The Bank Notes of Bangladesh – The First Ten Years (Part 1)

Peter Symes

Bangladesh underwent one of the most intriguing decades of bank note issue in the 1970s. This story of Bangladesh and their bank notes starts with a civil war in 1971 and ends in 1979, with the last of the notes described here being issued in September that year. During this decade Bangladesh issued twenty-two different bank notes and numerous varieties of these twenty-two types. Wracked by war and political instability, the bank notes of Bangladesh during this period remain some of the more interesting notes for collectors of world bank notes; and the story behind the issues gives an insight to the birth of a nation.

            The story starts with a civil war between East and West Pakistan. An uneasy relationship had existed between the Muslim enclaves of East and West Pakistan from when they were excised from Greater India when the people of India achieved their independence in 1947, despite being united by a common religion. Speaking different languages, being of different ethnic origins and culturally divided, the people of East Pakistan felt repressed by their Western countrymen. Matters came to a head in the elections of 1970. In East Pakistan Sheik Mujibur Rahman led the Awami League, to a stunning electoral victory. Of the 169 parliamentary seats in East Pakistan, the Awami League won 167; which gave them a majority in the 313 seat parliament.

            The military leaders in West Pakistan refused to accept the results of the election, which led to wide-spread disturbances in East Pakistan and the subsequent deployment of the Pakistan Armed forces throughout the region. East Pakistan declared war on West Pakistan on 25 March 1971 and declared its independence as Bangladesh on 17 April 1971. Victory was ultimately won by Bangladesh on 16 December 1971 following the intervention of India on the side of Bangladesh. In nine months of civil war up to three million people had died, many Bengalis being killed in mass slayings.

The Bangladesh Bank and the Period of Transition

The bank notes of the State Bank of Pakistan, which circulated throughout Pakistan prior to the civil war, continued to circulate in East Pakistan after independence had been attained by Bangladesh. However, the circulation of these notes had not been without incident during the war.

            As soon as war commenced between the freedom fighters of East Pakistan and the Pakistani armed forces, the banks became targets to a variety of looters. In June 1971 President Yahya Khan announced US$100-million in rupees had been taken from banks in East Pakistan during the preceding months of March and April. Concerned the introduction of looted notes into circulation might destabilize the Pakistani economy, the Government ordered the recall of all 500- and 100-rupee notes from 8 June 1971 under Regulation No. 81, introduced by martial law. The official decree announcing the withdrawal of the high denomination notes stated:

‘All Pakistan currency notes of the following description shall cease to be legal tender within the meaning of section 25 of the State Bank of Pakistan Act, 1956 (XXXII of 1956), on and from the dates mentioned against each –
‘(a) Pakistan currency notes inscribed or marked with, or having impressed or embossed thereon, the expressions “Joy Bangla” or “Bangla Desh”, or any similar expressions, or having embossed or stamped thereon the expression “Dacca” in any language or form whatsoever;
‘(b) Pakistan currency notes of 500-rupee and 100-rupee denominations. Date of commencement of this Regulation: 8th June, 1971.’ (Dawn 8 June 1971.)
As noted in part (a) of the decree, notes bearing overprints (Figure 1) also ceased to be legal tender at this time. When the Bengali people were waging war against the Pakistani authorities, one of the ways in which they protested was to deface the bank notes of the State Bank of Pakistan.

            The withdrawal of the 500- and 100-rupee notes caused a great deal of panic in both East and West Pakistan, as these notes constituted 60% of the value of currency in circulation. People who surrendered the notes at the banks were given receipts for their money, however all notes surrendered had their serial numbers checked to see if they were part of the looted currency. People were warned that if they surrendered looted currency they would be arrested, even if they claimed to do so without knowing the money was stolen. On 13 June 1971 an announcement stated people could commence receiving, in lower denomination notes, the value of the currency they had surrendered. While the economy of Pakistan had been threatened, it appears it suffered little from the looting of close to one-tenth of its circulating notes.

            Although the Pakistani Government had worked to protect their economy in June, their soldiers had slightly different instructions concerning the currency in circulation in East Pakistan once the war turned against them in December. An unknown amount of currency notes was burnt in front of the State Bank of Pakistan in Dhaka just prior to the surrender of the Pakistani army. This was evidently done to stop the currency falling into the hands of ‘rebel’ administrators, who might have used the currency to purchase foreign exchange – a purchase that would have left debts to be repaid by the State Bank of Pakistan. Efforts to destroy the currency by the retreating army were not limited to bank notes. Some months after the end of the war, sacks of coins were retrieved from the Karnafully River near Chittagong Port, where they had been thrown by the retreating Pakistani army.

            Once Bangladesh had achieved victory in the civil war and secured its independence, one of the first institutions to be established was the Bangladesh Bank. This was done within days of the victory, with an announcement being made on 21 December 1971 that the offices of the State Bank of Pakistan were to become those of the Bangladesh Bank. The announcement also stated all officers of the Bank were to report for duty immediately and they were to work all days of the week, including Sundays, until further notice. Although the Government was eagerly trying to get the central bank operating, there had been no official declaration of the formation of the Bangladesh Bank. This changed on 25 December with the Acting President of Bangladesh issuing the ‘Bangladesh Bank (Temporary) Order, 1971’, in which the Bangladesh Bank was created as the central bank of Bangladesh, with its head office at Dhaka – taking over the offices of the Deputy Governor of the State Bank of Pakistan. (The temporary order was ultimately replaced by the ‘Bangladesh Bank Order, 1972’, published on 31 October 1972.) The temporary order creating the Bangladesh Bank was deemed to have come into effect from 16 December 1971, with the order stating all assets of the State Bank of Pakistan within the borders of Bangladesh were to become the property of the Bangladesh Bank. These assets included the coins and bank notes of the State Bank, which were declared legal tender in Bangladesh until further notice.

