Sunday, January 30, 2011

Billions in Fake US Bonds Confiscated in Italy (Yet Again)

Italian authorities have confiscated $20 billion in counterfeit U.S. government bonds.

Authorities say the bonds were of a quality that theoretically could have defrauded financial institutions.

But a stop at a highway rest area where a group of Carabinieri military police were taking a break proved to be the undoing of the group.

A Carabinieri statement said officers did a routine search of the vehicles after the "suspicious" behaviour of the men and found "to their surprise" a briefcase with 40 bonds 0each valued at $500 million. Source

Of course, what they would like to remain buried is the fact that this is the second time in two years that his has happened. Here's an excerpt from the first incident back in 2009 when some Japanese were caught with 100+ billion dollars worth of bonds in Italy:

Italy’s financial police (Guardia italiana di Finanza) has seized US bonds worth US 134.5 billion from two Japanese nationals at Chiasso (40 km from Milan) on the border between Italy and Switzerland. They include 249 US Federal Reserve bonds worth US$ 500 million each, plus ten Kennedy bonds and other US government securities worth a billion dollar each.

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Oh wait, this has actually happened before? Let's not forget the 2001 incident in the Philippines, involving $2 trillion - yes, trillion - in bonds:

United States and Philippine officials have seized more than $2,000bn (two trillion) in fake US Federal Reserve bonds in the southern Philippines.

They said the large-denomination counterfeit bonds may have been intended to be sold as part of ''lost treasure'' scam where buyers are told the documents have recently been found.

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