TROY Group Laser Indelible Solution White Paper Datasheet

October, 2011 Copyright 2011 TROY Group Inc.

OVERVIEW

TROY Group, Inc. has developed a new digital printing technology for security
printing (patents awarded worldwide, contact TROY for further information). This
new technology is the TROY Laser Indelible Solution. The TROY Laser
Indelible Solution consists of TROY Security Toner and laser bond paper coated
with the TROY Laser Indelible Coating. This toner and paper system works
together to create an indelible image on documents that are printed on laser
printers.

HOW IT WORKS

Laser Indelible paper has a special coating in area(s) of each sheet where the
desired security feature is located. During the coating drying process a
“migration agent” in the coating is absorbed into the paper fibers. This migration
agent is designed to interact with TROY Security Toner (Figures 1 & 2). The
TROY Security Toner is a specialty toner formulation containing a special dye
(Figure 3). When printed, the dye in the toner is released by the migration agent
and drawn through the paper (Figure 4). The resulting image is a black toner
character or graphic on the front of a document and the same character or
graphic in red dye, permeating the thickness of the paper. The red image is also
visible as a mirror image of the backside of the document.

TROY Group, Inc. • 3 Bryan Drive • Wheeling, WV 26003 USA

Phone [phone] • Toll Free [phone] • Fax [phone] • www.troygroup.com • [e-mail]

October, 2011 Copyright 2011 TROY Group Inc.

Figure 1

Figure 2

TROY Group, Inc. • 3 Bryan Drive • Wheeling, WV 26003 USA

Phone [phone] • Toll Free [phone] • Fax [phone] • www.troygroup.com • [e-mail]

October, 2011 Copyright 2011 TROY Group Inc.

Figure 3

Figure 4

TROY Group, Inc. • 3 Bryan Drive • Wheeling, WV 26003 USA

Phone [phone] • Toll Free [phone] • Fax [phone] • www.troygroup.com • [e-mail]

October, 2011 Copyright 2011 TROY Group Inc.

USING TROY LASER INDELIBLE TO REDUCE FRAUD
One of the advantages of the TROY Laser Indelible Solution is that sensitive regions of a
document can be targeted for the Laser Indelible security. This is achieved by coating certain
areas of a form, while leaving other areas uncoated. Any printing on the regions that are
coated will form a red indelible image underneath. Any printing on uncoated areas will have a
normal black toner appearance.

For example, check fraud is a common problem costing banks and businesses billions of
dollars each year. Criminals often attempt fraud on high value business checks, bank checks
and payroll checks. They try to counterfeit a check by copying an original, stealing an original
and altering it, or creating a check with an official looking appearance. A common method of
fraud on business and official checks is toner removal from the face of a check. Criminals use
a sharp knife to scrape the toner or chemicals to dissolve the toner. They then print a new
character in place of the one that is removed. Using this technique, the payee name on a
check can be changed or the amount of the check can be increased. Even on high quality
check stock, with coatings designed to enhance toner adherence to the paper, a fraudster
can carefully remove the toner.

Chemically reactive papers are used as a countermeasure to help reveal chemical alteration;
however, they do not reveal alteration by scraping the toner removal using a knife. In
addition, chemically reactive papers typically exhibit very faint blue or red dots in the area
exposed to the types of solvents that are able to dissolve toner (e.g. toluene and acetone*).
These faint dots can be easily overlooked by a first-line document inspector (e.g. a bank
teller) if the document has a printed background. In contrast, TROY Security Toner releases
a very visible red stain (see Figure 5.0) when exposed to these same solvents.

Figure 5

TROY Group, Inc. • 3 Bryan Drive • Wheeling, WV 26003 USA

Phone [phone] • Toll Free [phone] • Fax [phone] • www.troygroup.com • [e-mail]

October, 2011 Copyright 2011 TROY Group Inc.

Figure 6.0 is an illustration of a business check with the base paper coated in the payee
name and the amount regions of the document. The reverse side of the check reveals that
the TROY Laser Indelible Solution (TROY Security Toner and TROY Laser Indelible coated
paper) has been used to print this check. The visible nature of the indelible image acts as a
deterrent to alteration and thereby reduces the risk of being targeted by fraud.

*Note: Bleach has no dissolving effect on TROY Security Toner.

