$6 Trillion In US Bonds Seized In Zurich, Said To Pose "Severe Threats To International Financial Stability"

Tyler Durden's picture

Back in the summer of 2009, a peculiar story circulated when two Japanese individuals were arrested trying to smuggle $134 billion in US bonds into Switzerland from Italy. The story quickly died down after it was subsequently reported that the bonds were merely fake bearer bonds. Nobody heard much about it since then. Until today, when out of the blue we get a new story which blows that one out of the water. According to Bloomberg, "Italian anti-mafia prosecutors said they seized a record $6 trillion of allegedly fake U.S. Treasury bonds, an amount that’s almost half of the U.S.’s public debt." From here the story just gets weirder: "The bonds were found hidden in makeshift compartments of three safety deposit boxes in Zurich, the prosecutors from the southern city of Potenza said in an e-mailed statement. The Italian authorities arrested eight people in connection with the probe, dubbed “Operation Vulcanica,” the prosecutors said. The U.S. embassy in Rome has examined the securities dated 1934, which had a nominal value of $1 billion apiece, they said in the statement. Officials for the embassy didn’t have an immediate comment." ...And weirder: "The individuals involved were planning to buy plutonium from Nigerian sources, according to phone conversations monitored by the police." ...And really, really weird: "The fraud posed “severe threats” to international financial stability, the prosecutors said in the statement." Ok great, however one thing we don't get is just how can $6 trillion in glaringly fake bombs be a "threat to international financial stability."

More from Bloomberg:

The financial fraud uncovered by the Italian prosecutors in Potenza includes two checks issued through HSBC Holdings Plc in London for 205,000 pounds ($325,000), checks that weren’t backed by available funds, the prosecutors said. As part of the probe, fake bonds for $2 billion were also seized in Rome.


HSBC spokesman Patrick Humphris in London declined to comment when contacted by telephone.


Phony U.S. securities have been seized in Italy before and there were at least three cases in 2009. Italian police seized phony U.S. Treasury bonds with a face value of $116 billion in August of 2009 and $134 billion of similar securities in June of that year.


The U.S. Secret Service averages about 100 cases a year related to bonds and other fictitious instruments.

As a reminder, total US debt in circulation is just over $10 trillion. So if the allegedly "fake" bonds were sufficiently threatening to put international financial stability at risk, just what is going on here?

Some more from the BBC:

US officials confirmed that the bonds were counterfeit.


Fake US securities have been seized in Italy before and there were at least three cases in 2009.


But this case is on a different scale to previous investigations as the fake bonds have a value equivalent to almost half of the entire US debt pile.


"Everything began with an investigation into mafia clans in the Vulture-Melfese area in the southern Basilicata region," said Giovanni Colangelo, the head of the prosecutor's office in Potenza.

Here is what the bonds look like:

And here is where they were kept:

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Thomas's picture

We all think it totally stinks. You are not having an out of body experience.

Thomas's picture

BTW-The guys who made the bonds were operating under a secret plan named, "Operation Krugman".

withnmeans's picture

Looks like the rest of the world is still out to bury us "The U.S.A.". Should of stuck with gold, you can't fake it. Paper is paper, you burn it and there is nothing!!!

johnQpublic's picture

but you can fake it

-google tungsten bars

Banjo's picture

Tungesten is not gold ergo fake.

Global players assay their London "good delivery" bars ;)


Load up on 100% paper or 100% gold or some mix in between. Free will and free choice.

withnmeans's picture

Oh, your one of those Alchemist huh, you can try to make it out of anything you like, however when trading the real bullion "it gets tested".

stocktivity's picture

Ha Ha - dated 1934 and worth a $Billion each...nothing more than those play $100 bills that kids use in monopoly games. I doubt there is much to this story.

YC2's picture

Seriously, wouldnt a billion in 1934 buy you the world and half of mars?  Ridiculous.

Imminent Crucible's picture

Yeah, like there was nothing to the Japan Ministry of Finance story:

Guardia di Finanza: "Yo, U.S. Secret Service! We got two guys say they're from the Jap finance ministry with $134 billion in U.S. Treasury bonds headed for Basel. What's up?"

SS: "They're counterfeits."

GdF: "No, they have all the documentation. They look authentic."

SS: "IF YOU'LL LOOK CLOSELY, you'll see these are not the droids you're looking for!"

GdF: ".......uh...Hey, you're right. These are obvious Mafia counterfeits. Shall we book 'em?"

SS: "Nah. Let 'em go. And let 'em keep the $134 billion in counterfeit U.S. bonds."

If you can buy that, you are the most gullible person since the girl that married Ted Kennedy.