            The Bangladesh Bank and the commercial banks were scheduled to open to the public on Monday 27 December, following the disruptions caused by war and the final victory. However, all was not in order by that time and announcements were published on 26 December advising the banks would open on Saturday 1 January 1972. Also advised at this time were limits on the withdrawal and transfers of deposits; restrictions put in place to stop panic and speculation. It is probable the efforts of the retreating Pakistani army, in destroying many bank notes, had also led to a shortage of ready currency and this may have been a factor in restricting the limit on withdrawals.

            In the following weeks, uncertainty remained as to the status of the various denominations of bank notes circulating in Bangladesh. The 500- and 100-rupee notes were still regarded as demonetized by the authorities of the Bangladesh Bank but, in an announcement published in the press on 3 January 1972, they confirmed that the 50-, 10-, 5- and 1-rupee notes were still legal tender and they assured the people of Bangladesh they should have no hesitation in accepting the notes as payment for goods and services. Undoubtedly, some of the looted currency was making itself apparent and, while no mention is made of the higher denomination notes in the Bank’s announcement, it appears this announcement was partially aimed at confirming the bank had no intention of honouring the notes which had been demonetized six months earlier. Looted money was still being found, with one large haul being located by the Bangladeshi army in the area of Kamlapur only days after the Pakistani Army had been defeated in December.

            The first governor of the Bangladesh Bank was Mr. A. N. Hamidullah, who had been the Chairman and Managing Director of the Eastern Banking Corporation Limited. Mr. Hamidullah was appointed to his new position with effect from 14 January 1972. There were many duties for the bank to undertake for it to become effective, and for it to properly service the people of Bangladesh. Despite acquiring the assets of the State Bank of Pakistan and inheriting the infrastructure of the organization, there was much rebuilding, training of staff and consolidation of assets to be done before the bank could confidently undertake to implement its aims. One of the major administrative issues to be dealt with from a very early period was the question of currency.

            Aware that it would be necessary for Bangladesh to have its own currency, plans were put in place to prepare notes for circulation and efforts were made in two directions: in India and in the United Kingdom. The ultimate results of these efforts were the first, second and third issues of the Bangladesh Bank. The first three series of bank notes introduced by the Bangladesh Bank and the Government of Bangladesh, although dramatically different in appearance, were released during 1972 and 1973; with the second and third series being released even as the first issue was still being introduced into circulation. The first issue was prepared in India and was regarded as an emergency issue, while the second and third issues were prepared in the United Kingdom and were of a higher technical standard than the emergency issue.

The First Issue

News of the preparation of the first issue of bank notes was advised in the local press as early as 19 January 1972, just one month after East Pakistan’s victory over the Pakistani army. The announcement in the press stated ‘The designing of the notes is being done by a group of experts with the consent of the Bangladesh Bank.’ However there was obviously some confusion in the design process, as a short paragraph in the New York Times on 7 February 1972 reported the Governor of the Bangladesh Bank had announced the backs of the notes were to carry the picture of a Bengal tiger, which proved to be incorrect.

            The local press continued to announce the imminent introduction of the new bank notes during the first months of 1972, although the planned date of introduction slipped from the end of February to the beginning of March. The press was also less than clear concerning the name of the new currency, with an announcement in the Bangladesh Observer on 25 February stating ‘The denominations of the new currency notes will be 100 rupee, 10 rupee, five rupee and one rupee.’ When the new notes were introduced, the name used for the new currency unit was ‘Taka’, not ‘Rupee’. However, the lack of clarity between the use of ‘Taka’ and ‘Rupee’ was quite natural for the people of Bangladesh, for the ‘Rupee’ of the State Bank of Pakistan had been known as ‘Taka’ in Bangladesh. Prior to Bangladesh winning its independence, the notes most recently issued by the State Bank of Pakistan had text on the front of the notes written in Bengali and Urdu, while the back carried brief details written in English. Although the Urdu and English texts referred to the denomination of the Pakistani notes as ‘Rupees’, the Bengali text referred to the value of the notes as ‘Taka’. The use of the word ‘Taka’ amongst the Bengalis has a long history.

            The first two notes to be released in independent Bangladesh were the denominations of 1 taka (Figure 2) and 100 taka (Figure 3), with the notes being released to an enthusiastic public on 4 March 1972. The notes were released at the offices of the Bangladesh Bank in Dhaka, Chittagong, Khulna and Bogra, with the banks all being crowded by people hoping to obtain examples of the new notes. Issued less than three months after the victory over the army of Pakistan, the notes represented real evidence of the independence of Bangladesh. To celebrate the special occasion, the Governor of the Bank, Mr. A. N. Hamidullah, delivered an album containing examples of the two notes to the President of Bangladesh, Mr. Justice Abu Sayeed Chowdhury.

