[size=75:3plr6stm]Sofia echo 11 January 2010

Fight against counterfeit euro being stepped up

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The number of counterfeit euro coins removed from circulation in 2009 was 172 100, down from 195 900 the year before, the European Commission (EC) said on January 11 2010.

"
This second consecutive decrease confirms the action to render euro coins safer for users,"
the EC said.

"
Although encouraging, there is no room for complacency and efforts to remove counterfeits from circulation should be maintained and intensified."


A European Commission proposal presented in 2009 and currently being discussed in the European Parliament and European Council aims to further improve the fight against euro coin counterfeiting.

The number of counterfeit euro coins removed from circulation in 2009 decreased by 12 per cent compared with the year before.

The evolution per denomination, however, is contrasted.

Where the number of two-euro counterfeits decreased by almost 18 per cent, the numbers for 50-cent and one-euro continued to increase, by nine per cent and eight per cent, respectively.

The two-euro denomination remains by far the most counterfeited euro coin, representing almost three out of every four counterfeit euro coins.

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The Commission considers that counterfeit euro coins are not, however, a significant cause of concern for the public,"
the EC said.

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Indeed, the overall number is very small by comparison with the total number of around 15 billion genuine euro coins put into circulation of the three highest denominations, with a resulting ratio of one counterfeit for every 89 000 genuine coins."


The number of detected counterfeits is also lower than the sum of counterfeit coins in the euro area countries before the introduction of the euro.

These counterfeit coins, while increasingly sophisticated, should generally be rejected by properly adjusted vending and other coin-operated machines, the EC said.

The evolution in the number of counterfeit euro coins removed from circulation reflects the efforts that EU member states are making to implement a May 2005 EC recommendation concerning the authentication of euro coins.

The take-up of these measures caused sharp increases of counterfeits removed from circulation in 2006 and 2007.

However, efforts vary among member states, the EC said.

The EC adopted on September 11 2009 a proposal for a fegulation on the authentication of euro coins. The aim of this proposal is to implement such procedures EU-wide so as to fight effectively against euro coin counterfeiting.

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A particular development in 2009 was the increasing number of reports on counterfeit euro coins seized outside the EU. The Commission established co-operation agreements with Montenegro and Croatia and also intensified co-operation with the Turkish authorities,"
the EC said.

Although no new illegal mint producing counterfeit euro coins was dismantled in 2009, law enforcement also contributed to combating euro coin counterfeiting.

Police forces seized in 2009 about 11 000 counterfeit euro coins before the counterfeiters were able to bring them into circulation, similar to 2008.

Despite these successes, most of the criminal groups responsible for euro coin counterfeiting have not been dismantled yet.

As far as counterfeit euro banknotes are concerned, about 860 000 pieces were withdrawn from circulation in 2009, as announced on January 11 2010 by the European Central Bank (ECB), which is responsible for protecting euro banknotes against counterfeiting.

The ECB said that in the second half of 2009, a total of 447 000 counterfeit euro banknotes were withdrawn from circulation.

This is an increase of about eight per cent on the quantity recovered in the previous six months.

When compared with the increasing number of genuine euro banknotes in circulation (on average 12.8 billion during the second half of 2009), the proportion of counterfeits is still very low, the ECB said.

Nevertheless, the Eurosystem – i.e. the European Central Bank (ECB) and the 16 national central banks of the euro area – continues to advise the public to remain alert when receiving banknotes in cash transactions.

The Eurosystem invests considerable effort in ensuring that the public is well informed about how to recognise a counterfeit banknote and, in the case of professional cash-handlers, that banknote-handling and processing machines can reliably identify and withdraw counterfeits from circulation.

Genuine banknotes can be easily recognised using the simple "
FEEL-LOOK-TILT"
test described on the euro pages of the ECB’s website ([You must be registered and logged in to see this link.]) and the websites of the Eurosystem national central banks.

If there is doubt, a suspect banknote should be compared directly with one that is known to be genuine. Anyone who suspects that they may have received a counterfeit should contact either the police or – where national practice allows – the relevant national central bank.

In the second half of 2009, as in the previous half-year, the 20 euro banknote was the most counterfeited denomination, accounting for almost half of all counterfeits identified.

The second most counterfeited denomination was the 50 euro banknote, which accounted for about a third of the total.

The three mid-range denominations (20, 50 and 100 euro) together accounted for 97 per cent of all counterfeits. The proportion of high denomination counterfeits (200 and 500) was very low.

The majority (more than 98 per cent) of counterfeits recovered in the second half of 2009 were found in euro area countries, with only about one per cent being found in EU member states outside the euro area and less than 0.5 per cent being found in other parts of the world.