MJ's picture

That story popped up recently:

http://www.courthousenews.com/2011/12/05/41930.htm  http://img24.imageshack.us/img24/8408/1934reclamationdragonfa.pdf

Keenan claims the conspiracy began with the illegal detention of two Japanese citizens, Akihiko Yamaguchi and Mitsuyoshi Watanabe, and the seizure of $134.5 billion in bonds they were holding in Italy, in June 2009.

Seriously, if someone could explain what the fuck is going I'd appreciate it.  That case reads like a bad David Icke like fanfiction.

BigJim's picture

And they say the universe is incomprehensible at the quantum level - the more I learn, the more I appreciate just how fucking weird THIS world is.

your neighbor's picture

By letting this story get out, someone wants to go a one world currency like tomorrow.

francis_sawyer's picture

I guess if your name is Rothschild, you can afford some pretty fancy counterfeitting apparatus...

combatsnoopy's picture

counterfeit bonds to collateralize a $600 trillion counterfeit subprime market? Say, oh... um- isn't Bernanke just going to buy them and make the taxpayers create their value?  He's done this before. 

Oh why Hillary CLinton and Larry SUmmers (who used the CFTC to commit obstruction of justice and RICO) want the World Bank head position.  

On that note, VIVA ITALY! 

Btw,  I wouldn't put it past our government to frame the Italian Mafia for this. 

Clayton Bigsby's picture

These guys are amateurs, bothering with all that printing and shit.  Who needs a press when you've got Ctrl-P

Robot Traders Mom's picture

I really doubt this is counterfeiting. Nothing adds up.


Who would go to these lengths to be so unrealistic, creating $1B face 1934 Tsy's? And to top it off, they are going to con the genius on the black market selling nuclear material?


My guess is another false flag to push for more private disclosure of financial transactions (read: gold, silver, and everything else).

Mad Max's picture

Agree, there is no reason anyone would counterfeit something like this.  It would be like an individual printing up fake $1Billion bills and trying to pass them at the bank.

I suspect there is some ugly truth on the side of the bonds, and that the plutonium story is 100% made up horseshit, and perhaps a false flag of sorts as you state.

Your chances of buying Plutonium from Nigerian sources are considerably lower than your chances of getting 50% of the take from helping some African prince move his multi-billion-dollar inheritance by Western Union.

Buckaroo Banzai's picture

So if they are so obviously counterfeit, why did someone go to great lengths to not only (a) stash them in a safety deposit box, but (b) hide them in a secret compartment in said safety deposit box??

Counterfeit money is for SPENDING, not holding. Much less hiding.

Silver Dreamer's picture

The FBI agent had to store them somewhere until he handed them off to the patsy?

JPM Hater001's picture

Yeah, this was all planned.  TPTB stumbled across this box of authentic bonds bought by the Rothchilds in secret, at discount, and they were preparing to sell them to suckers trying to get out of the Euro-fast.

Hmmm, didnt I hear once the Euro, by German request, was 40% backed by gold?  Now what happens if you collect the EU economy into in the end will be worthless US Treasuries and then stand with 80% of the EU Currency.  I bet I could lay claim to the gold from the EU at a discount rate.

I smell a mystery.  I really think we need John Steed and Emma Peal on this one...

http://www.youtube.com/watch?v=Nt8HcrTn6Ew Well, Emma anyway.

memyselfiu's picture

poor Nigeria...always getting mixed up in false flags and propaganda...

Silver Dreamer's picture

Isn't it amazing what you can buy there?  It's the Walmart of the World.  Who knew they had plutonium?!  The last I knew everyone was broke and needed money to get out of the country.

BigJim's picture

Silly Africans - you can't eat plutonium.

tsimitpo's picture

But at least it doesn't burn like paper certificates do - especially as they become worthless.

DaveyJones's picture

Yeah, something doesn't add up. I've wondered about these guys since they first showed. NOt sure it's about pushing for more disclosure more than pushing for an early exit. Glad to see Tyler bring it up.  I recall this post: (interesting comments)


espirit's picture

Best to deem all bearer bonds counterfeit, thus inadequate.

That way, it saves alot of time on debt swaps.

Chump's picture

Everyone who owns Monopoly better burn it, because the SS will be coming for you.

