm over the issue, and is always disappointed. When he finds out the music lovers do not love coins also, I don't know what he will do with them. Possibly he will sell them at a higher price. I understand they are offering $10.00 apiece for order blanks, and $37.50 each for Cincinnati coins."
Up to this point typical congressional laws of the time provided that the authorized coinage of commemoratives be executed "at the mints of the United States," giving permission for more than one location. After the Cincinnati issue the practice was stopped, and subsequent authorizations stated "a mint."
Cincinnati Correspondence
Thomas G. Melish engaged in correspondence in 1936 with Walter P. Nichols, a dealer who was also the official distributor for 1936 York County (Maine) half dollars. Nichols knew many people and was highly respected in the numismatic community. Accordingly, Melish, who wanted to defuse as much criticism as he could, was careful to treat Nichols with deference. The correspondence reprinted below is not representative of that which Melish would have conducted with the typical person interested in purchasing Cincinnati half dollars. Also reprinted are selected letters on the same subject from Nichols to his clients:
Letter from Melish to Nichols, July 13, 1936:
"My Dear Mr. Nichols:
"This will acknowledge your courteous favor under date of July 9. The Cincinnati coin sets (philadelphia, San Francisco and Denver) were oversubscribed within one month after the President signed our bill on April 1. (By May 16, 1936 postcards had been mailed to thousands of would-be buyers stating: "We regret to advise you that the entire issue of the Cincinnati commemorative coins has been over-subscribed ....." Such a notice was sent to collector Oscar C. Lange, who earlier had been advised that he would receive a set if he ordered one on time (and he did order on time). Bowers and Merena Galleries Reference Collection.) Your application of course comes in several months too late, but we are taking the liberty of assigning to you five order blanks which have been returned to us for one reason or another. Some of them were returned because the collector was temporarily out of funds!!
"In any event we will take care of you and your associates to the amount of five sets if you will return the order blank which we hand you herewith with a check in the amount of $38.75. We of course are listing these five sets in the names of the members of your Committee [the York commemorative half dollar committee] as we have a ruling to the effect that only one set can be sent to each collector.
"This coin will bear the bust of Stephen Foster on the obverse side. Foster, as you know, wrote My Old Kentucky Home, Swanee River, etc. On the reverse side will be a draped figure of a woman playing a harp symbolic of the spirit of music. The coin was designed by the well-known sculptress Miss Constance Ortmayer of Washington, D.C. The Philadelphia coins are enroute to us and we expect the Denver and San Francisco coins in about a week or ten days. Please therefore return the enclosed order blank promptly and oblige.
"Very sincerely yours, "Thomas G. Melish, President.
"P.S. I take pleasure in handing you here with my subscription for York County half dollars. I will require 20 of these coins for the members of the Cincinnati Numismatic Association of which the writer is one of the Board of Governors. If you will have to limit this subscription to 10 coins please advise so that we can send a subscription in under the name of our treasurer or secretary. All the coins will be needed for separate collections, but we will want them all sent to the writer. Please acknowledge receipt of this order and check, in the enclosed stamped envelope."