History
In 1933, U.S. President Franklin D. Roosevelt issued Executive Order 6102, which outlawed the private ownership of gold coins, gold bullion, and gold certificates by American citizens, forcing them to sell these to the Federal Reserve. As a result, the value of the gold held by the Federal Reserve increased from $4 billion to $12 billion between 1933 and 1937. This left the federal government with a large gold reserve and no place to store it. In 1936, the U.S. Treasury Department began construction of the United States Bullion Depository at Fort Knox, Kentucky, on land transferred from the military. The Gold Vault was completed in December 1936 for US $560,000, or $8.5 million in 2009 dollars. The site is located on what is now Bullion Boulevard at the intersection of Gold Vault Road.
The first gold shipments were made from January to July 1937. The majority of the United States' gold reserves were gradually shipped to the site, including old bullion and newly made bars made from melted gold coins. Some intact coins were stored. The transfer used 500 rail cars and was sent by registered mail, protected by the U.S. Postal Inspection Service.
During World War II, the repository held the original U.S. Declaration of Independence and U.S. Constitution. It held the reserves of European countries and key documents from Western history; for example, it held the Crown of St. Stephen, part of the Hungarian crown jewels, given to American soldiers to prevent them from falling into Soviet hands. The repository held one of four copies (exemplifications) of the Magna Carta, which had been sent for display at the 1939 New York World's Fair, and which, when war broke out, was kept in America for the duration.
During World War II and into the Cold War, until the invention of synthetic painkillers, a supply of processed morphine and opium was kept in the Depository as a hedge against the United States being cut off from the sources of supply of raw opium.
Read more about this topic: United States Bullion Depository
Famous quotes containing the word history:
“When the coherence of the parts of a stone, or even that composition of parts which renders it extended; when these familiar objects, I say, are so inexplicable, and contain circumstances so repugnant and contradictory; with what assurance can we decide concerning the origin of worlds, or trace their history from eternity to eternity?”
—David Hume (1711–1776)
“I think that Richard Nixon will go down in history as a true folk hero, who struck a vital blow to the whole diseased concept of the revered image and gave the American virtue of irreverence and skepticism back to the people.”
—William Burroughs (b. 1914)
“Regarding History as the slaughter-bench at which the happiness of peoples, the wisdom of States, and the virtue of individuals have been victimized—the question involuntarily arises—to what principle, to what final aim these enormous sacrifices have been offered.”
—Georg Wilhelm Friedrich Hegel (1770–1831)