The Collectible Coin Protection Act, (HR 1849) was introduced to the US House of Representatives on May 7, 2013. This federal legislation amends & updates the Hobby Protection Act that was passed originally in November of 1973. Now with HR 1849 on the books it allows the authorities to take criminal action as well as individuals to take civil actions against the manufactures, importers, and the dealers who market counterfeit coin and bullion items, also adding the unauthorized duplication of registered trademarks belonging to the third-party certification services in the collectible market, such as, PCGS and NGC.
The new legislation has no opposition because of no fiscal impact and its non-partisian creation. Barry Stuppler, chairman of the Gold & Silver Political Action Committee, (GSPAC) and Jimmy Hayes, the coin & bullion community’s political consultant, met with congressmen on June 19th 2013. Both believe that HR 1849 will be supported by both Democratic and Republican Congressmen. Also, at that meeting Congressman Henry Waxman (D CA), spoke about his concerns on counterfeit coins and certified holders to educate his colleague’s in the House top support the bill.
“We need to bring this law into the 21st Century because of new issues that were not even contemplated decades ago, such as fake coins now being sold inside counterfeit holders fraudulently made to resemble the genuine, sonically sealed holders that reputable rare coin authetication compaines use,” said Barry Stuppler, chairman and founder of GSPAC. “Counterfeit coins are costing unsuspecting buyers millions of dollars.
Originally enacted in 1973 and then ammended in 1988, it requires any and all manufactures of imitation numismatic coins be stamped “plainly and permanently” the word “COPY”. Over the past 5 to 10 years the have been reports of well made copy cat coins making their way into the US market without the “COPY” in place. The majority of these coins are being made in China, some it is said, are being made in Turkey and the Middle-East.
The numismatic community has worked with the Industry Council for Tangible Assets (ICTA) ,GSPAC and key representatives to create the Collectible Coin Protection Act.to increase the reach of the original Act. The following are ways the bill would improve the law in today’s market.
Include the distribution and sale of items not properly marked as being a COPY;
Expands the provisions to include “any person who provides substantial assistance or support to any manufacturer, importer, or seller” who knowingly engages in any act or practice that violates the Act;
Expands the ability for those who were sold counterfeit items to include the counterfeiter, their agent in the United States, or anyone who knowingly “transacts business” in violation of the Act;
Extend trademark violations and remedies to help third –party certification services protect against counterfeit holders.
Sponsors of the Bill
Rep. Lamar Smith (R – TX21)
Co-Sponsors of the Bill
Rep. Henry Waxman (D – CA33)
Rep. Steve Scalise (R – LA1)