• Sat
  • Dec 27, 2014
  • Updated: 2:12am

Flood of fake foreign notes raises concern

PUBLISHED : Saturday, 22 January, 1994, 12:00am
UPDATED : Saturday, 22 January, 1994, 12:00am
 

FAKE currencies have been flooding the Chinese market, causing widespread concern among law-enforcement agencies.


Counterfeiters are now using advanced technology to make fake notes and water stamps, according to security sources.


The Putuo branch of the Industrial and Commercial Bank in Shanghai confiscated forged banknotes valued at more than 20,000 yuan from January to June last year.


The bank estimated all its 14 branches in Shanghai could seize more than 300,000 yuan of bogus money in a year as the forged notes kept flooding the market.


Sources close to the police said laymen would find it difficult to tell if the notes were genuine.


In an attempt to prevent the banknotes from circulating, banks in China will confiscate all the forged notes when enterprises and individuals turn in their counterfeited notes.


The forged notes usually get into the market through business transactions.


People who accidentally get banknotes will have to bear the loss.


Some victims said they preferred getting fake goods to fake money.


Experts in the field of finance said the authorities had to enhance the awareness of businessmen and citizens to counterfeit currencies.


Counterfeiters also illegally print and sell invoices which resulted in a disruption of the financial system.


Sources said some enterprises had commissioned unauthorised or underground printing plants to produce invoices to cheat tax departments.


The invoices are also being used by unscrupulous civil servants and businessmen to claim expenses.


The authorities have raided many printing plants in different areas and have seized printing equipment, half-finished products, and end products of unauthorised invoices.


Recently, the tax department of Chengdu, Sichuan province, raided 743 state-owned and private printing plants in the area, and 39 were found to have been involved making fake invoices.


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