            The 1-taka and 100-taka notes were printed on paper carrying imbedded coloured fibres, but no watermark. However, the imbedded fibres are not as apparent as some which can be found on bank notes issued by other authorities around the world, and sometimes the fine red fibres can only be distinguished under magnification. The 100-taka note has a solid security thread running through the right-hand side of the note, but the 1-taka note has no security thread and it is one of only three notes in the entire Bangladeshi issues not to have a security thread. The following description of the 1-taka note is from the official press release of the Bangladesh Bank:

‘FRONT: of One-Taka note will be as follows:-
‘On the top in the centre of the note is a panel consisting of the lettering GANAPRAJATANTRI BANGLADESH in Bengali. On the right hand side of the panel are the denominational figures in Bengali. In the centre of the note and towards the left hand side appears the map of Bangladesh in a circular panel and to the right hand side of the circular panel a prominent denominational figure in English numeral is flanked by Bengali rendering of ONE TAKA. Below the English numeral and the Bengali rendering of ONE TAKA appears ONE TAKA in English. ‘Below the circular panel consisting of the Bangladesh map appears the signature of Mr. K. A. Zaman, the former Finance Secretary, Government of Bangladesh in Bengali. On the right hand side appears the serial number of the note in black. The entire design is contained in a rosette border and is printed in blue-black with tints in orange, blue-green and brown.
‘BACK: In the centre of the note appears a bold denominational figure in Bengali superimposed on a rosette. On both sides of the rosette are panels with moire pattern tints. Just above the rosette in the centre appear the Bengali lettering GANAPRAJATANTRI BANGLADESH and in English PEOPLE’S REPUBLIC OF BANGLADESH. On the left and right hand side of the Bengali lettering GANAPRAJATANTRI BANGLADESH and in English People’s Republic of Bangladesh, the denominational figure in Bengali and English are prominently displayed against a rosette. At the bottom on the left and right hand side superimposed on tints appear the denominational renderings of ONE TAKA in Bengali and English respectively. The entire design is contained in a border and the note is printed in Blue-black colour with undertints in orange and blue-green.’

The same press release carried the following description of the 100-taka note:

‘On the top of the note towards the left is a panel containing in bold letters the name of Bangladesh Bank in Bengali and on the right hand side of this panel is another panel containing the serial number of the note. On the extreme left and right hand side of these panels are displayed bold denominational figures in Bengali and English numerals respectively.
‘The note contains a portrait of Bangabandhu Sheikh Mujibur Rahman on the right hand side of the note in a circular panel. The outline map of Bangladesh is on the left hand side also contained in a circular panel. Between the portrait of Bangabandhu Sheikh Mujibur Rahman on the right hand side and the map of Bangladesh on the left hand side, the Promissory and Guarantee clause in Bengali covers the central portion of the note.
‘Just below this lettering appears the signature of the Governor of Bangladesh Bank Mr. A. N. Hamidullah also in Bengali superimposed on a radial tint.
‘On the bottom at the extreme left is another panel for the serial number of the note. Towards the right of this is a horizontal panel stretching up to [the] right hand side of the design. The panel contains the lettering One Hundred Taka in English and Bengali. The security thread runs through the note on the right hand side just near the portrait of Bangabandhu.
‘The note is printed in green body colour with shades of orange and blue for undertints.
‘Back: On the back of the note the name of the Bank in bold lettering in Bengali appears centrally in a horizontal panel at the top. Just below the panel and in the centre of the note appears the lettering Bangladesh Bank in English in two lines encircled with fine flourishes, flanked on the left and right the bold rosette superimposed with denominational figure in Bengali and English numerals respectively. Just below the rosette appear Bengali and English renderings of the denomination.
‘The note form is contained in a border and is printed in green colour with undertints in shades of orange and purple.’

            It can be seen, from the descriptions above, the authority responsible for issuing each denomination is different. While the Bangladesh Bank is responsible for issuing the 100-taka (and would later issue other high denomination notes), it is the Government of Bangladesh which is responsible for issuing the 1-taka notes (and the coins). For this reason the 100-taka note, and the subsequent high denomination notes, are signed by the Governor of the Bangladesh Bank, while the Finance Secretary signs the 1-taka notes (and later the 2-taka notes).

            The 1-taka note is predominantly dark brown, with an under-print of orange and blue-green. The under-print is a wavy pattern created with the words ‘Government of Bangladesh’ in alternate lines of Bengali and English text. The 100-taka note also uses text in patterns on the notes. On the back of the note the letters of ‘BANGLADESH BANK’ can be found in the purple and orange under-print around the border of the design. Each letter is enclosed separately in part of the ‘lace-work’ of the under-print. On the front of the note, in the areas containing the serial numbers, can be found the words ‘People’s Republic of Bangladesh’ in Bengali repeated in very small text. The interesting point concerning the inclusion of this text is ‘People’s Republic of Bangladesh’ is the same text which appears on the 1-taka note. Apart from the reference to the Government in the promissory clause, the small text in the panels containing the serial number is the only mention of the Government of Bangladesh on the higher denomination note, as all other text refers to the Bangladesh Bank.

            There are two varieties of the 100-taka note, with the difference between the varieties being most easily detected in the panels containing the serial numbers on the front of the note (Figure 4). In this panel there is brown text and a pattern of blue diagonal lines, while in the lower panel the text is blue and the diagonal lines are brown. One variety of the note has the brown ink overprinting the blue, while the second variety has the blue overprinting the brown. The difference in appearance is most apparent in the top panel, where the pattern of blue diagonal lines has a marked effect in changing the appearance of the panel when overprinting the brown text, as opposed to when the blue lines are overprinted by the brown text. In the lower panel the change in order of the colours is less noticeable, although still apparent.

