Note: Descriptions are shown in the official language in which they were submitted.
~060g95
~IEL~ 0~ THE INVENTION
This inven-tion re]ates to a method of
preparing and evaluating mechanically readable
payment documents and apparatus there~or.
Present-day systems of payment use bank
or postal cheques. As a general rule, the
genuineness of said documents is assessed by the
signature o~ the person drawing the cheque.
Similarly, the validity of a receipt given a person
making a payment is determined by a signature which
is normally the signature of a bank counter clerk.
Since signatures are relatively easy to
counterfeit it is, in practice, v~ry difficult to
fully automate cheque pay~ent systems because of the
complex and expensive equipment needed to check the
genuineness of signatures.
~ . .
-OBJECT OF THE INVENTION
It is an object of the invention to obviate
i these disadvantages by providing a method of and
apparatus for preparing and evaluating payment ;~
documents by coding other information normally
printed on such documents which can then be used to
check the genuineness of the documents.
SUMM~RY OF THE INVENTION
According to the invention a payment document
has associated with it a specific item of informatlon
which is different for each pay~ent document and which
is referred to herein as a serial number. The serial
number and the amount of the payment document are
digit]zed ~ith secret code data by logical association,
.. .. , . . . .. .. ., , . ~ . . . . , .. . . . , . . ~
! . .
10609'~S
the reslllt of the digitization referred to hcrein as
the crypto nwnber is applied in mechanically readable
form to the payment documcnt together with the amount
and the serial number. To checl~ the genuineness of
the document so prepared its crypto number, amount
and serial number are read mechanically and the amount
and the serial n~nber are digitized with an identical
secret code data as that used in preparing the document
by logical association. The crypto number yielded as
a result of the di~itization is compared with the crypto
number read from the payment document and if the latter
is the same as the former the payment document is
assessed as valid.
Since the crypto number depends upon the amount,
serial number and secret code and is unambiguously
defined by these three items of information, the
mathmatical relationship between the amount, the serial
number and the crypto number cannot be discovered
unless all these items of information, including the
secret code, are known.
In an embodiment of the invention to be
described in detail later on, the serial number of
the payment documents being evaluated is read and
stored, and the serial number of each payment document
to be evaluated is then compared with all the stored
serial numbers. In the event of non-coincidence with
any of the stored serial numbers, the serial number of
the document to be evaluated is stored and the payment
document is assessed as valid if the read serial number
does not agree ~ith any of the previously stored numbers.
- - .
~.
~060995
The advantage of this method is that it
provides complete security against duplication.
A dishonest person who has drawn a document for a
particular amount when the method according to the
invention is in use would of course realise that
such amount and the serial number printed on his
payment doclmlent at the time has given rise to the
crypto n~nber printed on the document at the time.
He could therefore duplicate the previous document,
and since the relationship be-tween, on the one hand,
the amount and serial number and, on the other hand,
the crypto number is correct, the duplicate could
not be detected as false. However, a serial number
check excludes this possible form of fraud since
the evaluation or assessment of the payment document `
would disclose that the serial number had already
been used once.
The invention also relates to an apparatus
for performing the method and comprising a
document-preparing apparatus and a document-assessing
apparatus. In such apparatus, the document-preparing
apparatus has means for positioning a payment document,
means for writing in the amount appearing on the
document, means for producing a serial number, a
digitizer having provision for producing secret code
information, means for introducing the amount and the
serial number into the digitizing device and means for
indicating the amount, the serial number and the
crypto number on the docllments. The document-assessing
apparatus has means for positioning a document, means
-3-
,
1060995
for reading the amount appearing thereon, the serial number
and the crypto number, a digitizing device for producing the
same secret code information as in the document-preparing stage
and in the same way means for introducing the amount and the
serial number into the digitizing device and means for comparing
the crypto number read from the payment document with the crypto
number obtained in the digitizing device.
