Australia's First Banknote To Fetch Millions

By Jonathan Samuels, Australia Correspondent

Australia's first banknote, printed 100 years ago and found in a letter in England in 1999, has gone on sale for Aus$3.5m (£2.3m), according to auctioneers.

The 10 shilling note, serial Number M000001 and issued May 1, 1913, is to go on display at an exhibition in Melbourne before being offered for private sale.  

A century ago the note was presented by Australian Prime Minister Andrew Fisher to Judith Denman, the five-year-old daughter of the governor-general at the time, Lord Denman.

It was discovered in 1999, nearly 12 years after Ms Denman died when her effects were being sorted out, and acquired by a private collector in Sydney for Aus$1m (£660,000) in 2000.

It then sold at auction in 2008 for Aus$1.9m (£1.26m).

It was discovered in 1999 and acquired by a private collector in 2000

Coinworks, which deals in rare coins and notes and is handling the sale, said the note symbolised one of the most important periods in the history of Australia - the establishment of the Commonwealth of Australia in 1901 and the subsequent evolution of nationhood.

The note was hand-numbered at a ceremony held at the Government Printing House in Melbourne.                 

Coinworks chief executive Belinda Downie said that after consulting with experts, her expectation was that if it reached Aus$3.5m it would break records for the price paid for an Australian coin or banknote.

"It would be by far the highest price paid," adding that private collectors and institutions were expected to show interest.

"I would love it to be on permanent display somewhere as it is a great piece of Australian history and everyone should savour it. It is unique," she said.

As well as banknotes, Prime Minister Fisher and his Labor government also established a government-owned bank, and founded the capital Canberra.

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