96-13693. Color Illustrations of U.S. Currency  

  • [Federal Register Volume 61, Number 106 (Friday, May 31, 1996)]
    [Rules and Regulations]
    [Pages 27280-27281]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 96-13693]
    
    
    
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    DEPARTMENT OF THE TREASURY
    
    Secret Service
    
    31 CFR Part 411
    
    [1505-AA69]
    
    
    Color Illustrations of U.S. Currency
    
    AGENCY: Secret Service, Treasury.
    
    ACTION: Final rule.
    
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    SUMMARY: Pursuant to the Counterfeit Deterrence Act of 1992, the Secret 
    Service permits color illustrations of United States currency provided 
    such illustrations are consistent with the requirements set out in this 
    final rule. Prior to the issuance of this rule, color illustrations of 
    U.S. currency were not permitted.
    
    EFFECTIVE DATE: May 31, 1996.
    
    FOR FURTHER INFORMATION CONTACT: Mark Mulligan, Attorney/Advisor, 
    Office of Chief Counsel, U.S. Secret Service, 1800 G Street, N.W., Room 
    842, Washington, D.C. 20223, (202) 435-5771.
    
    SUPPLEMENTARY INFORMATION: On June 26, 1995 (60 FR 32929), the Secret 
    Service proposed to amend title 31, chapter IV of the Code of Federal 
    Regulations by adding part 411 which would permit color illustrations 
    of U.S. currency. At the time this proposal was issued, illustrations 
    of U.S. currency were only permitted provided the illustration was in 
    black and white and was of a size less than three-fourths or more than 
    one and one-half, in linear dimension, of each part so illustrated, and 
    provided the negatives and plates used in making the illustration were 
    destroyed after their final use. 18 U.S.C. 504. Color illustrations of 
    U.S. currency were not permitted.
        Interested parties were invited to participate in the rulemaking 
    proceeding by submitting written comments on the proposal. Five 
    comments were received. The Secret Service carefully reviewed and 
    evaluated these comments. In considering these comments, the Secret 
    Service carefully weighed the recommendations and comments with the 
    federal government's compelling interest of preventing the 
    counterfeiting of U.S. currency.
        Specifically, all the commentators to some extent questioned the 
    need for and practicality of the requirement that the term ``non-
    negotiable'' be prominently and conspicuously placed across the center 
    portion of any color illustration. After careful consideration, the 
    Secret Service has decided to amend its proposal by removing the 
    requirement
    
    [[Page 27281]]
    
    that the term ``non-negotiable'' be placed on any color illustration.
        One comment addressed the requirement that ``all negatives, plates, 
    positives, digitized storage medium, graphic files, magnetic medium, 
    optical storage devices, and any other thing used in the making of the 
    illustration that contain an image of the illustration or any part 
    thereof shall be destroyed and/or deleted or erased immediately after 
    their final use in accordance with this section.'' Proposed 31 CFR 
    411.1(a)(4). Specifically, this comment questioned the need for the 
    immediate destruction of such items. After careful consideration of 
    this comment and in order to be consistent with 18 U.S.C. 504, the 
    Secret Service has decided to remove the word ``immediately'' from the 
    final rule. Therefore, both the final rule and 18 U.S.C. 504 require 
    that such items be destroyed after their ``final use'' in accordance 
    with each respective provision.
        Another comment suggested that the proposed rule should be expanded 
    by identifying certain kinds of illustrations that could be considered 
    not to give rise to an inference of an intent to defraud. The Secret 
    Service disagrees. It is the Secret Service's position that a single 
    rule applicable to all color illustrations be implemented for the sake 
    of simplicity and consistency. Such a rule will be more easily 
    understood by the public than a rule which contains exceptions for 
    various types of illustrations. Further, not all of the statutory 
    sections concerning the reproduction of U.S. currency require that an 
    intent to defraud be established in order for a violation of law to 
    occur. See, e.g., 18 U.S.C. 474.
        The final rule requires the color illustrations to comply with the 
    current size restrictions set out in 18 U.S.C. 504. In addition, such 
    color illustrations must be one-sided.
        The exceptions established by this rule, like the exceptions set 
    out in 18 U.S.C. 504, apply notwithstanding any other provision of 
    chapter 25 of Title 18 of the U.S. Code. However, the criminal 
    liability imposed by 18 U.S.C. 474 and other applicable sections of 
    chapter 25 of Title 18 of the U.S. Code could apply where a color 
    illustration of U.S. currency fails to meet the requirements imposed by 
    this regulation.
        It has been determined that this document is not a significant 
    regulatory action under Executive Order 12866. This rule permits the 
    color illustrations of U.S. currency, which heretofore were prohibited 
    by law. Further, pursuant to section 605(b) of the Regulatory 
    Flexibility Act and for the reasons set forth above, it is hereby 
    certified that this regulation will not have a significant economic 
    impact on a substantial number of small entities.
        Pursuant to 5 U.S.C. 553, it is also found and determined that good 
    cause exists for not postponing the effective date of this rule 30 days 
    after publication in the Federal Register because this rule permits a 
    practice heretofore prohibited by statute.
    
    List of Subjects in 31 CFR Part 411
    
        Counterfeiting, Currency.
    
        In consideration of the foregoing, the Secret Service amends title 
    31, chapter IV of the Code of Federal Regulations by adding part 411 as 
    set forth below.
    
    PART 411--COLOR ILLUSTRATIONS OF UNITED STATES CURRENCY
    
        Authority: 18 U.S.C. 504; Treasury Directive Number 15-56, 58 FR 
    48539 (September 16, 1993)
    
    
    Sec. 411.1  Color illustrations authorized.
    
        (a) Notwithstanding any provision of chapter 25 of Title 18 of the 
    U.S. Code, authority is hereby given for the printing, publishing or 
    importation, or the making or importation of the necessary plates or 
    items for such printing or publishing, of color illustrations of U.S. 
    currency provided that:
        (1) The illustration be of a size less than three-fourths or more 
    than one and one-half, in linear dimension, of each part of any matter 
    so illustrated;
        (2) The illustration be one-sided; and
        (3) All negatives, plates, positives, digitized storage medium, 
    graphic files, magnetic medium, optical storage devices, and any other 
    thing used in the making of the illustration that contain an image of 
    the illustration or any part thereof shall be destroyed and/or deleted 
    or erased after their final use in accordance with this section.
        (b) [Reserved].
    Paul A. Hackenberry,
    Assistant Director, Office of Investigations.
    [FR Doc. 96-13693 Filed 5-30-96; 8:45 am]
    BILLING CODE 4810-42-P
    
    

Document Information

Effective Date:
5/31/1996
Published:
05/31/1996
Department:
Secret Service
Entry Type:
Rule
Action:
Final rule.
Document Number:
96-13693
Dates:
May 31, 1996.
Pages:
27280-27281 (2 pages)
Docket Numbers:
1505-AA69
PDF File:
96-13693.pdf
CFR: (1)
31 CFR 411.1