Several parties draw and accept bills of exchange from each other, but without any real transactions underlying these bills. Such bills of exchange merely serve to raise money for one or all of the parties involved, as they can be used to settle liabilities by passing them on. Bill riding (kiting, kite flying) is a criminal offense in Germany under § 263 StGB. – See acceptance, first-class bill of exchange, money surrogate, giro, cellar bill, pension bill, rollover, rediscount, return, bill credit.
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
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