Punishing Counterfeiters

Congress is also authorized to “provide for the punishment of counterfeiting the securities and current coin of the United States.”

To “counterfeit” means to “make in imitation with intent to deceive; not genuine; forged.” This crime is a federal felony; in fact, the Secret Service was originally created to deal with counterfeiters. Later their duties were extended to protecting the president and other officials. The punishment for counterfeiting money is harsh, up to 15 years in prison, plus restitution and fines. Why so severe?

Counterfeit money put in circulation makes the value of actual money go down, causing inflation in the nation’s economy. Businesses that receive counterfeit money are not reimbursed for their losses, and they must pass along those costs to the consumers via higher prices.

Securities include stocks, bonds, futures, options, and mutual funds, so more than just paper money is included. It’s easy to see how dishonesty in any facet of our economy can affect each and every person.

Perhaps the current Congress is not actually counterfeiting money, but their dishonesty in dealing with our economy will affect everyone in this country for generations as well as the entire world economy. It’s a shame that the Secret Service can’t find a way to charge those in charge with felony “intent to deceive.”

“Like all valuable commodities, truth is often counterfeited.” --James Cardinal Gibbons