This story is probably not getting reported in mainstream because it's either misquoted, misread, or fabricated. US Treasury bonds are not bearer bonds. There's no point in carrying them in a suitcase, unless what's in the suitcase are merely bond certificates. In that case, it's very possible that the italians at the guard post didn't understand the difference and tried to treat accounting records as currencies. I can see that happening - having been to italy and dealt with their "financial police" (don't forget to take your receipt with you when leaving a restaurant, or you might get fined!)
Well, if anyone here can read Italian, here's the original press release: http://www.gdf.it/GdF__Informa/Noti...09/Adnkronos_Giugno_2009/info-1518911049.html
249 U.S. Treasury bonds each worth $500 million Never knew they were issued at such a high unit value!!!!!!!
Ignorant North Korean agents with Japanese Passports. Like every petty dicktator family in history, Kin Jong Jr. ( like the Marcos,Saddamns, Gaddafis, Castro's ) is worried more about stashing his personal fortune he stole from his people, than he is in governing effectively. Jr. would normally rely on his yakuza "banking" network, however this stinks of rank amateurism.
Google translate did a decent job of making that readable. It's a very strange situation, isn't it. I don't believe you need to declare that you have bank statements in your suitcase when you cross boards, including italy. I believe the usual disclosure is for currencies. I still think it's a case of the italians mistaking the certificates as currency. We probably won't get an update when it finally dawns on them.
I didn't read anything more than to OP. Where are you all getting info. that they are claiming that these are bearer bonds?
They say they were Federal Reserve bonds? As far as I know the Fed doesn't issue such things though they recently were going to ask for the authority to do so. Maybe they jumped the gun or these are fake. Then again, if anyone wants to cover this up the public will simply be told that they were fake
Another article with a few more facts: 06/08/2009 15:18 ASIA â ITALY US government securities seized from Japanese nationals, not clear whether real or fake Bonds worth US$ 134.5 billion are seized. This is the largest financial smuggling case in history. But are they real? Concern over âfunny moneyâ or counterfeit securities is spreading in Asia. The international press is silent. Milan (AsiaNews) â Italyâs financial police (Guardia italiana di Finanza) has seized US bonds worth US 134.5 billion from two Japanese nationals at Chiasso (40 km from Milan) on the border between Italy and Switzerland. They include 249 US Federal Reserve bonds worth US$ 500 million each, plus ten Kennedy bonds and other US government securities worth a billion dollar each. Italian authorities have not yet determined whether they are real or fake, but if they are real the attempt to take them into Switzerland would be the largest financial smuggling operation in history; if they are fake, the matter would be even more mind-boggling because the quality of the counterfeit work is such that the fake bonds are undistinguishable from the real ones. What caught the policemenâs attention were the billion dollar securities. Such a large denomination is not available in regular financial and banking markets. Only states handle such amounts of money. The question now is who could or would counterfeit or smuggle these non-negotiable bonds. In order to stop money laundering Italian law sets a ceiling of 10,000 euros per person for importing or exporting money without declaring it. The penalty for violating the law is 40 per cent of the money seized. If the certificates were real, for Italy it would be like hitting the jackpot. The fine alone would amount to US$ 38 billion, five times the estimated cost of rebuilding quake-devastated Abruzzi region. It would help Italyâs eliminate its public deficit. If the certificates are fakes the two Japanese nationals could get a very lengthy jail sentence for fraud. As soon as the seizure was made the US Embassy in Rome was informed. Italian and US secret services were called in to assist the Italian financial police. Some important international financial newspapers had already reported on the existence of âfunny moneyâ circulating on parallel, i.e. unofficial, financial markets. For AsiaNews a few points need considering: 1. When it comes to Italy the world press has tended to focus on Italian Prime Minister Berlusconiâs personal problems rather than on stories like the bonds smuggling affair which has been front page on Italian newspapers. 2. The fear of counterfeit bonds and securities has spread across Asia with the result that real securities are also considered with suspicion. 3. During the Second World War several countries at war printed and put in circulation perfectly counterfeit enemy money. It is also historically established that some central banks, like the Bank of Italy 65 years ago, issued the same securities twice (identical registered number and code). This way they could print more money with legal tender than they officially declared. The main difference though is that 65 years ago the world was involved in a bloody war, which is not the case today. from: http://www.asianews.it/index.php?l=en&art=15456&size=A
This article is full of ignorance of ... finance. US treasury bonds and "federal reserve bonds" (whatever that is) aren't bearer bonds. You don't walk into the bank, hand them a certificate, and ask for money in return. Every treasury bond holder (or their custodian) is registered with the treasury. Which also means it doesn't call into any question about the legitimacy of other treasury bonds. What a bunch of idiots.