Figure 6

Figure 5.0 - Example Business Check

with Secure Payee Name and Amount Regions

Front of

Check

Back of

Check

Figure 7.0 illustrates the effect of careful removal of toner from the payee name “Chris” on a
check printed with the TROY Laser Indelible Solution. In this example, the toner was
removed with a repeated scraping motion using an X-acto knife. Toner removal reveals the
red image underneath the toner. The dye released from the TROY Security Toner permeates
the paper and cannot effectively be removed without damaging the paper. As previously
discussed, some solvents are able to dissolve the toner, but when this is attempted the dye
will migrate into surrounding areas, creating a visible red stain. If chemical alteration is a
concern to an organization, the TROY Laser Indelible Solution will create a tamper-evident
stain that is easily seen by first-line inspectors.

TROY Group, Inc. • 3 Bryan Drive • Wheeling, WV 26003 USA

Phone [phone] • Toll Free [phone] • Fax [phone] • www.troygroup.com • [e-mail]

October, 2011 Copyright 2011 TROY Group Inc.

Figure 7

Figure 6.0 - Toner Removal

INDELIBLE IMAGE FORMATION

As previously noted, the red indelible image provides a visual fraud deterrent as well as an
easy way to help determine document authenticity. One of the considerations when using the
TROY Laser Indelible Solution is the rate at which the indelible image is formed.

TROY Laser Indelible Solution (TLIS)

Once a document is printed using the TROY Laser Indelible Solution, the formation of
the image occurs gradually over a period of several days (Figure 8). If toner is
removed from the face of a document, you will see the red image on the front in the
first 3 or 4 hours after printing. After the first 24 hours, you will begin to see the red
image on the reverse side of the document. After 48 hours, the red image is obvious
on the back of the document. Over several days, the red image appears more vividly.
After a week, the dye will also appear on the front side of the document as shown in
figure 7.

TROY Extended Laser Indelible Solution

The TROY Extended Laser Indelible Solution was designed to provide a longer-lasting
indelible image on the reverse side of the document. Once a document is printed
using the TROY Extended Laser Indelible Solution, the formation of the image occurs
gradually over a period of fourteen days (Figure 9). After this time period, the red
image is visible on the reverse side of the document. The TROY Extended Laser
Indelible Solution should be utilized for documents that require a longer-lasting
security feature (e.g. educational transcripts, shipping documents).

TROY Group, Inc. • 3 Bryan Drive • Wheeling, WV 26003 USA

Phone [phone] • Toll Free [phone] • Fax [phone] • www.troygroup.com • [e-mail]

October, 2011 Copyright 2011 TROY Group Inc.

A range of document papers and forms paper can be treated with the TROY Laser Indelible
Coating and Coating Enhancer. However, paper selection is critical in achieving a uniform
indelible image. It is also critical in the rate of indelible image bleed-through. Therefore, only
paper provided by TROY or TROY licensed security printing partners is suitable for Laser
Indelible printing.

Figure 8

Figure 7.0 - Indelible Image Formation

Day 0

Day 0

Day 1

Day 1

Day 2

Day 2

Figure 9

Figure 7.0 - Indelible Image Formation

Day 0

Day 0

Day 0

Day 14

Day 1

Day 1

Day 30

Day 2

Day 2

TROY Group, Inc. • 3 Bryan Drive • Wheeling, WV 26003 USA

Phone [phone] • Toll Free [phone] • Fax [phone] • www.troygroup.com • [e-mail]

October, 2011 Copyright 2011 TROY Group Inc.

APPLICATIONS

The TROY Laser Indelible Solution can be used for any official document that is at risk of
fraudulent alteration. The TROY Security Toner used in the Laser Indelible Solution is
available in a high quality TROY MICR toner formulation, so laser checks are an ideal
application. Other applications include:

• Educational Transcripts / Grade
Reports

• Title of ownership

• Shipping documents

• Legal documents

• Gift Certificates

• Classified documents

CONCLUSION

Document fraud continues to remain a significant financial and security concern to
businesses, the financial industry, governments and many other industries. While distributed
imaging and printing is here to stay, it opens up even more risk of document fraud. The
TROY Laser Indelible Solution provides a new level of document security to print-on-demand
documents. It provides a visual deterrent in the areas that are at risk of alteration. It also
provides a tamper resistant indelible image, along with chemical sensitive toner, that helps to
protect against both chemical and mechanical document alternation techniques. The TROY
Laser Indelible Solution significantly “raises the bar” in document security.

For more information on the TROY Laser Indelible Solution visit the TROY web site at

www.troygroup.com or contact your regional TROY Sales Manager.

TROY Group, Inc. • 3 Bryan Drive • Wheeling, WV 26003 USA

Phone [phone] • Toll Free [phone] • Fax [phone] • www.troygroup.com • [e-mail]