            On the same day the 1- and 100-taka notes were introduced, 4 March 1972, it was announced the 50-rupee notes of the State Bank of Pakistan were to be demonetized in Bangladesh from Sunday 5 March. Arrangements were made to enable members of the public to surrender the demonetized notes to the banks and to Head Post Offices in Bangladesh from 6 to 8 March 1972. Normal banking business was suspended for these three days so bank staff could be dedicated to processing the surrendered notes. People tendering 50-rupee notes were to receive receipts for notes surrendered and the announcement was quite emphatic in declaring demonetized notes would not be accepted for tender after 6:00 pm on 8 March 1972.

            As there was limited currency available for the replacement of the 50-rupee notes, the process of reimbursing individuals with the value surrendered was completed at a slow pace. From 13 March, people who had receipts for up to 500 rupees could redeem this amount in full. People who had receipts for amounts above 500 rupees could redeem up to 1,000 rupees from 20 March. On 20 March it was announced amounts up to 2,500 rupees could be redeemed from March 27, and tenders made by private individuals up to 5,000 rupees would be paid from 10 April. It was later decided private individuals who tendered up to 10,000 rupees would be paid in full by way of credit to a bank account, with effect from 17 April. The Annual Report for the Bangladesh Bank for 1973 states, at the time of publishing the report, the process of reimbursing individuals, firms, companies and government institutions was still ‘under process’.

            At the time the announcement of the demonetization of the 50-rupee notes was made, the question of the demonetized 100- and 500-rupee notes was raised in various areas. Many people believed the Bangladesh Bank should also redeem the higher denomination notes, which had earlier been demonetized by the Government of Pakistan. Since these notes should have been surrendered many months ago, the Bangladesh Bank and the new Government had no intention of allowing these notes to be exchanged for any value. However, arguments appeared in the local press saying many people had accumulated their life savings in the large denomination notes and had refused to deposit them with the State Bank of Pakistan at the time they were demonetized, because they were ‘obeying the non-cooperation movement led by Bangabandhu [Sheikh Mujibur Rahman]’ (Letter to the Editor, Bangladesh Observer 9 March 1972). However, these arguments held no sway and the 100- and 500-rupee notes previously demonetized, and not surrendered, were given no recognition.

            The third note of the first series to be introduced was the 10-taka note (Figure 5) and this was made available to the public on 2 May 1972. In a design similar to the 100-taka note, the front of the 10-taka note is dominated by a portrait of Sheikh Mujibur Rahman to the right and a map of Bangladesh to the left. (A close inspection of the map on all bank notes in this series will show a small dot in the middle of the map, with this dot representing Dhaka – the capital city of Bangladesh.) However, the positioning of the serial numbers and the panels containing the name of the Bank and the denomination of the note are different to the 100-taka note. The patterns and colours used on the notes are also different, and yet, when the 100- and 10-taka notes are viewed together, there is an impression that they have more in likeness than differences. The design on the back of the note, while being of a similar style to that of the 100-taka note is also distinctly different. The front of the 10-taka note is printed in blue with under-tints in various shades of orange, mauve, green and blue; while the back is printed in blue with tints of orange and green.

            The panels containing the serial numbers on the front of the 10-taka note have the words ‘People’s Republic of Bangladesh’ repeated in Bengali in small print. In the top panel the text is green and in the lower panel the text is purple. The green and orange under-print on the back of the note also has ‘People’s Republic of Bangladesh’ repeated in Bengali in horizontal lines.

            The fourth note, and final note of this series, was the 5-taka note (Figure 6), which was released on 2 June 1972. The 5-taka note is again similar in style to the 10- and 100-taka notes, but is smaller, has its own distinct design and a different colour scheme. The front of the note is printed in dark purple with under-tints of light purple, grey-green and orange; while the back is printed in purple with tints of grey-green and orange. In a design similar to the back of the 100-taka note, the letters of the words ‘Bangladesh Bank’ can be found individually enmeshed within the intricate purple ‘lace-work’ around the border of the note. The letters are much clearer on the 5-taka note, as they are part of the final printing and not part of the under-print, as they are on the 100-taka note.

            It is interesting to observe, in the annual reports of the Bangladesh Bank, the notes of the first series are described as emergency notes. An extract from the first Annual Report of the Bangladesh Bank reads:
‘Subsequently, the currency notes put into circulation from March, 1972, were withdrawn from circulation as these notes, printed on an emergency basis, could not be provided with all the security features needed. They were replaced by new designs of Bangladesh Bank Notes printed in conformity with security requirements.’

            While not as attractive as some of the later notes issued by Bangladesh, it is difficult to see why the notes of the first issue were considered to be lacking in security features. The notes of the first series had a security thread (with the exception of the 1-taka note) and fibre-imbedded paper, while those of the second and third series had the security thread and a watermark. The reason for describing the notes of the first issue as an ‘emergency issue’ may in fact lie with problems associated with the counterfeiting of these notes and the desire of the Government to curtail the rackets associated with counterfeiting.

