Securities of the States and private entities
Official text prohibited actmental stateif conditionpenaltylegal term
(a) Whoever makes, utters or possesses a counterfeited security of a State or a political subdivision thereof or of an organization, or whoever makes, utters or possesses a forged security of a State or political subdivision thereof or of an organization, with intent to deceive another person, organization, or government shall be [1] or imprisoned for not more than ten years, or both.
(b) Whoever makes, receives, possesses, sells or otherwise transfers an implement designed for or particularly suited for making a counterfeit or forged security with the intent that it be so used shall be punished by a or by imprisonment for not more than ten years, or both.
(c)
For purposes of this section—
(1) the term "counterfeited" means a document that purports to be genuine but is not, because it has been falsely made or manufactured in its entirety;
(2) the term "forged" means a document that purports to be genuine but is not because it has been falsely altered, completed, signed, or endorsed, or contains a false addition thereto or insertion therein, or is a combination of parts of two or more genuine documents;
(3) the term "security" means—
(A) a note, stock certificate, treasury stock certificate, bond, treasury bond, debenture, certificate of deposit, interest coupon, bill, check, draft, warrant, debit instrument as defined in section 916(c) [2] of the Electronic Fund Transfer Act, money order, traveler's check, letter of credit, warehouse receipt, negotiable bill of lading, evidence of indebtedness, certificate of interest in or participation in any profit-sharing agreement, collateral-trust certificate, pre-reorganization certificate of subscription, transferable share, investment contract, voting trust certificate, or certificate of interest in tangible or intangible property;
(B) an instrument evidencing ownership of goods, wares, or merchandise;
(C) any other written instrument commonly known as a security;
(D) a certificate of interest in, certificate of participation in, certificate for, receipt for, or warrant or option or other right to subscribe to or purchase, any of the foregoing; or
(E) a blank form of any of the foregoing;
(4) the term "organization" means a legal entity, other than a government, established or organized for any purpose, and includes a corporation, company, association, firm, partnership, joint stock company, foundation, institution, society, union, or any other association of persons which operates in or the activities of which affect ; and
(5) the term "State" includes a State of the United States, the District of Columbia, Puerto Rico, Guam, the Virgin Islands, and any other territory or possession of the United States.
History: (Added Pub. L. 98–473, title II, §1105(a), Oct. 12, 1984, 98 Stat. 2144 (PDF, 62 MB), §511; renumbered §513, Pub. L. 99–646, §31(a), Nov. 10, 1986, 100 Stat. 3598 (PDF, 5.1 MB); amended Pub. L. 101–647, title XXXV, §3515, Nov. 29, 1990, 104 Stat. 4923 (PDF, 27 MB); Pub. L. 103–322, title XXXIII, §§330008(1), 330016(2)(C), Sept. 13, 1994, 108 Stat. 2142 (PDF, 52 MB), 2148.)
1 See 1994 Amendment note below.
Simplified explanation
It is a federal crime to make, pass, or possess a fake or forged security, such as a check, stock, bond, or money order, of a State, local government, or private organization, with intent to deceive. It is also a crime to make, have, or sell tools for making fake securities, intending them to be used that way.