Phony $10, $20 coins circulating among New York businesses

New York State Police are warning local Oneonta residents and businesses about phony coins being passed off as legitimate U.S. currency.

In Oneonta, N.Y. – about 400 kilometres east of Niagara Falls, Ont. – several local businesses have received $10 and $20 National Organization for the Repeal of the Federal Reserve Act and the Internal Revenue Code (NORFED) “Liberty Dollar” coins as payment.

The Liberty Dollars – produced by NORFED, a now-defunct organization with the aim of providing an alternative to the currency issued by the U.S. federal government – were issued in various denominations, including $1, $5, $10, and $20 silver coins as well as a $500 gold coin.

Despite their similarity to coins produced by the U.S. Mint, NORFED “Liberty Dollars” are not legal tender, New York State Police said.

In May 2009, Liberty Dollar creator Bernard von NotHaus was charged with federal crimes for his role in producing and promoting his own currency. In July 2009, von NotHaus announced he would end the Liberty Dollar following the resolution of his case. Two years later, in March 2011, he was found guilty of “making, possessing, and selling his own currency”. He faced up to 15 years in prison; a $250,000 fine; and the forfeiture of $7 million worth of minted coins and precious metals to the U.S. government. After appealing his conviction, he was sentenced in December 2014 to six months of house arrest and three years of probation.

Termination of probation was formally granted Dec. 9, 2015 by U.S. District Judge Richard L. Voorhees.

To read the Liberty Dollar indictment, click here.

Leave a Reply

Keep up to date with the numismatic community

Sign up to receive our newsletter.

Canadian Coin News

Canada

Canadian Coin News is Canada's premier source of information about coins, notes and medals.

Although we cover the entire world of numismatics, the majority of our readers are Canadian, and we concentrate on the unique circumstances surrounding collecting in our native land.

Send Us Your Event

Running an event? Send it to us and we will display it on Canadian Coin News!

Submit Event →

Subscribe To 26 Issues For Just $45.75/year

Subscribe today to receive Canada's premier coin publication. Canadian Coin News is available in both paper and digital forms.

Subscribe Now

We acknowledge the financial support of the Government of Canada through the Canada Periodical Fund of the Department of Canadian Heritage.