Hippocratic Oaf's picture

I extremely doubt there are T-Bonds out there dated 1934. Especially in this size. Just can't be.

levelworm's picture

Yes it doesn't make sense. Those bonds from 1934, even if that they are legal, may already be worthless----did US issue perpetual bonds back then? I don't think so. So they probably are fake. Why does someone fake worthless bonds of 1934, not of more recent years? And how are they going to sell to anyone? I mean, if you are handed with a billion bonds, you probably won't accpet it without double or even triple confirmation with the US gov. And buying NUCLEAR MATERIAL with those towel paper? I'm going to laugh my ass off. So what we have here is: someone who is totally ignorant (yet he knows a lot about US bonds and managed to manufacture some) or there is a deep, deep conspiracy going on.

combatsnoopy's picture

So basically the counterfeit subprimes that were supposed to be collateralized by bonds (Created by Fannie Mae and Freddie Mac) were now collateralized by $6 trillion FAKE bonds?  Who says Bernanke won't buy them and make the taxpayers come up with the value on these?  China can do it this time since they love the stuff, or else they wouldn't buy so many Treasuries from us.  Oh wait!  Did they buy the real Treasuries?   With the fakes outstanding, what is the REAL value of US Treasuries?  This makes me NOT want to be a US Taxpayer. 

This also makes me wonder why Larry Summers and Hillary Clinton want the World Bank head job so much... (Larry Summers along with Wendy Gramm, Robert Rubin and Judge Levine-that we know of used the CFTC to block all good cases against the subprime dealers even before 2003)...

Think for yourself's picture

I've seen some very thorough analysis of the topic on some dark conspiracy-minded corner of the internet. This is not the sole case of this. There have been many different massive federal reserve coffers, very intricately designed, with individual boxes inside holding large amounts of $1B treasuries. These were apparently printed and exchanged with other nations against their gold before WWII, with the explicit requirement that these were not to be cashed for a very long minimum period, and then buried in various countries.
There was this man who got one such coffer of 250 bonds as collateral for a 50k deal by another, wiser person who believed that attempting to cash it would either get him jailed or killed.
The latter man did all his homework and figured they were real, and the intelligence agent he hooked up with to make the deal with the fed refused to return the sample bounds but did not press charges against the man but only for the retrieval of the bounds, which were not described as counterfeit but rather misattributed or some such. There was much more to this, including a very detailed documentation of the coffer, boxes, and bonds, as well as other cases of other identical coffers in different states of conservation.
The bonds were designed with plausible deniability in mind, with very obvious typos in big characters and so on in order to deny individuals the chance to cash them back. I assume that, if they are real, then the holding governments were told of specific rapatriation methods as well as a target "date" at which they could start being redeemed, I.e. when GDP reaches 15 trillion or 30 trillion or some such.
Now for the life of me I can't find that post again, but my research has turned up some very light information on the topic. I'll keep looking. 

Disenchanted's picture

Think for yourself said:

"These were apparently printed and exchanged with other nations against their gold before WWII, with the explicit requirement that these were not to be cashed for a very long minimum period"


So they were collateral for gold, right? As Crazy Cooter pointed out elsewhere in this thread, in one of the pics the words "gold certificate" are clearly seen on these 'bonds'...here for example:



How many 'normal' US Treasury bonds say anything about gold on them?


Somebody was 'taking eyes off the ball' by making this a "fake US Bond" story...getting everyone to think US Treasury bonds.

These bonds in question are gold bearer bonds, not US Treas bonds...am I way off the mark here??


Some interesting reading here:

Gold Warriors - The Vulcans - Murdering Liberty and Killing Hope on 911




Fake treasuries? Isn't that redundant?

cossack55's picture

Pssssttt. Senor, can I interest you in some counterfeit Confederacy currency?

Silver Dreamer's picture

Terrorist! Please report to the nearest camp.

jekyll island's picture

I am not sure what is going on with this story, but do feel that it is appropriate to have US Treasury bonds and plutonium in the same paragraph.  Foreshadowing?  

Silver Dreamer's picture

A nuclear false flag is a logical conclusion.  The hints just keep coming in too.

Au Shucks's picture

They're not fake.  Neither were the bonds the Japanese men were carrying when "busted".   Look a little deeper as there are many, many more trillions of bonds to come.  We are witnessing history and the end of the global banking/political elite cartel.  Exciting times.

hangemhigh's picture

TO:  AU Shucks

"They're not fake.  Neither were the bonds the Japanese men were carrying when "busted".   Look a little deeper as there are many, many more trillions of bonds to come.  We are witnessing history and the end of the global banking/political elite cartel.  Exciting times."

exciting times indeed, beyond the bounds of 'credoolity', unbelievable in the extreme....the url  trail below was previously posted by another zh'er............pay attention to dates and amounts




no assertions of authenticity alleged by me....simply offering information that corresponds to other commentaries that may or may not be accurate

surfwon's picture

I thought all treasury bills were fake!!!!!!!!

SillySalesmanQuestion's picture

Not these...there are more. This is just a small, tiny fraction of them...

surfwon's picture

I thought all treasury bills were fake!!!!!!!!

TeMpTeK's picture

I think they meant..... "Threat to International financial stupidity"

DoChenRollingBearing's picture

I'm late to this party, but if no one else has written it:



Richez, Bitchez!