Published June 1970 — Download PDF of the original newspaper column
Byrd's-Eye View By U.S. Senator Robert C. Byrd Counterfeiting and Forgery Threaten Economy The federal government has scored impressive crime-fighting successes in the areas of counterfeiting and forgery; but a recent U.S. Secret Service report warns that, if the preventive measures are ever relaxed, these crimes could cause unprecedented inflation, devaluation of the American dollar, and economic destruction of our nation. In fiscal year 1969, for instance, 1,394 persons were arrested for counterfeiting violations involving 415.2 million in bogus currency; and 2,119 persons were arrested on forgery charges involving almost 43,000 government checks valued at $4.5 million. While these figures are enormous, the Secret Service estimates that, had the government been less diligent in its pursuit of these criminals, the cost to the American public would have been at least tripled. The effectiveness of the Secret Service is attested to by the fact that only $2.9 million of the $15 million in counterfeit money was actually placed in circulation. Counterfeiting, the older of the two economically-dangerous crimes, dates back to the time when our country first began issuing currency. It reached its peak during the first months of the Civil War, when an estimated one-third of the currency in circulation was counterfeit. At that time, there were no National banks in America, and the printing and issuing of currency was left in the hands of the 1,600 State banks. These banks designed 7,000 varieties of genuine money, while counterfeiters distributed almost 4,000 different kinds of fake American money. Hence, the Secret Service was established on July 5, 1865, to combat this large-scale counterfeiting. It has done an effective job, and, in recent years, has turned some of its resources towards halting the criminal practice of forging government checks. The growing federal payroll and burgeoning welfare rolls have resulted in a steady flow of government checks through the mails, and an irresistible temptation to the criminal element in our society. The fact that most of these are impersonal, computer-issued checks has served to aid the criminal. The Secret Service warns Americans not to be over-confident when accepting currency-especially larger bills. And it cautions against unhesitatingly cashing government checks. It notes several cases, for instance, where teenagers had no trouble cashing Social Security checks intended for citizens at least 62 years old. Much of the success that the Secret Service has had in combatting these two crimes results from citizen cooperation. If that success is to continue, then the cooperation of the public must also continue. JUN 17 1970