-Caveat Lector-

http://www.the-times.co.uk/news/pages/tim/1999/12/23/timnwsnws01025.html?1124027

December 23
1999

    Simple ingredients produced sophisticated fakes

        BY ADAM SHERWIN


 A COLOUR printer, tinfoil, a
 guillotine and thousands of
 sheets of white paper were all
 that was required to set up the
 biggest counterfeit currency
 operation in Britain.

 After four years of churning out
 forged notes, an annexe to the
 Essex home of retired printer
 Kenneth Mainstone had begun to
 rival the Royal Mint. Bags
 containing millions of pounds in
 fake �20 notes, each with a serial
 number allocated by the gang,
 were strewn on the floor. Police
 also discovered 75kg of brass
 discs, enough to produce 40,000
 fake one-pound coins. A drawer
 contained the source of almost all
 the fake postage stamps
 circulating in Britain, plus stamps
 for British Gas stamps and
 television licences. Indeed, by the
 conclusion of Operation
 Mermaid, which involved the
 testing of 16,000 counterfeit
 notes, police had rooted out the
 source of two thirds of all the
 counterfeit currency circulating in
 Britain at the time.

 Few in Upminster questioned
 how Mainstone, an outwardly
 respectable businessman, had
 come to acquire a 14-room house,
 a personalised XJS Jaguar, a
 BMW and a two-seater plane.

 It was when Mainstone was
 approached by in 1994 by
 Stephen Jory, a man with
 underworld connections and a
 previous conviction for
 supplying counterfeit notes, that
 the project, which would
 eventually produce �50 million of
 fake money, was hatched.

 Jory, from Barnet, was seeing
 Mainstone's daughter, Clare.
 Mainstone agreed to print Jory's
 book, Super Grass, a fantasy
 account of his life of crime, but
 soon the pair received an optical
 disk, containing the artwork for
 the production of �20 notes,
 which was scanned into a
 computer. Then Mainstone
 produced a series of 17
 lithoplates, which separated the
 different colours that make up
 each note. He then installed a
 four-colour offset lithograph
 Heidelberg press to produce the
 notes.

 The metallic thread was
 produced by "hot foiling", a
 process unwittingly aided by a
 company that was told it was
 producing perforation for
 packaging. Reams of paper were
 printed with a foil line down the
 whole sheet and white ink
 overlaid to produce the
 perforation effect.

 The "watermark" of the Queen's
 head was printed on before a
 12-foot-long guillotine chopped
 the paper.

 The result was what Inspector
 Clive Merret, leader of the police
 investigation, described as "the
 most convincing forgery I have
 ever seen". The notes passed the
 ultraviolet test used by
 shopkeepers. Inspector Merret
 said the notes had only one flaw -
 on the flat surface of the script
 words "Bank of England" at the
 top of each note. Real notes have
 these words printed in raised
 intaglio print.

 Police could not confirm reports
 that the gang had moved into
 forging Spanish pesetas, less
 likely to be scrutinised than
 British notes.

Copyright 1999 Times Newspapers Ltd.

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