5 nabbed for turning P10 coins into rings – BSP

MANILA, Philippines —  Authorities from the Bangko Sentral ng Pilipinas (BSP) and local police have arrested five members of a group allegedly making rings out of P10 coins, a practice that undermines the value and integrity of the country’s currency.

The arrest took place during an operation at Paliton Beach in San Juan, Siquijor on Jan. 6. The group had been conducting their illegal activities at the popular tourist destination, targeting both locals and foreign visitors with their handcrafted rings.

Each P10 coin, which features an inner core made of aluminum bronze and an outer core of copper-nickel, was meticulously dismantled to create the jewelry. These rings were then sold for P1,500 each, yielding significant profits for the group.

Mark Fajardo, senior investigation officer of the BSP’s Payments and Currency Investigation Group, revealed that the operation was prompted by reports and surveillance.

“We conducted several test-buy operations and confirmed that this group was offering these rings, especially to foreigners,” Fajardo said.

According to the investigation, the group could produce a single ring in just 40 minutes. They claimed to make 20 to 30 rings daily, with an estimated daily income of P50,000.

The suspects, who were reportedly non-residents of the area, are now in the custody of the San Juan Municipal Police Station in Siquijor. They face criminal charges and could face heavy penalties for their actions.

The BSP emphasized the gravity of the violation, as mutilating legal tender is prohibited under Presidential Decree 247. This law safeguards Philippine currency from destruction or defacement to preserve its integrity and value.

Presidential Decree 247 prohibits and penalizes the defacement, mutilation, tearing, burning or destruction of Philippine Central Bank notes and coins.

It emphasizes the importance of preserving the currency’s integrity and lifespan to maintain the stability of the financial system and promote economic growth.

In 2023, the BSP completed the analysis of 13,142 claims. These claims were equivalent to 91,446 pieces (or P26.6 million in value) of severely damaged Philippine banknotes and coins, of which 55,949 pieces (P22.8 million) were replaced in favor of the claimants.

The BSP has the exclusive power to issue the national currency. All notes and coins issued by the BSP are fully guaranteed by the government and are considered legal tender for all private and public debts.

Authorities urge the public to report similar incidents to help maintain the integrity of the country’s currency and discourage such illegal activities.