Furthermore, on a federal level, a conviction for using counterfeit money carries a period of incarceration of up to 20 years, along with a $250,000 fine.
Counterfeit money is currency produced without the legal sanction of a state or government, usually in a deliberate attempt to imitate that currency and so as to deceive its recipient. Producing or using counterfeit money is a form of fraud or forgery, and is illegal.
Possessing counterfeit money: a person shall not have in their possession counterfeit money. The maximum penalty is 10 years' imprisonment (for a person not being a body corporate) or 500 penalty units (for a person being a body corporate).
The banks use their counterfeit currency detection measures and technologies to determine whether or not the note is genuine. Any fake money encountered is confiscated, and the Secret Service is called in. This keeps the counterfeit money out of circulation.
All ATMs are equipped with an electronic sensing eye and other scanning devices in order to detect bogus money. Besides, they record transaction details, personal activity and the user's face using in-built cameras.
Once a counterfeit note is in your possession, you cannot exchange it for a genuine one. It is also important to keep in mind that knowingly passing one on is illegal.
The maximum penalty for: an offence against section 134.2(1) of the Criminal Code is 10 years' imprisonment.
Counterfeiting in Australia has been steadily declining since its peak in 2015. The Bank received around 17,000 counterfeits in 2021 with a total value of just over $1,300,000. This is small relative to the total number of banknotes in circulation (at around 2 billion notes, worth $102 billion).
You could face jail time.
Depending on your state, you can face criminal penalties for a misdemeanor or even a felony for depositing fake checks with the intent to defraud. However, if you're the victim of a scam, you're unlikely to face fines or jail time.
US Dollars
It may not come as a surprise to learn that the US dollar is the most commonly counterfeited currency in the world according to the Federal Reserve Bank of Boston.
Generally, fake money “does not have the crisp money feel and the raised feeling of the black ink on the front of the bills," he says.
If you are in possession of suspected counterfeit banknotes, counterfeit coins or counterfeit prescribed securities you should contact your local police or the Australian Federal Police in your state/territory.
If they identify any note in a deposit as fake, they will confiscate the entire sum, leaving you only enough time to flee.
The U.S. Secret Service has a long and storied history of safeguarding America's financial and payment systems from criminal exploitation. The agency was created in 1865 to combat the rise of counterfeit currency following the Civil War.
Australian banknotes are printed on polymer, a type of plastic, and they have a distinctive feel. Polymer banknotes were developed to make our currency more difficult to counterfeit. The polymer makes it possible to include a range of security features on our banknotes.
Look for a small circle with diamond-shaped patterns. If you hold the banknote up to the light, the diamond shapes should align perfectly to form a seven-pointed star inside the circle. While you still have the banknote held to the light, you should also be able to see the Australia Coat of Arms under the print.
The $100 banknote has become the most faked cash denomination in Australia and is circulating mostly in the counterfeit capitals of Sydney and Melbourne.
Report Scams
If the scam originates in NSW, you can report this to the NSW Police Force by visiting your local police station or calling the Police Assistance Line on 131 444. You can report scams to the ACCC via the 'report a scam' page on SCAMwatch.
Some scams may also be criminal offences. Someone who commits fraud has acted dishonestly or by omission to deliberately deceive someone. Fraud is regulated under various acts, including state and territory criminal legislation and under Australia's common law.
The ACSC is here to help all Australians affected by cyber incidents. Call our hotline 24/7 on 1300 CYBER1 (1300 292 371) if you need help or go to ReportCyber.
However, the same effect can be accomplished by using hairspray on commonly used papers since it will create an invisible barrier between the starch and iodine from the pen. Because the pen is only checking for starch, it results in a false approval of a counterfeit note.
Hold the note to light to see an embedded thread running vertically to the left of the portrait. The thread is imprinted with the letters USA and the numeral 100 in an alternating pattern and is visible from both sides of the note. The thread glows pink when illuminated by ultraviolet light.
Take a close look, especially at the borders, to see if there are any blurred parts in the bill. Authentic banknotes also have microprinting, or finely printed text located in various places on the bill. If the microprinting is unreadable, even under a magnifying glass, it is probably counterfeit.
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