In accordance with this invention there is provided
a system for preparing and assessing payment documents,
comprising:
A. at least one document-preparing apparatus including
a. first means for positioning a payment document,
b. means for writing on the positioned document,
c. means for producing a serial number,
d. first means for enciphering,
e. first means for introducing an amount and the
serial number into the means for enciphering;
the first enciphering means comprising an electronic code pulse
calculator and a secret code store and producing a crypto
number from a secret code information, the serial number and
the amount,
the output from the first enciphering means and the first means
for introducing the amount and the means for producing the
serial number controlling the means for writing in order to
write the amount, the serial number and the crypto number on the
positioned document; and further comprising:
B. at least one document-assessing apparatus including
a. second means for positioning a payment document,
b. means for reading from a positioned document,
c. second means for enciphering,
B -4-
. '
~06099,s
d. means for comparing, said comparing means having
first and second inputs,
scid second means for enciphering producing the same informa-
tion as the first means for enciphering provided the input is
the same,
the reading means for reading the amount, the serial number
and the crypto number appearing on the positioned document and
being connected to the inputs of the second enciphering means
as well as to the first input of the comparing means,
the second enciphering means producing a crypto number from the
same secret code information as in the document preparing stage,
the amount just read and the serial number just read,
the first input of the comparing means being connected to the
reading means and the second being connected to the output to
the second enciphering means,
said means for comparing checking the genuineness of the
document.
BRIEF DESCRIPTION OF THE DR~WINGS
In the accompanying drawings:-
Figure 1 is a block schematic diagram of a document-
preparing apparatus and an associated document
Figure 2 is a block schematic diagram of a document-
evaluating apparatus and an associated document;
Figure 3 is a block schematic diagram of a modification
of the apparatus sho~n in Figure 1 and an associated document,
and
Figure 4 is a ~lock schematic diagram of apparatus
for automatically paying in and paying out cash.
-4a-
3~
10609~
DETAILED DESCRIPTION OF PREFERRED EMBODIMENTS
Referring to ~igure 1, a document-assessing apparatus A comprises
a digitizing device 1, a serial number producer 2, a data write-in stage 3
and a document print-out device 4. Document B has three information panels
5 to 7 for receiving data relevant to the document; panel 5 receives the
amount, panel 6 the serial number and panel 7 the crypto number.
The digitizing device 1 comprises a secret code store 8 and a code
pulse calculator 9 having three inputs and one output. Its first input is
connected to the output of store 8, its second input is connected to the out-
put of stage 3 and its third input is connected to ~he serial number producer2. The outputs of the units 9, 3 and 2 are all connected to the print-out
device 4.
Preferably, the stage 3 comprises a keyboard and the serial number
producer 2 is an electronic counter. The units 8 and 9 are of the kind used
in the information-coding art. Units of this kind are disclosed, for instance
in Swiss Patents:
392,617 issued May 31, 1965 (Gretag AG)
402,937 issued November 30, 1965 "
408,109 issued February 28, 1966 "
411,983 issued April 30, 1966 "
422,047 issued October 15, 1966 "
530,742 issued November 15, 1972 (Ciba-Geigy)
Preferably, the device 4 is a printing mechanism which prints
optically detectable numerals on the document. It could be a magnetic
head for writing data on the document in the appropriately encoded form on a
- magnet track or it could be a perforater punching the data in an appropriate
encoded form in the document.
The apparatus described operates as follows:-
A client wishing to prepare a document for paying in or paying out
introduces an unprinted document form into the apparatus by sliding it inthrough a slot. The required amount is then typed on to the document by means
of the keyboard 3. The amount
-- 5 --
1060995
is pr~ ted by -the printing Illechanism 4 in the panel
5 of the documcnt and applied to -the secon~ input of
the code pulse calculator 9. Serial number producer
2 produces a serial number which the mechanism 4
prints in panel ~ o~ thc document and which is applied
to the third input of calculator 9. Present at the
first input of the cal.culator 9 is the secret code
inforllla-tion from the store ~, such information being
logical.ly associated in the calculator 9 with the :
data information items representing the amount and
the serial number. This association leads to the
crypto number being obtainable at the output of the
calculator 9. The mechanism 4 prints the crypto
number in the panel 7 to complete the preparation
of the document.
Since the crypto number is dependent upon,
and unambiguously defined by,the amount, the serial ~ :
number and the secret code, it is impossible to
discover the mathmatical relationship between these
three items (including the secret code) unless all
of them are known. However, since the secret code
- is by hypothesis secret, it is virtually impossible
: so to falsify the amount and/or serial number and/or
: crypto number to achieve the correct relationship
25 determined by the secret code between, on`the one
hand, the amount and the serial number and, on the
other hand, the crypto number.
Referring to Figure 2, a document-evaluating
device ~ comprises a digitizing device 1 having a
secret code store 8, the same as store 8 in apparatus
, . .
