Archives International Auctions Sale 69 August 4, 2021 U.S. & Worldwide Banknotes, Scripophily, Coins,

Archives International Auctions - Sale 69 107 August 4, 2021 Archives International Auctions www.archivesinternational.com Peru 669 669 Republica del Peru, 1871, I/U Bond Peru. 100 Soles I/U 6% Coupon Bond, Black print on green border on horizontal format printed in Spanish. Arms of Peru at top. Low serial number #179. Fine condition with staining, toning, uneven margins, and splitting at fold lines. National BNC, ���������������������������������������������������������������������� Est. $120-240 Puerto Rico 670 670 Credito y Ahorro Ponceno 1893 Specimen Stock Bond Puerto Rico, 1893, 200 Pesos Specimen Bond, Black text with green border and underprint, Portrait of a man at top left, Sailor at top right. Red specimen overprint, Specimen stamp at top right, and POCs. Fine condition, ABNC. ���������������������������������������������������������������� Est. $450-750 Rhodesia and Nyasaland 671 671 Federation of Rhodesia and Nyasaland 1958 Specimen Bond Rhodesia and Nyasaland, 1958. $Odd Specimen 5.75% Registered External Loan Bond, Black text with blue border and underprint, Allegorical woman seated on chair at top center. Red specimen overprints and POCs. VF condition, SBN. �������������������������� Est. $140-280 Scotland & Connecticut 672 672 Middlesex Banking Co., ca.1890-1900 Specimen Bond Trio Edinburgh, Scotland and Middletown, Connecticut, ND (1890-1900). Lot of 3 pieces, all are Specimen 5% Debenture Coupon Bonds, Includes: 50 Pounds in green; 100 Pounds in orange; and 1000 Pounds in brown. All have specimen overprints, 00000 serial numbers, and POCs. VF condition, ABNC. (3) ������������������������������������������������������ Est. $180-280 Switzerland 673 673 IOS Investment ProgramSpecimen Certificate, ca.1960s Cornfeld & Vesco Scam Stock. Switzerland..... ND (ca. 1960s) Specimen Program Certificate, Black text with gray border and undertint, Eagle about to take flight in oval to left. Red specimen overprints, “00000” serial number, POC’s and extended margins with perforations, VF condition, ABNC. Investors Overseas Services, Ltd. (IOS) was founded in 1955 by financier Bernard Cornfeld. The company was incorporated outside the United States with funds in Canada and headquartered in Geneva, Switzerland. In the 1960s, the company employed 25,000 people who sold 18 different mutual funds door-to-door all over Europe, operating mostly in Germany with small investors. The company mainly targeted American expatriates and U.S. servicemen who sought to avoid paying income tax. The mutual fund offerings by the company were called “people’s capitalism” by founder Cornfeld. In the following decade, the company raised $2.5 billion, due in part to its “Fund of Funds,” which meant investment in shares of other IOS offerings. The offering was very popular in the bull market times, but then the market dropped and the guaranteed dividends had to be paid straight out of the capital—in effect, making it a pyramid scheme. IOS was forced into an Initial Public Offering to meet its costs. The next bear market made many investors cash their funds as stock value decreased. Share value decreased from $18 to $12 in the spring of 1970. Cornfeld formed an investment pool with some other investors, but they lost when the share value dropped to $2. Even IOS employees and portfolio managers sold their shares by this time. Financier Robert Vesco who, at the time, was also in financial trouble, turned to Cornfeld and offered his help. Vesco proceeded to use $500 million worth of IOS money to cover his own investments in his International Controls Corporation. When he was discovered, Vesco fled to Costa Rica. IOS then collapsed and in the process ruined a number of US and European banks. ( John E. Herzog Collection) ������������ Est. $70-120