Term and definition of coin counterfeiting
Coin counterfeiting refers to the unlawful falsification, imitation, or distribution of coins with the intent to circulate or use them as genuine. The term covers both the complete production of counterfeit coins and the alteration of existing coins with fraudulent intent. Coin counterfeiting is a criminal offense extensively regulated and prosecuted under German law as well as in the international context.
Historical development of coin counterfeiting
The counterfeiting of coins is a phenomenon that runs throughout the history of money. As early as antiquity, precious metal coins were debased by adding inferior materials or fully imitated. With the introduction of modern minting techniques and security features, coin counterfeiting has continually evolved. Legal provisions against these offenses have been continuously tightened over the centuries to address the significant risk to the monetary system.
Legal foundations of coin counterfeiting in Germany
Criminal Code (StGB)
The central legal provision for prosecuting coin counterfeiting is found in Sections 146 et seq. of the Criminal Code (StGB). These provisions regulate the protection of the state’s coin and monetary system.
Section 146 StGB – Counterfeiting of money
According to Section 146 StGB, it is a criminal offense to manufacture, alter, or distribute counterfeit banknotes or coins if they are intended to be passed off as genuine. The penalty ranges from imprisonment for not less than one year. In less serious cases, imprisonment of six months to five years is envisaged.
Section 147 StGB – Preparation for counterfeiting
Preparatory acts such as acquiring devices or materials suitable for producing counterfeit money are also punishable under Section 147 StGB. This assumes that the preparation is done with the intent to manufacture counterfeit money.
Section 148 StGB – Less serious cases
Under certain circumstances, lesser penalties may be imposed, for instance if no significant damage occurred or the offense remained at the attempt stage.
Legal definition of “money” and “coin” under the law
The Criminal Code defines “money” as any legal tender intended for circulation. “Coins” include not only national but also foreign circulation coins that are recognized as legal tender in their country of issue. This covers both national currencies and foreign coins as defined by Section 146 paragraph 1 StGB.
Constituent elements of coin counterfeiting
Imitation and falsification
Imitation refers to the complete production of a counterfeit coin that closely resembles a genuine coin. Falsification means that a genuine coin is altered by re-stamping, over-stamping, or other manipulation, so that it appears to be a different, more valuable coin.
Placing into circulation
Placing into circulation means introducing the counterfeit or falsified coin into circulation so that a third party recognizes or uses it as genuine in payment transactions. The perpetrator must at least accept that the respective coin will be used as genuine.
Attempt and completion
Even the attempt to counterfeit coins is punishable (Section 23 para. 1 StGB). Completion occurs when a counterfeit or falsified coin is manufactured or circulated, regardless of whether actual economic damage has occurred.
Criminal consequences of coin counterfeiting
Sentencing
Sentencing depends on the extent of the offense, the amount of damage, the personal circumstances of the perpetrator, and intent. The courts also consider whether the counterfeiting was planned and carried out commercially or jointly by a group. Serious cases usually result in longer prison sentences.
Legal consequences for accomplices and accessories
Persons involved in the coin counterfeiting offense—i.e., co-perpetrators, instigators, and accessories—are liable according to the general rules of the Criminal Code (Sections 25-27 StGB) in line with their contribution.
Distinction from other criminal offenses
Pseudo-coins
Pseudo-coins are items that pretend to be coins but have never been issued as legal tender. The manufacture or distribution of pseudo-coins is also punishable under certain circumstances but is considered separately.
Counterfeit money offenses
Coin counterfeiting is to be distinguished from other counterfeit money offenses, such as the counterfeiting of banknotes. The same basic legal provisions apply to the production or distribution of counterfeit banknotes as to coins. However, the law clearly differentiates between coins and printed money.
International regulations on coin counterfeiting
EU law and international agreements
European and international law features extensive agreements to combat coin counterfeiting. Notably, the Council of the European Union’s Framework Decision 2000/383/JHA to strengthen criminal law protection against counterfeiting of money should be mentioned. The Council of Europe’s Convention on the Counterfeiting of Money also provides common minimum standards for prosecution.
Jurisdiction and cross-border cooperation
The prosecution of coin counterfeiting requires cross-border cooperation among law enforcement agencies, as counterfeiting—especially regarding currencies like the euro—can circulate internationally. Europol and Interpol play a central role in this regard.
Coin counterfeiting in connection with digital currencies
With the emergence of digital means of payment such as cryptocurrencies, the focus of counterfeiting protection is shifting, as traditional coin counterfeiting only plays a role for physical currencies. The legal provisions on coin counterfeiting currently do not apply directly to digital currencies.