1060995
A, an(l a code pu]se calculator also the same as
calculator 9 in the appara-tus A. The device C
also comprises a document rcader 10, a crypto
'number comparator 11, ~ serial number testing
and storing stage 12 and an AND gate 13.
The document reader 10 has means (not
shown) for receiving the document, such as a
sliding drawer which aligns the panels 5 to 7
of the document B inserted into the drawer in the
sensing zone of the documen-t reader 10. As
illustrated, the reader 10 has three outputs; the
- information contained in panel 5 - i.e. the amount -
is conveyed via the first output to the second input '~
of the calculator 9, the information in panel 6, i.e.
the serial number - is conveyed via the second output
to the third input of calculator 9 and to the input
of stage 12, and the information in panel 7, i.e. the
~, crypto number - is conveyed via the third output to
one output of comparator 11. The other input of
comparator 11 is connected to the output of calculator
9. The output of stage 12 and the output of comparator
11 are each connected to one input of AND gate 1~.
When a document is,introduced into the
appratus, the reader 10 reads the three panels 5 to 7. -
The crypto number information is obtained from the
amount and serial number data items in the calculator
9 in a manner similar to that in the document-preparing
apparatus A of Figure 1. Comparator 11 compares the
crypto nwnber information obtained in calculator 9 with
~0 the crypto number read from panel 7 and if the two
--7--
' . ,
, . .. , .. . . , .. , . , ~ , . .. .. . .. .. . .. ........ . . . . .. . . .. . . . .
.
1:0609'95
crypto nulllbers are the same, the comparator 11
~roduces an output signal which is applied to
one output oI AND gate 13. The serial number `!
read from panel 6 is checl~ed in stage 12 for
first appearance. If stage 12 discovers that
a serial number which has just been read is
occurring for the first time, s-tage 12 applies
an output signal to AND gate 13. When the two
inputs of AND gate 13 each receive a signal it
produces an output signal to signify that the
payment document is evaluated as genuine.
The stage 12 stores either all the
possible serial numbers or al] the serial numbers
read from payment documents within a predetermined
time interval before checking the particular
documents concerned. Preferably, the time
interval corresponds to the period of time within
I which a payment document must be evaluated if it
is to be valid; for instance the time within which
a drawn cheque must be cashed. The secret code can
be altered after such a time interval. In a first
mode of operation stage 12 evaluates the serial
mlmber read from panel 6 as genuine only if that
serial number ~oes not coincide with any of the
serial numbers in store. Every serial number found
not to coincide with a serial number already in
store is itself stored. In a second mode of operation
the serial number read is assessed as genuine when
there is coincidence between it and any stored serial
number, and is cancelled in the store of the stage 12.
--8--
, . . . . ....... .... . . . ... . .. . . ... .
10609gS
~or improved security, both modes can be o~erated in
parallel in which case bot:h the signals produced
can be applied to an addi.tional AND gate on the
second input of AND gate 13.
A system for checki.ng and evaluating
documents as aescribed above is of use, for instance,
in a clearing centre where all the cash sums of
subscribers are entered and where mcchanical checking
of this kind to see wllether the documents are genuine :
has the advantage of saving considerable time and
providing greater security over visual assessment of
cheque signatures by counter officials and in
automatic cash-issuing machines in which, once a
document has been found to be genuine, the amount stated
thereon is paid out automatically.
As already mentioned, the documents cannot
be falsified because the amount and the serial number
is associated with the crypto nulnber in a non-detectable
way so that in the event of unauthorized tampering --
: 20 with the amount, the crypto number ceases to be correct
and the crypto number associated with the altered
amount cannot be found unless the secret code is known.
To ensure that the stated amount is not paid
out more than once on a copied document, the serial
number is checked too. In this check a document is
assessed as genuine only if the serial number read froin
it occurs for the first time. Any document can be .
evaluated only once, copies and du.plicates being
assessed as false.
30 Consequently, documents prepared by this
... ~ .
106099S
method can be read mechanically and evaluated Ior
genuineness and they cannot,without extreme
difficul-ty, be counter:Ceited or duplicated.
Further mechanical.:l.y readable particulars
in addition to the amount and seri.al number can be
prin-ted on a document B and made proof against
fa].sification by means of the digitizer 1 and the
erypto number. In the ease of documents used in
automatic payment system, such a.dditonal particulars
ean be:
the account number to be debited with the
amount;
the reference number to which the aeeount
is to be credited,
the date of drawing the doeument; and
the number of the deviee in which the
document has been prepared.
