Reports warn of surge in counterfeit currency trading across Iran

Reports from across Iran point to a growing surge in counterfeit currency transactions, with police seizing large quantities of fake euros and US dollars in a recent operation in Lorestan Province.

According to Tasnim News Agency, officers in the city of Aligudarz uncovered a hideout containing around €225,000 and $50,000 in counterfeit banknotes. The operation followed a suspicious transaction and subsequent surveillance, with police acting under judicial authorisation to raid the premises. Equipment found at the site suggested the operation was organised and premeditated, and a suspect has been handed over to judicial authorities, News.Az reports.

Authorities say the case is part of a wider trend affecting multiple cities, as reports, public complaints and field accounts indicate a rise in fraudulent activity in the unofficial foreign exchange market.

Market participants say the number of offers to sell foreign currency below the prevailing market rate has increased sharply in recent weeks. Sellers are often described as unknown individuals carrying a small number of genuine notes and approaching buyers in an informal manner. Transactions frequently take place in secluded locations, inside vehicles or in busy public areas.

Buyers, attracted by lower prices, later discover that the bulk of the banknotes are counterfeit, leaving them with significant financial losses.

Analysts have also raised concerns about a less visible aspect of the trend, with reports suggesting that some individuals are using such transactions to collect newly issued high-denomination Iranian banknotes. While deals appear to involve foreign currency, these notes are reportedly being systematically withdrawn from circulation, a pattern sometimes associated with underground financial networks.

Experts warn that offers to sell foreign currency below the market rate are likely to be fraudulent and urge the public to conduct transactions only through licensed exchange offices.

They caution that while all currency trading carries inherent risks, informal deals significantly increase the likelihood of fraud, potentially resulting in the loss of personal savings.

Observers say heightened vigilance is needed, warning that even minor lapses in caution could lead to substantial financial losses through counterfeit transactions.

News.Az