A coin processing system (100) for processing a plurality of coins of mixed denominations comprises a rotatable disk (114) for imparting motion to the plurality of coins, a sensor (204) for differentiating between valid and invalid coins, a stationary sorting head (112), and a diverter (300). The stationary sorting head has a lower surface generally parallel to and spaced slightly away from the rotatable disk that forms a queuing channel (166) and exit channels (261-268) for sorting and discharging coins of particular denominations. The queuing channel has a first segment for receiving coins and a second segment for moving the coins past the sensor and is configured to move coins at a faster rate along the second segment for increasing the spacing between adjacent coins. The diverter is disposed along the second segment and is moveable for diverting a coin to a reject region when the sensor detects an invalid coin.
