What are MUTILATED COINS and UNCURRENT COINS?

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        According to the U.S. Mint  "UNCURRENT COINS are coins that are worn yet recognizable as to genuineness and denomination, and are machine countable. UNCURRENT COINS are redeemed by the Federal Reserve Banks, then forwarded to the Mint for disposition.  

        REDEMPTION  PROCESS: The United States Mint will not accept UNCURRENT COINS for redemption. Members of the public wishing to redeem lawfully held UNCURRENT COINS must deposit the UNCURRENT COINS with a bank or other financial institution that will accept them, or with a depository institution that has established a direct customer relationship with a Federal Reserve Bank. A Federal Reserve Bank will redeem UNCURRENT COINS, based on the policies described in the Federal Reserve’s Operating Circular 2."

 Contact U.S. Mint with questions at MutilatedCoin@usmint.treas.gov or 202-354-7760. 

Subpart C—Request for Examination of Coin for Possible Redemption

Sec.

100.10 Request for examination of uncurrent coin for possible redemption.

100.11 Request for examination of bent or partial coin for possible redemption.

100.12 Exchange of fused or mixed coin.

100.13 Notices.

§ 100.10 Request for examination of uncurrent coin for possible redemption.

(a) Definition. 

       Uncurrent coins are whole U.S. coins which are merely worn or reduced in weight by natural abrasion yet are readily and clearly recognizable as to genuineness and denomination and which are machine countable.

(b) Redemption process. 

       The United States Mint will not accept uncurrent coins for redemption. Members of the public wishing to redeem lawfully held uncurrent coins must deposit the uncurrent coins with a bank or other financial institution that will accept them, or with a depository institution that has established a direct customer relationship with a Federal Reserve Bank. A Federal Reserve Bank will redeem uncurrent coins, based on the policies described in the Federal Reserve’s Operating Circular 2.

(c) Criteria for acceptance. 

      Depository institutions that redeem uncurrent coins must sort the coins by denomination into packages in accordance with the Federal Reserve’s Operating Circular 2. The Federal Reserve Banks have the right to reject any shipment containing objects that are not U.S. coins or any contaminant that could render the uncurrent coins unsuitable for coinage metal.

(d) Redemption sites. 

      The Federal Reserve Banks and branches listed in § 100.17 are the only authorized redemption sites at which a depository institution that has established a direct customer relationship with a Federal Reserve Bank may redeem uncurrent coins. 

§ 100.11 Request for examination of bent or partial coin for possible redemption.

(a) General. 

      Lawfully held bent or partial coins of the United States may be submitted to the United States Mint for examination in accordance with the provisions in this subpart. Any submission under this subpart shall be deemed an acceptance of all provisions of this subpart.

(b) Definitions. 

      (1) Bent coins are U.S. coins which are bent or deformed so as to preclude normal machine counting but which are readily and clearly identifiable as to genuineness and denomination.

      (2) Partial coins are U.S. coins which are not whole; partial coins must be readily and clearly identifiable as to genuineness and denomination.

      (3) Participants are individuals or businesses that submit coins through the redemption process.

(c) Redemption process. 

      (1)Depending on submission amount and frequency, participants may be subject to a certification process by the United States Mint. The established annual weight threshold and details about the participant certification process will be published on the United States Mint’s website. If certification is required, it must be done prior to submission. 

      (2) All submissions for review shall include an estimate of the value of the coins and an explanation of how the submission came to be bent or partial. The submission should also contain the bank account number and routing number for a checking or savings account at a bank or other financial institution (such as a mutual fund, brokerage firm, or credit union) in the United States.

      (3) Participants may be required to provide documentation for how the participant came into custody of the bent or partial coins.

      (4) The United States Mint reserves the right to test samples from any submission to authenticate the material. The size of the sample will be limited to the amount necessary for authentication. Testing may result in partial or complete destruction of the sample.

      (5) The United States Mint reserves the right to conduct site visits for participants over a certain volume threshold to verify information provided to the United States Mint.