            Counterfeiting was not a new problem in Bangladesh, with numerous efforts to counterfeit the notes of the State Bank of Pakistan being recorded prior to Bangladesh attaining independence. What was worrying about the efforts to counterfeit the Bangladeshi notes printed in India, was the origin of the counterfeits. While the press in Bangladesh was relatively circumspect in its reports, an article by D. Sen in the Hindustan Times (an Indian newspaper) on 3 May 1973 reports:

‘A currency chaos has been sweeping Bangladesh. The suspicion is increasingly gaining ground that an international conspiracy has been hatched to wreck the economy of this country [Bangladesh]. The popular belief is that a much larger number of currency notes than were actually issued by the Bangladesh Bank are in circulation. The source of the “unaccounted” currency notes, which everybody believes are counterfeit, is generally suspected to be some racketeers across the border. A few would not rule out the possibility of a Pakistan-sponsored gang printing fake notes and flooding Bangladesh to cripple its economy and to simultaneously undermine goodwill for India.’

The article further comments:

‘The [Bangladesh] Government has not agreed to a suggestion India made some time ago for a joint investigation to establish the truth of the alleged currency racket. In proposing this, India had an obvious interest: much of the blame for the currency chaos is being heaped on India every day ... The man in the street no longer thinks it necessary to question whether there could be more to the currency chaos than the supposed evil hand of India or, of “some dishonest Indians” as the charitable would put it.’

            The Bangladesh Bank did little to remove the confusion surrounding the claims of a surfeit of notes in circulation. They did issue brief press statements indicating the number of notes in circulation and an assurance all Indian printed notes remained legal tender, but the question of counterfeit notes in circulation was never addressed publicly. Therefore, it is not known whether there were in fact a large number of counterfeit notes circulating, or whether the rumours were baseless. (It cannot be discounted that variations in printing, such as the two varieties of the 100-taka note, might have stimulated some consternation.)

The Second and Third Issues

The second and third issues of bank notes were printed in England and issued in Bangladesh during a 2-year period commencing in June 1972. In a peculiar arrangement, Thomas De La Rue and Bradbury Wilkinson both produced bank notes of similar denominations, with different designs, for issue at roughly the same time – resulting in two series circulating at the same time. While it would have seemed more sensible to have the two printers prepare different denominations, this was not the case. From a distance in history, it is easy to mistake the notes for two issues that were placed into circulation at different times, but the following history and description of the notes will make plain their sequence of issue. As an introduction to the story of their issue, the following list is a simple reference to identify the chronological order in which the first variety of each note was issued. Included in the list are the notes of the first issue, to give context to the second and third issues.

For simplicity, the notes prepared by Thomas De La Rue are referred to as the ‘Second Issue’ and the notes prepared by Bradbury Wilkinson are referred to as the ‘Third Issue’.

            The first note of the second issue to be introduced was the 10-taka note (Figure 7), and it was introduced on the same day the 5-taka note of the first issue was introduced – 2 June 1972. For this reason it is difficult to clearly separate the first two series of bank notes, because the second issue was being introduced even as the first issue was still being released. While the first and second series are distinctly different, the overlapping of issues indicates the difficulties the authorities in Bangladesh faced in issuing new currency.

            The style of the designs used for the second issue of Bangladeshi bank notes is dramatically different to the design style of the first issue that was produced in India. While the front of each note issued by the Bangladesh Bank in the second issue carries a portrait Sheikh Mujib, the portrait is larger and has more detail than the portrait found on the earlier issue. Instead of the dominant geometric designs of the first series, the notes of the second issue carry distinctive patterns, ornamental guilloches, and illustrations on the backs of the notes. The colours of the notes in the second issue are also more distinctive, with each denomination being clearly distinguishable by its colour.

            The 10-taka note of the second issue is printed using intaglio and lithographic processes, unlike the notes of the first issue printed in India, which used only the lithographic process. The portrait of Sheikh Mujibur Rahman (which appears at the left on the front of the new 10-taka note), the guilloche border with denominations in the corner, and the text, are all printed in green ink by the intaglio process. The green and multi-coloured under-print on the front of the note and all printing on the back of the note are printed by the lithographic process. The back of the note carries a rural scene with fields of crops, a couple of small buildings and a river carrying small sailing craft. As well as the text in Bengali and English on the back of the note, the emblem of the Bangladesh Bank appears for the first time at the lower right. This emblem subsequently appears on all notes issued by the Bangladesh Bank.

            While the portrait of Sheikh Mujib dominates the note to the left, there is a Bengali folk motif in the centre of the note and a pale patterned area to the right of the note, which holds the watermark of the head of a Royal Bengal tiger. The watermark and the solid security thread, which runs through the note at right of centre, are the two principal security features of the new note. Apart from the obvious change in design, there is also a subtle change to the text on the front of this note, when compared to the notes of the first issue. The text on the notes of the first issue appears in Bengali as:

            This is the ‘First form’ of the promissory clause. The new note has similar text but there is a slight change to the name of the country:

            This is the ‘Second Form’ of the promissory clause and it is the text used by Thomas De La Rue on all notes they prepared for the Bangladesh Bank. The other change to the text is in the title printed below the signature of the Governor of the Bank, Mr. A. N. Hamidullah. On the notes of the first issue, the title was ‘Governor, Bangladesh Bank’ whereas on the notes of the second (and subsequent) issues, the title of the signatory becomes simply ‘Governor’. The signature is printed in green ink and is part of the intaglio plate printing. The serial number consists of fractional prefix, of a Latin letter over a western number, followed by seven numerals.

