, 1820, the States authorised the issue of 4,000 L1 Notes
for this purpose. In recommending this course the Finance Committee
makes some interesting reflections. "Respecting the floating debt, which
consists of sums payable at times more or less distant, it would be easy
to discharge it by L1 Notes put into circulation as need requires. The
extinction of the whole of the floating debt could thus be brought about
without the necessity of new loans. If loans should be raised it would
be necessary to provide for payment both of the principal and of the
interest. If, on the contrary, recourse is had to L1 Notes, the interest
alone which would have been paid will suffice."

On 23rd June, 1821, the States authorise the issue of 580 L1 Notes to
buy a house whose site is wanted for the new Market.

On 15th September of the same year the issue is authorised of 4,500 L1
Notes to diminish the interest-bearing debt of the States. In
recommending this, the Finance Committee remarks:--"The States could
increase the number [of Notes in circulation] without danger up to
10,000 in payment of the debt, and the Committee recommends this course
as most advantageous to the States' finance, as well as to the public,
who, far from making the slightest difficulty in taking them, look for
them with eagerness."

On 30th June, 1824, on the united recommendation of the Market and
Finance Committees, 5,000 L1 Notes are issued to pay off the L5,000
originally paid for the Market in 1817 (see p. 11). "By this means the
interest of L200 (_sic_) a year will be saved and applied moreover every
year to withdraw from circulation L1 Notes issued for the construction
of the Market."

On 29th March, 1826, a further issue is authorised for the purpose of
Elizabeth College and Parochial Schools, provided that the total number
of Notes in circulation shall not exceed L20,000. In summoning the
States on this occasion, the Bailiff, Daniel de Lisle Brock,[3]
expresses the opinion that paper money is of great use to the States.
There is no inconvenience because the Notes are issued with great care.

This statement as to great care is borne out by the words of the
resolution passed 12th May, 1826, authorising the issue of L5 Notes, not
exceeding L8,000 worth, voted for the Isle of Sark and other purposes.
After asking Nicolas Maingy, Jean Lukis and Daniel de Lisle "to sign the
said Notes in the name and under the guarantee of the States," it goes
on to say, "an