      (6) No redemption will be made when:

          (i) A submission, or any portion of a submission, demonstrates a pattern of intentional mutilation or an attempt to defraud the United States;

          (ii) A submission appears to be part of, or intended to further, any criminal activity;          

          (iii) A submission contains a material misrepresentation of facts;

          (iv) Material presented is not identifiable as United States coins. In such instances, the participant will be notified to retrieve the entire submission, at the participant’s sole expense, within 30 days. If the submission is not retrieved in a timely manner, the entire submission will be treated as voluntarily abandoned property, pursuant to 41 CFR 102–41.80, and will be retained or disposed of by the United States Mint;

          (v) A submission contains any contaminant that could render the coins unsuitable for coinage metal. In such instances, the participant will be

notified to retrieve the entire submission, at the participant’s sole expense, within 30 days. If the submission is not retrieved in a timely manner, the entire submission will be treated as voluntarily abandoned property, pursuant to 41 CFR 102–41.80, and will be retained or disposed of by the United States Mint; or

          (vi) A submission contains more than a nominal amount of uncurrent coins. In such instances, the participant may be notified to retrieve the entire submission, at the participant’s sole expense, within 30 days. If the submission is not retrieved in a timely manner, the entire submission will be treated as voluntarily abandoned property, pursuant to 41 CFR 102–41.80, and will be retained or disposed of by the United States Mint.

      (7) The Director of the United States Mint, or designee, shall have final authority with respect to all aspects of redemptions of bent or partial coin

submissions.

(d) Redemption rates. 

      (1) Generally. Participants shall separate bent or partial coins by the denomination categories listed below in lots of at least one pound for each denomination category. The United States Mint will redeem bent or partial coins on the basis of their weight and denomination at the following rates:

          (i) One-Cent Coins: $1.4585 per pound.

          (ii) 5-Cent Coins: $4.5359 per pound. (iii) Dime, Quarter-Dollar, and Half- Dollar Coins: $20.00 per pound. 

          (iv) $1 Coins: $20.00 per pound.

      (2) Exceptions. 

          (i) The United States Mint will redeem one-cent coins inscribed with a year after 1982 at the rate set forth at paragraph (d)(1)(i) of this section unless such one-cent coins are presented unmixed from one-cent coins inscribed with a year before 1983. The United States Mint will redeem unmixed one-cent coins inscribed with a year after 1982 at a rate of $1.8100 per pound.

          (ii) The United States Mint will redeem $1 coins inscribed with a year after 1978 at the rate set forth at paragraph (d)(1)(iv) of this section unless such $1 coins are presented unmixed from $1 coins inscribed with a year before 1979. The United States Mint will redeem unmixed $1 coins inscribed with a year after 1978 at a rate of $56.00 per pound.

(e) Redemption sites. 

      Coins are shipped at the sender’s risk of loss and expense.

      (1) Bent and partial coins submitted in quantities less than or equal to a threshold established annually will be redeemed only at the United States Mint at Philadelphia, P.O. Box 400,

Philadelphia, PA 19105.

      (2) Bent and partial coins submitted in quantities greater than a threshold established annually should be scheduled with the United States Mint to be sent directly to the authorized recycler(s) of the United States Mint.

§ 100.12 Exchange of fused or mixed coin.

(a) Definitions. 

      (1) Fused coins are U.S. coins which are melted to the extent that they are bonded together.

      (2) Mixed coins are U.S. coins of several alloy categories which are presented together, but are readily and clearly identifiable as U.S. coins.

(b) Fused and mixed coins. The United States Mint will not accept fused coins for redemption. The United States Mint will not accept mixed coins for redemption, except as provided for in § 100.11(d)(2).

§ 100.13 Notices.

(a) Additional information and procedures about the United States Mint’s redemption of bent or partial coins can be found on the United States Mint’s website.

(b) Criminal penalties connected  with the defacement or mutilation of U.S.

coins are provided in 18 U.S.C. 331.

(c) The Director of the United States Mint may provide information pertaining to any bent or partial coin submissions to law enforcement officials or other third parties for purposes of investigating related criminal activity or for purposes of seeking a civil judgment.

(d) Whoever intentionally files a false claim seeking reimbursement for uncurrent, bent or partial coins may be held criminally liable under a number of statutes including 18 U.S.C. 287 and 18 U.S.C. 1341 and may be held civilly liable under 31 U.S.C. 3729, et seq. Dated: December 11, 2017.

Jean Gentry,

Chief Counsel, United States Mint.

[FR Doc. 2017–27026 Filed 12–19–17; 8:45 am]

BILLING CODE 4810–37–P

Source: Federal Register /Vol. 82, No. 243 /Wednesday, December 20, 2017 /Rules and Regulations 60309