            Following the introduction of the 5-taka note of the first issue and the release of the new 10-taka note of the second issue on 2 June 1972, the Government took steps to demonetize the 5- and 10-rupee notes of the State Bank of Pakistan, with the dates set aside for the conversion being 8 to 12 June 1972. While the number of people holding 50-rupee notes might have been considerable, causing many logistical problems during their conversion in March 1972, the number of people holding 5- and 10-rupee notes was enormous, and it soon became apparent the surrender of these notes could not be achieved within the anticipated time-frame. Consequently the final date for the surrender of these notes was extended to 14 June. Unlike the exchange for the 50-rupee notes, where receipts were given for surrendered notes, the surrender of 5- and 10-rupee notes usually resulted in a direct exchange of notes. For amounts up to 200 rupees per individual, a direct exchange of notes was undertaken, but amounts in excess of 200 rupees had to be deposited in a bank account, where individuals could withdraw an initial 200 taka. They could then withdraw amounts up to 500 taka a week until 30 June, after which they could withdraw any amount.

            The limited time for exchanging the 5- and 10-rupee notes of the State Bank of Pakistan again caused concern among many people who were afraid of being unable to convert their money. Long queues formed outside banks and many people waited hours before gaining access to the banks. People suffered exhaustion and fainted, while one person reportedly died of heart failure while waiting in a queue at Brahmanbaria. In other areas clashes took place outside banks as people vied for access to the exchange counters. At Madaripur it was reported ‘highly connected persons’ had gained access to many of the new notes and were selling them openly outside the banks at a profit of 10 to 20 per cent.

            The second note of the second issue to be introduced was the 100-taka note (Figure 8), prepared by Thomas De La Rue, which was released on 1 September 1972. This note is similar in style to the 10-taka note, but is larger and is brown with a multi-coloured under-print. While the portrait of Sheikh Mujib again dominates the note, there is a new Bengali folk design in the centre of the note and a different pattern in the area covering the watermark. The back of the note carries a scene of a river with two boats on it.

            There are two very subtle changes introduced to the 100-taka note when compared to the 10-taka note, and they concern the signature of the Governor of the Bank and the serial number prefix. The slight change in the signature of Mr. A. N. Hamidullah occurs because he has altered the initials used in his signature. His name can be written in either English or Bengali, and the initials of the earlier signature correspond to his name when written in English (even though the signature is written in Bengali script), whereas the initials of the second signature correspond to his name when written in Bengali. The signature is again part of the intaglio printing process and is brown. The fractional serial number prefix of a Latin letter over a number, which appeared on all notes up to this point, now disappears. The 100-taka note adopts the use of a single Latin letter followed by a seven-digit number in Western numerals. Replacement notes use ‘Z’ as the serial number prefix.

            The 5-taka note (Figure 9) was the first note of the third series to be introduced and it was issued on 15 September 1972, just three and a half months after the first 5-taka note was issued. The new note, prepared by Bradbury Wilkinson and Company, is very similar to the design used on Thomas De La Rue’s 10- and 100-taka notes introduced in the previous three months. While of a different size, colour and content, the Bradbury Wilkinson note does use the same watermark and security thread. However, on the 5-taka note the portrait of Sheikh Mujib is on the right-hand side of the note, with the watermark to the left, whereas on the De La Rue notes these features are reversed. The 5-taka note has a pattern of fish shapes over the watermark and a motif of Shapla (lotus) flowers in the centre of the note. The portrait of Sheikh Mujib, the border and the text on the note is printed by the intaglio process, while the red, green, orange and blue under-tints are printed by lithography.

            The signature continues to be the second type used by Mr. Hamidullah, but the format of the serial number is a fractional prefix of a letter over a number, followed by a six-digit serial number. All characters in the serial number and prefix are Bengali characters and from this point forward all serial numbers on Bangladeshi bank notes are in Bengali characters. Of interest is the slight alteration to the promissory clause on the front of this note. While the essence of the text is the same as the previous issue, the words ‘Five Taka’ appear after the initial phrase, to read:

            This is the ‘Third Form’ of the promissory clause. The use of a fractional serial number prefix with Bengali characters and the use of the third form of the promissory clause are two characteristics that can be used to identify the note prepared by Bradbury Wilkinson.

            The back of the 5-taka note is printed in red lithographic ink and introduces a scene that is used on all future 5-taka notes (save the 5-taka note of the second issue). With a river in the foreground, being navigated by two boats, there is an industrial scene of factories dominating the rest of the illustration. To the left of the main illustration are two sprays of jute leaves and to the right is a white area holding the watermark.

            The 1-taka note (Figure 10) of the second series was introduced into circulation on 2 March 1973. The front of this note carries an illustration, to the left, of a hand holding a bunch of paddy rice, while to the right is the watermark of a Bengal tiger, in the middle is a khaki folk motif and the solid security thread is to the left of centre. Whereas the 1-taka note of the first issue had text in Bengali and English, this note uses only Bengali text – with this convention being used on all subsequent issues released under the authority of the Government. However, the Bengali text for the name of the country, and for the signatory, differs to the previous 1-taka note. The name of the issuing authority on the first 1-taka note appeared as ‘People’s Republic of Bangladesh’, but the name on the new note is ‘Government of the People’s Republic of Bangladesh’. Also, on the first 1-taka note the title of the signatory was ‘Finance Secretary, Government of Bangladesh’, whereas on the new note it is simply ‘Finance Secretary’. The only other text on the front of the note is ‘One Taka’, which is written in the centre of the note. There is only one serial number for the 1-taka note, with the prefix consisting of one or two Bengali letters followed by a seven-digit number in Bengali numerals. The notes are signed by Mr. Motiul Islam, the Finance Secretary.