.To ensure that in the event of a eompletely
prepared document being lost an unauthorized person
eannot use i.t to draw eash from an automatie eash
pay-out machine, information identifying the drawer
can be entered into the digitizing device 1 but not
printed on the document, the information eomprising,
: for example, the eredit eard number of the rightful
owner of the doeument, the pay-out date and time
and the number of the pay-out automat. These three
items of information whieh affect the preparation of
the erypto number and whieh do not appear on the
document will therefore be unknown to an unawthorised
person. Since the cash sum specified is paid owt only
--10--
1060995
~hen the proper person has the document evaluated at
the rigllt place and at the right time, a document of
this kind would be proof against misuse by
unauthorized persons.
Figure 3 shows apparatus fcr preparing a
document B carrying the above mentioned in~ormation.
The document B has four extra informa-tion panels,
a panel 1ll for the account number, a panel 15 for
the reference number, a panel 16 for the date on
which the document is drawn and a panel 17 for the
number of the document-preparing device. The
account number, amount, reference number, serial
m~lber, date of dra~ing and m1mber of the drawing
i or preparing device may be applied to the document
in mechanically readable form before the document is
actually prepared. For the actual preparation, these
particulars are read by a document reader 18 and
supplied to corresponding inputs of the calculator 9.
To facilitate mechanical reading all the digits
and numbers in the panels appear on the document in a
single line. -~
In addition to the inputs previously described,
calculator 9 has three other inputs 19 to 21.
Identification information is introduced lnto input 19
by means of a keyboard, the pay-out date and time is
applied -to input 20 by means of an electric date
clock and the number of the automatic pay-out machine
is applied to input 21. From all these input data
and ~rom the secret code stored in store 8, calculator
9 ca]culates the crypto nu~ber which is written by
. ,, . . , . . . , .. , . .. . , ... , .... .. .. . . . . . . . , ~
? -
~060995
document writcr Jl in doculllent panel 7.
Thc seriaL numbcr can be coupled with the
number ot` t~le document-preparing device or with the
number of the evaluating device, so that when the
documents are assessed only the serial numbers
figuringamongst the numbers of these devices have
to be checked. Also, the serial number of the
documents can be associated with the date information
so that serial numbers begin àfresh daily and so only
a reduced number of serial numbers have to be evaluated
for first occurrence. ~he serial numbers can be
associated with the account number or reference number.
The stored secret code can be fixed or can
be varied automatically, for instance, in dependence
on the date. The sequence of serial numbers can
begin afresh for each alteration in the secret code
and for each alteration in the date.
; Figure 4 shows a system for the automatic
paying in and paying out of cash comprising two
automatic cash paying-in machi~es El, E2 ~ a
document-preparing facility F, an automatic cash -
paying-out machine G and a clearing centre D to which
the automatic paying in and paying out machines and
the document-preparing facility are electrically
connected. The paying-in machine El and the facility
F have document-preparing devices of the kind shown
in Figure 1, while the centre D and the machine G have
documen-t-evaluating facilities of the kind shol~n in
Figure 2. It is not essential for there to be an
electrical connection between the clearing centre and
-12-
.. ...... ... . .. .. . . . ... ...... . ..... .. ... . ... .... ... . . . . .. . . ... . . .
10609gl5
the variolls uatomatic machines.
In addition to the docu~ent-preparing device
A of Figurc 1 the cash paying-in -lacility El has a
document slot 21, a paying-in slot 22 and a bank note
tester 23, such as that disclosed in U.S~ Patent
Specification 3,753,617, the data write-in stage 3
being in the form O:r a keyboard.
The automatic cash paying in machine El operates
as follows: a blank document B is placed in slot 21,
the cash to be paid in is typed on keyboard 3 and
printed by the document writer 4 and is supplied as
an input to the digitizer 1. The serial number is
produced in the serial number producer 2, printed on
the document and supplied to digitizer 1. Paid in
bank notes are introduced by way of aperture 22.
The paid in eash is tested by tester 23 for genuineness
and amount. If the amount of cash paid in corresponds ~-
at least to the amount typed out, the cash tester applies
, to the digitizer 1 a signal which causes the cryp$o
number produced to be printed on the document as a
non-eounterfeitable and mechanically readable receipt.
As deseribed with referenee to Figure 3, the doeument
~ can'have an account number and/or reference number.
