Chasing Down the Counterfeiters
For nearly as long as stamps have been around, the United States Postal Inspection Service has been fighting against stamp counterfeiters.
The First Postage Stamp and Counterfeit
In 1847, the first postage stamp was released, making the mailing and receiving of packages significantly simpler. Up until that time, most mail was "cash on delivery," with the receiver paying any postage due on the mail. While the new pre-paid mailing system made correspondence easier, some people saw it as an easy way to make a quick buck by printing and selling counterfeits of the new stamps.
By 1851, the practice had become so common that Postmaster General Nathan K. Hall sent a nationwide circular reminding the public that producing, selling, or using counterfeit stamps was a felony carrying the punishment of up to five years in prison and a $5,000 fine (about $205,000). The issue was not solely an American problem. In England, persons found in possession of counterfeit postage could face lifetime deportation to the penal colonies of Australia.
The Greatest Counterfeit Scheme
In 1897, postal inspectors investigated a counterfeiting operation that at the time was considered one of the "greatest schemes of its kind." The scheme, centered around the 1894 George Washington stamps, produced mass quantities of counterfeit versions and offered them at a rate far below the face value.
one victim, a cigar dealer named Nathan Herzog, lost money by purchasing $115 worth of stamps for only $100, the equivalent of $3,600 in 2023. Postal inspectors were able to track down the sellers, the Canadian Novelty and Supply Company, out of Hamilton, Ontario. The ringleaders were arrested later that year, and the company was dissolved.
Counterfeiting Today
Today, thanks to the advancement of photography and computer software, postage stamp counterfeiters are as sophisticated as ever. But postal inspectors remain dedicated to stopping this kind of fraud against the Postal Service and its customers. in 2013, postal inspectors arrested an Iowa City man, David Chasse, for counterfeiting thousands of dollars in postage meter stamps.
Inspectors found Chasse had been photocopying postage on packages and using the copies to mail business materials totaling $59,989.87. Chasse was sentenced to time in prison and ordered to pay $60,000 in restitution.
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