            The back of the note is principally a pattern of folk motifs, with the national emblem of Bangladesh to the right. The principal colour of the note, on both the front and the back, is purple, with a golden brown hue in the centre of the note. This note was prepared by Thomas De La Rue and Company.

            The next note to be released was the 5-taka note (Figure 11) prepared by Thomas De La Rue and Company. It was issued on 15 September 1972, just under twelve months from the date on which the Bradbury Wilkinson 5-taka note was released into circulation. Similar in style to the 10- and 100-taka notes of the Thomas De La Rue ‘second issue’, the note is predominantly red (front and back) with a background of delicate shades of olive-green and pink on the front of the note, and a background of yellow on the back. The pattern over the watermark and the folk motif in the centre of the note are different to the other denominations prepared by Thomas De La Rue, as is the intaglio border on the front of the note; while the portrait of Sheikh Mujib again dominates the note. The back of the note is dominated by an illustration of a number of Shapla flowers, while to the right is a hanging bowl. The Shapla is the national flower of Bangladesh and appears in a stylized form on their national emblem. The text on the 5-taka note is similar to the other notes in the second series prepared by De La Rue (the only difference being the denomination of the note), while the second signature of Mr. A. N. Hamidullah appears printed in red and is part of the intaglio printing process.

            The first two notes of the second series, printed by De La Rue, used Latin letters and Western numerals. However, the Bradbury Wilkinson notes used Bengali characters and it seems likely the Bangladesh Bank issued a directive for serial numbers to use Bengali characters, as all bank notes produced by De La Rue from henceforth used Bengali characters. The serial number prefix for this 5-taka note was a single letter followed by a seven-digit number – all in Bengali characters.

            The 10-taka note of the third issue (Figure 12), prepared by Bradbury Wilkinson, was introduced on 15 October 1973 and is similar in design to the 5-taka note of this issue, also printed by Bradbury Wilkinson. The portrait of Sheikh Mujib appears to the right, while heads of paddy rice are depicted in the middle of the note and an ornate folk motif encircles the pale area containing the watermark of the Bengal tiger. Typical Alpana designs and multi-coloured floral motifs appear as part of the main printing as well as in the under-print The number ‘10’ in the corners of the note are housed in ornamental designs based on betel leaves. Running along the bottom of the note are two rows in an interwoven design, with the upper row containing a pattern of flowers and the lower row a pattern of fish. The portrait of Sheikh Mujib, the border and the text are printed in green intaglio ink, while the lithographic under-print is green, orange, purple and brown. The text, serial numbers and signature are in the same format as the 5-taka note and the solid security thread continues to be used, running through the note to the right of centre. The back of the note contains a rural scene of Bengalis harvesting rice, and is printed in green intaglio ink, with brown and blue lithographic tints. Once again, the area containing the watermark on the back of the note is white.

            The final note to be considered as part of the third issue is the 1-taka note (Figure 13) issued on 18 December 1973. The new 1-taka note, while not conforming to the style of the other notes in the third series, is nevertheless quite different to the second 1-taka note. On the front of the new note is an illustration of a woman pounding grain in a raised mortar, with a hen and chicks around the base of the stand. The centre of the note has a folk motif and the right-hand area covering the watermark is patterned. The illustration is printed in dark purple, as is the border of the note, while the under-tints are yellow and blue.

            Carrying only one serial number in the centre of the note, the serial number of the 1-taka note has a fractional prefix of a single character over a one or two digit number, followed by a six-digit number (with all characters being Bengali characters). The note is signed by the Finance Secretary, Mr. Motiul Islam. The back of the note uses the same colours as the front, and has the Bengali text for the issuing authority and the denomination. In the middle of the note is a raised hand clenching a handful of paddy rice, while to the left is the watermark and to the right the national emblem of Bangladesh.

            There are two features distinguishing the 1-taka note from other notes already released in the second and third series – the security thread and the watermark. The other notes in the second and third series have the security thread to the right of centre and the head of the tiger in the watermark faces to the right, whereas this 1-taka note has the security thread to the left of centre and the head of the tiger faces to the left. It is almost as if the distinction between this note issued by the Government and the other notes issued by the Bangladesh Bank is being made clear by these subtle differences. (Of course, this effect is simply achieved by changing the side of the paper on which the front and back of the notes were printed.)

            Several of the bank notes in the second and third issues have varieties. The 1-taka note of the second series was later issued in two further varieties. The first variety saw the introduction of the signature of Mr. Kafil Uddin Mahmud, while the second variety saw the watermark being abandoned. The second variety, with no watermark, was issued on 1 October 1976.

            Both the 5-taka and 10-taka notes of the third issue were subsequently issued with the signature of Nasimuddin Ahmed, creating varieties for both notes. Both varieties with the Nasimuddin Ahmed signatures are quite scarce and collectors will probably find it difficult to acquire these notes in high grades.