Prevention and protective measures against coin counterfeiting
To prevent and detect coin counterfeiting, states and monetary authorities employ various security features in coin production. These include special alloys, edge markings, as well as microscopically fine details and special coatings. Intensive training and technical equipment for law enforcement agencies support the detection and combating of counterfeiting offenses.
Literature and further sources
- Criminal Code (StGB), Sections 146-149
- EU Council Framework Decision 2000/383/JHA
- Council of Europe Convention on the Counterfeiting of Money
- Bundesbank: Information on counterfeit detection
Summary
Coin counterfeiting is a significant criminal offense that protects trust in the monetary and currency system. The legal requirements are aimed at providing comprehensive protection against the imitation, falsification, or distribution of counterfeit coins. In addition to national regulations, there are numerous Europe-wide and global standards and cooperation mechanisms to address this crime effectively at the international level.
Frequently asked questions
What penalties are imposed for coin counterfeiting under German law?
The manufacture, distribution, or circulation of counterfeit money is classified as a serious criminal offense in Germany under Section 146 of the Criminal Code (StGB), and is prosecuted with severe prison sentences. Anyone who counterfeits, falsifies, or circulates money risks imprisonment of not less than one year; in less serious cases, the court may impose a prison sentence of six months to five years. The penalty increases if a gang is involved or particularly large amounts of counterfeit money are in play. Even the attempt of coin counterfeiting is punishable, meaning that completed counterfeiting or actual circulation is not required. In addition to penalties for the main offenders, participants (instigators, accessories) are also prosecuted according to Section 27 StGB. The extent of the offense, the risk posed to payment transactions, and any proven criminal intent are decisive for the severity of the sentence in each case.
Is mere possession of counterfeit coins already punishable?
Under German law (Section 146 para. 2 StGB), not only the manufacture and circulation of counterfeit money is punishable but also possession with the intent to use the counterfeit money as genuine or to pass it on. Anyone who knowingly possesses counterfeit coins with the aim of using them is criminally liable. Mere possession without this intent—for instance, for collecting purposes or unknowingly—is not punishable under the Criminal Code. The decisive factor is the subjective component, i.e., proof that the possessor intends to use the counterfeit coins as genuine tender. However, if it cannot be excluded that counterfeit money enters circulation, even accidental possession can quickly attract suspicion of a punishable offense.
What role does the attempt play in the prosecution of coin counterfeiting?
An attempt to counterfeit coins is also explicitly punishable under Section 146 para. 2 StGB. Even preparatory actions aimed at counterfeiting can be prosecuted. Legally, the attempt begins as soon as an act is performed that directly aims to fulfill the constituent elements of the offense, such as engraving a coin blank or preparing for minting. Therefore, it is not the actual circulation of counterfeit coins that matters, but the provable intent and initiated execution. Prosecuting attempts is a key element of preventive law enforcement and serves to protect payment transactions.
Which coins are covered by the prohibition on counterfeiting?
The counterfeiting ban under Section 146 StGB applies to all legal tender valid in Germany (German euro coins) and abroad. Not only circulation coins but also commemorative issues are covered if they have legal monetary value. The criminal provisions apply regardless of whether the coins are used in Germany, the euro area, or foreign currencies, as long as they are recognized as official means of payment. Coins that are no longer legal tender (e.g., Deutsche Mark coins after 2002) are only covered by criminal law if they are still accepted as payment. Collector coins without monetary value are not covered by the counterfeiting ban, unless they closely resemble valid coins in form and design and could thus be mistaken for legal tender.
Are there differences in sentencing between coin counterfeiting and banknote counterfeiting?
German criminal law does not fundamentally differentiate the penalty for counterfeiting coins versus paper money (banknotes). According to Section 146 StGB, both offenses are treated the same, as coins and banknotes alike serve to protect payment transactions and the functioning of the economic system. The legislator regards both coin and banknote counterfeiting as a threat to public trust in the monetary system, which is why identical penalties are provided. Differences may arise in individual cases depending on the value, extent of the counterfeiting, or criminal circumstances, which may influence the actual sentence.
Is acquiring counterfeit coins as a collector punishable?
Mere collecting or acquiring of counterfeit coins is not relevant under criminal law as long as there is no intent to use them as currency or to circulate them. Many collectors intentionally acquire counterfeit money (so-called “rogue pieces”) for documentation or research purposes. The offense under Section 146 StGB only applies if the counterfeit coins are held or acquired with fraudulent intent. However, collectors must ensure that counterfeit coins are clearly labeled as such and do not accidentally enter circulation. Otherwise, suspicion of counterfeiting intent and criminal investigations can quickly arise. Caution is also advised when coins are traded across borders, as foreign criminal law may apply in such cases.
