TRENTON, N.J. – Assemblyman Ron Dancer has introduced legislation to deter fraud by imposing tougher penalties for selling altered or fake gold and silver coins and bullion.
“In uncertain times, people seek the financial safety of precious metals. The scammers know this and prey on the fears of people worried about savings and investments,” said Dancer (R-Ocean). “Seniors are particularly vulnerable to this because of concerns that their savings will not last through retirement.”
Under the bill (A-4753), anyone convicted of this fraud would have to compensate the victim up to three times the amount of the damage caused and if the victim was over 62 years of age, would also face a mandatory term of imprisonment.
A survey conducted by the industry’s Anti-Counterfeiting Task Force indicated that U.S. bullion coins are the most frequently counterfeited since they are the top seller in the United States.
The bill also covers coins and bullion that has been “slabbed” and graded by a professional grading service, in which the holder or certification has been faked or altered. This is occurring with greater frequency and poses a significant problem for the investors and collectors.
“We need to enact tough penalties to stop people from taking advantage of our residents by enacting tough penalties. I can only imagine the shock and anger someone feels when they find out the coins or bullion they purchased are worthless,” said Dancer.