The real relevant legislation:
2Fraud by false representation
(1)A person is in breach of this section if he— (a)dishonestly makes a false representation, and
(b)intends, by making the representation—
(i)to make a gain for himself or another, or
(ii)to cause loss to another or to expose another to a risk of loss.
(2)A representation is false if—
(a)it is untrue or misleading, and
(b)the person making it knows that it is, or might be, untrue or misleading.
(3)“Representation” means any representation as to fact or law, including a representation as to the state of mind of—
(a)the person making the representation, or
(b)any other person.
(4)A representation may be express or implied.
(5)For the purposes of this section a representation may be regarded as made if it (or anything implying it) is submitted in any form to any system or device designed to receive, convey or respond to communications (with or without human intervention).
And the guidelines:
Fraud by false representation (Section 2)
The defendant:
made a false representation
dishonestly
knowing that the representation was or might be untrue or misleading
with intent to make a gain for himself or another, to cause loss to another or to expose another to risk of loss.
The offence is entirely focused on the conduct of the defendant.
So, for Peter and any WeRe account holders, I'm having a go at why you are breaking the law.
Peter:
made a false representation - Peter isn't a bank, can't issue cheques, can't hold bonds
dishonestly - he knows the above is true
knowing....untrue or misleading - the chequebooks are fake and there's nothing to back them
with intent..... - he wants others to believe they can pay off their bills, he's making money from subscriptions and selling fake cheques
WeRe Account holders
made a false representation - you know it's not a real cheque, or you never checked if it was real
dishonestly - you know the above is true
knowing....untrue or misleading - the chequebooks are fake and there's nothing to back them
with intent..... - you are trying to pay off bills with fake cheques
"There is something about true madness that goes beyond mere eccentricity." Will Self