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The Bank of Spain receives the green light to send to destroy counterfeit currencies

Date: March 1, 2024 Time: 23:34:33

The Bank of Spain receives the green light to deliver to the Fábrica Nacional de Moneda y Timbre the counterfeit coins that it has been accumulating for years to proceed with their destruction. According to a 1975 law, the BdE withdrew from circulation the coins that entered its boxes and did not pass the authentication process or were considered unfit, that is, those supposedly false and those damaged.

The institution chaired by Pablo Hernández de Cos has detected an average of around 36,000 counterfeit coins each year in the last seven years, although with large variations between the close to 49,500 counterfeit coins in 2018, for an import greater than 97.00 euros, and the 26,175 of 2022, which were equivalent to 49,472.5 euros.

No destruction procedure

However, these coins were accumulating because no destruction procedure had been established for counterfeit coins and after so many years it was seen that it was necessary to regulate this aspect, which has finally been done. And this Saturday an order signed in mid-June by the First Vice President of the Government and Minister of Economic Affairs, Nadia Calviño, on the final destination of the counterfeit coins, comes into force, which completes the procedure that was already established for the destruction of damaged coins.

This is a rule addressed to the Bank of Spain and the Fábrica Nacional de Moneda y Timbre, the only entities together with the Treasury involved in the process. Consequently, the procedures for public consultation and hearing and public information have been dispensed with. The general interest pursued is to establish what should be the final destination to be given to coins unfit for circulation (false and damaged coins), that is, their destruction.

This new regulation only affects the final destination of the coins withdrawn from circulation because they are false, but it does not change anything for users. The Bank of Spain will continue to verify that the euro coins that pass through its boxes are authentic and fit for circulation. The authentic money and that is in good state of use will be able to continue circulating.

Those that will not obtain the approval of the supervisor will be classified as unfit for circulation -deteriorated-. These coins will be delivered to the Fábrica Nacional de Moneda y Timbre, which will carry out a destruction process through physical and permanent deformation, so that they cannot be reintroduced into circulation or delivered for reimbursement.

Possibility of buying coins at public auction

The Bank of Spain will deliver to the Fábrica Nacional de Moneda y Timbre on the dates, places, manner and amount agreed upon by the two entities, both the defective and counterfeit euro coins for their demonetization and destruction. Deliveries will be documented by signing receipts or delivery certificates, which, in addition to collecting the date, will reflect the nominal or face value of the coins, the list of affected faces, the number of containers, the number of coins and the amount total for each denomination.

In addition, the Bank of Spain will report quarterly to the General Directorate of the Treasury and Financial Policy on the counterfeit euro coins delivered to the National Currency and Stamp Factory for destruction, and the latter will be in charge directly or by contracting third parties of the demonetization of defective coins and destruction of false ones. It may also, with prior authorization from the Treasury General Directorate, use the materials obtained from them for successive minting.

In the event that any of said materials is not suitable for this, it will proceed to its sale through the call for public auctions. The expenses derived from the demonetization or destruction operations carried out by the Fábrica Nacional de Moneda y Timbre will be reimbursed by the General Directorate of the Treasury.

* This website provides news content gathered from various internet sources. It is crucial to understand that we are not responsible for the accuracy, completeness, or reliability of the information presented Read More

Puck Henry
Puck Henry
Puck Henry is an editor for ePrimefeed covering all types of news.
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