- Also, the automatic maehine can prepare the
document in duplieate, one eopy being given as a
reeeipt to the person making the payment while the
other copy goes to the clearing centre where the docwllent
is eheeked mechanieally for genuineness in an evaluating
deviee C of the kind shown in Figure 2 and the cash sum
is entered up. The document would be sent to the
'. .
_13_
~0609C~5
clcarillg cen-tre in this way in the absence of an
electrical connection bctweerl the au-tomatic
machine and the clearing centre.
If there is an e:Lectrical connection between
the machine El and the clearing centre D? in the
form indicated in Figure 1l by a chain-dotted line,
the cash paid in can be entered up directly during
the actual paying in. The document issued then
serves as a receipt for the person making the payment.
If the person making the payment has an account of
his own and the account number is printed on the
document as described with reference to Figure 3,
any change due to the person making the payment can
be credited to him in the clearing centre. Change
can also be given at the automatic machine but in
this case the paying-in machine El would have to be
constructed appropriately.
The paying-in machine E2 can process documents
which have been prepared with all the necessary
particulars, i.e. amount, serial number and possibly
account number, except for the crypto mlmber externally
of the machine. To receive these particulars and to
write them into the digitizer 1 the machine E2 has
a document reader 18 which is shown in Figure 3. So
far as the document slot 21, digitizer 1, cash entry
slot 22 and bank note tester 23 are concerned,
machine E2 is identical with machine El, and the
operation of the two machines is identical except for
the i~ltroduction of the document data and for the
absence of an indication of the amount and serial
1060995
mlmber on tlle document. The only function oL the
document writer ll is -to print the crypto number on
the doc~ ent. 0~ course, the machi.ne E2 could have
a serial num~er producer and produce the serial
mlmber itselI instead of reading it -from the document
by means of the reader 18.
Tlle document-preparing device F serves
to prepare documents similar to the document shown
in Figure 3 and bas, in addition to the digitizer 1,
serial number producer 2, write-in keyboard 3,
reader 4 and slot 21, a slot 2LI for receiving a
credit card K identifying the person making out the :-
document and a credit card reader 25. :
The documents prepared by means of the device
F can be used, for instance, as order checks to
transfer the amount stated on the document from the
account of the drawer (account number) to the account
of the person receiving the money (reference number).
The identification data derived from the drawer~s
credit card together with the amount and other
particulars on the document, serve as the drawer~s'
"signature" in the crypto number produced in
digitizer 1. The completed order cheque is despatched
to the clearing centre if the documen.t-preparing
facility is not electrically connected thereto.
If there is an electrical connection between centre D
and device F the requis~te book-keeping operations
are done "on line" in the clearing centre.
A document B prepared in the device F can
be used as a cheque for drawing cash ~rom an automatic
-15-
1060995
cash p~y-out machine G. In this case the device F
has a "on line" conncction with the clearing centre
D so that the latter can clleck the state of the
drawer's account. In addition to the document-
evaluating device C of Figure 2 t the machine G hasa document s]ot 21, a cash delivery slot 26 and a
cash delivery -facility 27. The output of the AND
gate 13 in the device of Figure 2 is connecte~ to
the input of the cash delivery facility 27.
A cheque for the payment of cash prepared in
a doeument-preparing device F is plaeed in slot 21.
The reader 10 reads all the partieulars present on
the document and such partieulars are proeessed in
the digitizer 1 and in the stage 12, as deseribed
with referenee to Figure 2. The output signal of
AND gate 13 causes automatie pay out of the amount
on the document.
- As a rule, the automatie machines for
reeeiving and paying out eash are in the form of
armoured eabinets.
As already stated, the elearing eentre D
has an evaluating deviee of the kind shown in
Figure 2 and ean also have all the faeilities found
in a eonventional up-to-date elearing eentre.
For instanee, the credit eard numbers and aeeount
numbers of every elient ean be stored at the elearing
eentre. If the eentre has an on-line connection with
- all the other facilities, i.e., with the document-
preparing faeilities and with the automatie maehines
for eaeh paying in and ~aying out eash, the serial
-16-
1060995
nllmber producer and the stage which checks
and stores seri.a:l. numhcrs and tlle digitizer ior all
the facilities can all be located at the clearing
centre so that the automatic machines for paying
in and paying out cash can be of very simple
constructi.on.
The crypto mlmber can be used as a testing
number to secure pa~nent so that any such digit in
the amount or serial number or crypto number that
has been incorrectly printed, or transmitted or
read is immediately detected as incorrect in the
evaluation.
-17-
Al'/
- :
