When Japan attacked Pearl Harbor, the nation reeled in shock and fear of imminent invasion of the Hawaiian Islands spread. Concerned that if such an invasion were successful, large amounts of U.S. currency would fall into enemy hands, the government sought measures to prevent it.
On January 10, 1942, just five weeks after the attack and with the islands under military control, Military Governor Delos Emmons ordered the recall of all U.S. paper money, with exceptions for small individual and business holdings. The order would be effective as soon as replacement bills were available. The Treasury rushed to design new currency specific to Hawaii that could be invalidated should it fall into enemy hands.
First Hawaii Notes Issued
On June 25, $1 Silver Certificates, and $5, $10, and $20 Federal Reserve Notes were issued by the San Francisco Federal Reserve Bank with brown treasury seals and serial numbers. The word “Hawaii” was overlaid in small black letters to the bills’ front sides, and in large outlined letters on the reverse. With the Hawaii notes available, island residents were ordered to exchange all unstamped notes by July 15. After a thirty-day grace period, no other paper currency could be used without special permission.
Hawaiian Federal Reserve Notes Recalled and Burned
Hawaiian Federal Reserve Notes were printed through October 21, 1944, and continued in use until April 1946, when they started being recalled. Well over 65 million notes had been printed in the four denominations, so disposal became an issue. Rather than returning them stateside for destruction, it was decided to burn them in Hawaii. When a local crematorium was unable to handle the load, the task was turned over to the larger furnaces at a local sugar mill.
Although most of the bills were destroyed, many were kept by service members and local residents as souvenirs. Those survivors are prized by currency collectors today.
$1, $5 and Star Notes Rarity and Collectability
Over 35 million $1 notes were printed, making them the most common. The $5 note is considered the most desirable since only 9 million were issued. And as with other currency print runs, mistakes were made and “Star Notes” were printed as replacements in all denominations, making the Hawaiian Federal Reserve Star Notes the most valuable of all.
Conclusion
Hawaiian Federal Reserve Notes and Silver Certificates are a great way to add some history to your currency collection or to keep as unique souvenirs of the Islands. The Great American Coin Company® is pleased to offer $1 Hawaii Issue Silver Certificates for sale by the grade. They’re just one item in our wide selection of U.S. and foreign coins and banknotes available for both seasoned and beginning collectors. Our inventory is constantly changing, so be sure to check back often.