            The 10- and 100-taka notes of the second issue each have a second variety, with the variety being determined by the introduction of serial numbers with Bengali characters. However, the serial number is not the sole determinant of the variety. The second variety of the 10-taka note, as well as having a different style of serial number, has different printing on the back of the note. While the back of the first variety was printed entirely by the lithographic process, the back of the second variety is printed predominantly by the intaglio process, but it also has a lithographic under-print. As the back of the note had to be redrawn for the intaglio printing plates, slight changes were introduced to the design on the back. When comparing the back of the note of the second variety to the first variety, there are two features which should be compared – the Bengali text and the nets hanging to dry in the right-hand middle distance of the illustration (Figure 14). The Bengali text on the back of the first variety is shaded with a solid colour, whereas for the second variety the text is shaded by cross-hatching. The drying nets on the first variety have their shading created by lines of cross-hatching, whereas for the second variety the shading is created by dashed horizontal lines. There are a number of other minor differences, including the darker colour of the second variety, but the features mentioned above are those most easily distinguished.

            The 100-taka note has a second variety, with the change of serial number being the only recognizable determinant, where the serial number is in Bengali letters and numerals. This note is exceedingly rare, with less than a handful of notes known to exist. As it has not been possible to examine one of these notes, it is not known if there are other changes.

            Following the introduction of the second issue of bank notes, there were reports of confusion amongst the populace as to the status of the notes of the first issue, with accusations of ‘unscrupulous middlemen’ convincing people the older notes were no longer legal tender and buying them at a discount. This led to a number of statements by the Bangladesh Bank assuring the people that notes of both series were legal tender. However, on 1 April 1973 it was announced that notes of 5-, 10- and 100-taka of the first issue would cease to be legal tender as of 1 May 1973. These notes could be exchanged at any bank until 30 April, and from 1 May until 15 May they could be exchanged at the offices of the Bangladesh Bank in Dhaka, Chittagong, Khulna and Bogra, sub-Treasuries at Pirojpur and Meherpur, and branches of the Sonali bank performing Treasury functions. From 16 May to 31 May the old currency could only be exchanged at the four offices of the Bangladesh Bank. According to the first Annual Report of the Bangladesh Bank published in 1973, of the three denominations withdrawn, a total of Tk.391,47,50,0001 was printed, of which Tk.270,75,49,500 was put into circulation. The total amount returned from circulation after the period of exchange was Tk.270,21,94,660. In the 1974–75 Annual Report, it was stated the 100-taka notes of the first issue were demonetized with effect from 7 April 1975, this being two years after the notes were originally due to cease holding legal tender status. While not explicit about the circumstances of this action, it would seem that the 100-taka notes of the first issue continued in circulation for some period of time and it is certain some holders of these notes were not paid in full for a number of years. The 1974–75 Annual Report states payments for amounts tendered up to Tk.800 had been paid in full, but amounts in excess of this sum were being paid partly by cash and partly by non-negotiable and non-transferable government bonds with 8% interest, maturing in 5 to 7 years. The 1975–76 Annual Report states amounts up to Tk.5000 had been exchanged from 29 September 1975 and balances up to Tk.8000 were paid from 1 December 1975.

            The 1-taka notes of the first issue were not included in the exchange for notes of the second issue in 1973 and remained legal tender, along with the notes of the second issue, for another year. They were subsequently withdrawn from circulation by 30 April 1974 after having ceased to hold legal tender status from 30 March 1974.

Specimen Notes

Specimen notes for the second issue have been seen for the 1-, 5-, 10- (11b) and 100-taka notes. (It is suspected that a specimen note also exists for the 10-taka note, No. 11a.) The notes have the word ‘SPECIMEN’ printed in red on the front and back of the notes, sloping from the bottom left to the top right. However, there are two types of fonts used for the word SPECIMEN. The detail of the specimen notes are:

1 taka (No. 5) – The word SPECIMEN is printed in a serif font; the serial number is ‘ক/১ ০০০০০০’; there is a hole punched through the signature.

5 taka (No. 10) – The word SPECIMEN is printed in a sans-serif font; the serial number is ‘ক ০০০০০০’.

10 taka (No. 11b) – The word SPECIMEN is printed in a sans-serif font; the serial number is ‘ক ০০০০০০’.

100 taka (No. 12) – The word SPECIMEN is printed in a sans-serif font; the serial number is ‘A 0000000’.

Specimen notes exist for all three notes in the third issue. All notes have the word ‘SPECIMEN’ printed on the front and back, sloping from the bottom left to the top right, but each note has slightly different characteristics.

1 taka (No. 6) – The word SPECIMEN is printed in red with a sans-serif font; the serial number is ‘ক ০০০০০০’.

5 taka (No. 13) – The word SPECIMEN is printed in black with a serif font; the serial number is ‘ক/১ ০০০০০০’; there is a hole punched through the signature.

10 taka (No. 14) – The word SPECIMEN is printed in red with a serif font; the serial number is ‘ক/১ ০০০০০০’; there is a hole punched through the signature.

            The following descriptions of notes in the second issue (Thomas De La Rue printing) and third issue (Bradbury Wilkinson printing) provide details of each denomination. Collectors of bank notes in Bangladesh collect by serial number prefix varieties, including whether the serial numbers have a one or two letter prefix. While the move from a single letter prefix to a double letter prefix is simply a natural progression, where both single- and double-letter prefixes exist, this is recognized in the following descriptions.

            Here ends the first part of this study of the early bank notes of Bangladesh. The bank notes of three early issues, many of which circulated concurrently, were soon to be replaced due to political change under dramatic circumstances. The next two issues of the bank notes of Bangladesh will be the subject of the second part of this study.

This article was completed in January 2012
© Peter Symes

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