Looks like a Spanish counterfeit.
I wish I had some more like it...
No, it isn't a counterfeit, but rather a .38 S&W 1905 Hand Ejector, 1st Change. This variant was made between 1906 and 1909, within a serial number range running from 73,251 to 146,899. It was a 6-shot revolver, chambered in .38 Special. But as noted on the barrel marking one could also shoot .38 Long Colt cartridges, which at the time were the standard U.S. Military sidearm round. Standard barrel lengths were 4, 5, 6 and 6 1/2 inches. Cataloged finishes were either full blue or nickel plate, both with color cashardened hammers and triggers. The stocks are molded black hard-rubber - and be careful of them as they will have become brittle with age.
It appears that the gun might have been wire brushed at one time to remove rust or some other reason. If so, it is unfortunate - but perhaps it was necessary.
It could be a second, rather then a first change - the difference being two rather then one dowel pins in the extractor star. I don't think this is likely, but can't tell because it's a feature that can only be seen when the cylinder is open. In any case it's not consequental, and both changes were manufactured at the same time.
Given this gun's history within your family, I suggest that you get it "lettered." To do so you will need a snapshot of the gun, a full description including the serial number on the butt, and a check in the amount of $50.00 made out to Smith & Wesson. In exchange the company's historian, Roy G. Jinks, will research the original records (which are not computerized by the way) and send you a letter containing the details of what he finds.
This comprehensive document will contain an overview of the model’s history, followed by the details of your particular gun. This usually includes the caliber, barrel length, finish, and the exact date it was shipped from the factory, and to what distributor or dealer. If there are any special features they will be listed too. This information is often invaluable to both you and future generations.
Additional information on a historical letter will be found at the Smith & Wesson company website at:
http://www.smith-wesson.com/webapp/...catalogId=11101&content=25301§ionId=10504
