||Lexington, KY - State of Kentucky Internal Improvement $5 6% Interest Aug. 20, 1842 Hughes 416. PCGS Very Fine 20 Apparent. A complex and unusual State of Kentucky scrip, with the meaning lurking in its obligation text. The bolded title was for the general public to focus on the governmental authority issuing the note in this treacherous economic period, rife with much land and construction speculation. This note paid interest at 6%, but in bonds of the state, in sums of "one thousand dollars..." and at "Northern Bank of Kentucky." An engraved note with the Durand & Co., Cincinnati imprint. The transportation-themed vignette at top center shows a train and steamboats. The note has some faults, listed as "Edge Splits; Minor Ink Erosion; Hinge Repairs on Back." This is a rarer denomination from the series and first we have cataloged. Ex: Eric P. Newman Numismatic Education Society, Heritage Auctions Internet Sale (5/2017).
(Description courtesy of Heritage Auctions, ha.com.) Realized $176.25.