Probe launched into counterfeit dollar banknotes in Turkish market

An Istanbul prosecutor on Nov. 28 initiated an investigation into allegations that counterfeit $50 and $100 banknotes have been circulating in the Turkish market.

The inquiry came after the Turkish market has been increasingly unsettled as several currency exchange offices in the Grand Bazaar suspended dollar transactions, citing the distribution of counterfeit banknotes reportedly printed abroad.

Following the launch of the investigation, authorities raided two locations in the Fatih and Zeytinburnu districts, where counterfeit currency production was suspected.

The police seized counterfeit currency amounting to 3.6 million euros ready for circulation, transparent plastic templates bearing euro watermarks and "100" inscriptions, ultraviolet lamps, printing machines and 817 forged checks featuring various bank insignias.

During the operation, the authorities detained one suspect.

Some exchange officers remarked that their money-counting machines failed to distinguish these forgeries from the original notes. Several foreign exchange offices also started to display warning notices about counterfeit banknotes at their workplaces.

Turkish banks heightened their vigilance this week, with three issuing memos to their staff urging heightened scrutiny of $50 and $100 bills.

"There were already significant quantities of counterfeit $50 banknotes in circulation, while counterfeit $100 notes were relatively scarce. Now, the proliferation of fake $100 bills has escalated considerably," said Mustafa Ünver, the head of an umbrella establishment that covers foreign exchange bureaus across the country.

As with the counterfeit $50 notes, the fake $100 banknotes also bypass outdated money-counting machines that lack software...