Iraq war coins: A newly minted scam
Sunday, May 18, 2003 By Don Oldenburg The Washington Post
U.S. Mint officials were a little troubled when they saw a company called Razmataz Coins marketing “Operation Freedom” commemorative coins.
Appearing in pop-ups, spam and Web sites since the start of the war in Iraq, the ads claimed that the colorized tribute coins commemorating U.S. forces were “struck by the U.S. Mint.” They emphasized that the collectible, priced at $19.95, is a “legal tender U.S. coin” and comes with a “certificate of authenticity.”
But while the coin itself is a 2003 Kennedy half dollar and the handiwork of the U.S. Mint, the “limited edition” paint job on it displaying a bold-colored image of an American soldier against a backdrop of fighter jets and an America flag was not.
“Only the United States Congress can authorize an official commemorative coin program and only the U.S. Mint can produce them,” says Henrietta Holsman Fore, director of the U.S. Mint. “It is wrong to mislead consumers into thinking they are genuine.”
Three weeks ago , Michigan Attorney General Mike Cox filed a civil suit against Razmataz, based in Sterling Heights, Mich., calling its offer a “scam” that duped consumers into thinking the coins were official and falsely claimed their purchase would “help support” U.S. troops in Iraq. Since then, Razmataz has removed the ads from its Web sites and does not respond to phone calls or e-mails.
“We hear frequently from consumers about products they are buying. We hear questions asking if they are genuine, what their value might be,” says Fore of the commemorative coins and medallions that commercial mints hurry onto the market every time a world-shaking event occurs, such as the space shuttle Columbia crash.
The U.S. Mint creates only about two congressionally authorized commemoratives each year. The last two paid tribute to the Olympics in Salt Lake City and the 200th anniversary of the U.S. Military Academy at West Point. The next one, a “First Flight” coin, will celebrate the Wright Brothers’ achievement.
While it’s not illegal for a commercial mint to colorize coins or strike originally designed medallions, deceptive marketing is illegal.
Last summer, the U.S. Mint settled for $2.1 million copyright, trademark and false-advertising claims against a Minnesota company called the Washington Mint when the company wouldn’t stop deceptive advertising of unauthorized medallions bearing the copyright-protected image of Sacagawea.
For more information about commercially minted commemoratives, replicas, copies and colorized coins, click on “consumer awareness” at
usmint.gov
Consumers needing further clarification can call the U.S. Mint at (202) 354-7222. |
