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ARTICLE ARCHIEVES

Posted: June 2005

Warning on Counterfeited Polymer Error Bank Notes

By Stane Straus

This article deals with artificially produced "error" bank notes from what has originally been a perfectly manufactured bank note. The article mainly addresses polymer bank notes, but touches the conterfeited paper bank notes as well.

Several different types of "error" miscut notes are being offered on the numismatic market. These "error" notes are often produced from an uncut sheet of notes, as there are people who find it profitable to cut an uncut sheet into single notes with an extra portion of polymer (or paper) attached or to cut an uncut sheet in some other unnatural way, and to then sell the notes to the collectors, pretending the notes to be errors. Paper Euro bank notes are regulary being sold on eBay in this form.

There is nothing legal in this behaviour and dealers that pretend to sell harmless, creatively-cut sheets (almost always forgetting to mention this detail) should be outlawed by the numismatic community and reported to the police. As a word of caution, before you buy a miscut note, make sure that it does not come from what has originally been an uncut sheet of notes.

Yet another category, which requires more time and skills, are "error" notes with a missing portion of design (e.g., serial number or a part of note image). It is possible to remove ink (intaglio ink, offset ink, and, in some cases, serial numbering ink) from a portion of or from a complete polymer bank note, using certain chemical agents. This is achieved more easily on polymer bank notes than it is on paper (cotton) bank notes, simply because polymer substrate is more durable—

the same procedure that removes the ink from a polymer bank note not only removes the ink from a paper bank note, but seriously damages or destroys the paper substrate itself. Examples of such notes (on polymer) include Thailand, Singapore, and Indonesia.

        If you suspect that you have encountered such a note, I would suggest you to do the following:

        (a) look for intaglio/raised printing marks: embossing/indentation should be visible if you hold the note to the light; if you see some light (colourless) images on the note (where the raised printing should be), it is an indication that the bank note went through the intaglio printing machine, but either received no ink, or, more likely, the ink has been removed;

         (b) look for serial numbers: where the serial numbers should appear, embossing/indentation should be visible if you hold the note to the light; again, the bank note could have gone through the serial numbering machine, but received no ink, or, more likely, the ink has been removed;

         (c) look for serial numbers under UV light: certain polymer bank notes have so-called penetrating serial numbers (they cannot be removed without seriously damaging the polymer substrate); if you see no serial number under normal lighting, examine the note under the UV light, and the serial number might appear, indicating that it has been removed; not all bank notes have penetrating serial numbers (or only have one of the two serial numbers penetrating)—compare with another note to make sure;

         (d) look at the surface of the note under a magnification: scratches might be seen on what should normally be a smooth surface (scratches could result from circulation/mishandling as well).

    When buying error bank notes, it is very useful if you are familiar with the production process of bank notes. I have seen error notes that could not possibly be created by the printer or would require an unimaginable set of technical difficulties and lack of all quality controls for the printer to produce them. Still, people were paying over $1000 for such manufactured and worthless notes.

My advice? Buy from reputable dealers and ask for expert advice.

WEBMASTER'S NOTE: To obtain more information concerning counterfeit and altered Polymer notes be sure to visit Stane Straus' website on this subject at www.polymernotes.org/other_general/warning.htm, or for information in general about Polymer notes visit his webpage Polymer Bank Notes of the World

Thus far these types of "errors" have shown up in the markets in Indonesia, Singapore and Thailand. With money to be made by this type of fraud we are likely to see this type of "errors" showing up in other countries such as in Africa, and Latin America or any country which has, or plans to introduce Polymer Notes.