X

Police Grab $6 Trillion in Phony US Bonds

Crooks wanted forgeries to buy plutonium: Italian paper
By Neal Colgrass,  Newser Staff
Posted Feb 18, 2012 2:04 PM CST
Police Grab $6 Trillion in Phony US Bonds
This undated photo provided by Carabinieri Friday, Feb. 17, 2012 shows a trunk confiscated in Switzerland.   (AP Photo/Carabinieri)

(Newser) – A minor crime averted in Italy: Police seized $6 trillion in phony US Treasury bonds that a criminal network reportedly planned to use to buy plutonium. Cops grabbed the fake bonds at a Swiss trust company in the city of Potenza, they said yesterday. US experts identified the forgeries and eight men were arrested on charges of counterfeiting, forgery, and loan-sharking, Reuters reports.

story continues below

Why loan-sharking? Because the case started as an Italian-Swiss-US investigation into the mafia practice, and grew as prosecutors learned about the bonds through wiretaps and computer transmissions. The phony bond haul equals more than a third of America's national debt, but reaction on Wall Street was light-hearted. "If there's that much less supply now, Treasuries should be rallying," said one brokerage firm strategist. (Read more bonds stories.)

We use cookies. By Clicking "OK" or any content on this site, you agree to allow cookies to be placed. Read more in our privacy policy.
Get the news faster.
Tap to install our app.
X
Install the Newser News app
in two easy steps:
1. Tap in your navigation bar.
2. Tap to Add to Home Screen.

X