Telangana Police have busted an alleged counterfeit currency racket operating from a rented house on the outskirts of Hyderabad, arresting four people and seizing suspected fake ₹500 notes with a face value of ₹6.78 crore.
Police said the main accused allegedly learnt about counterfeit currency production by watching YouTube videos and other social media content before setting up a printing unit at a rented property in Kuntloor.
Three other accused are absconding and efforts are underway to trace them.
Car Intercepted Near Ramoji Film City
The racket came to light on November 1, when Abdullapurmet Police, along with the Shadnagar Special Operations Team (SOT), intercepted a car near Ramoji Film City on National Highway 65.
During the vehicle check, police allegedly recovered counterfeit ₹500 notes with a face value of ₹8 lakh.
The four occupants of the car were arrested.
Police also seized fake police identity cards, an imitation pistol, walkie-talkie sets, mobile phones and the vehicle during the operation.
Printing Unit Found at Rented House in Kuntloor
Information gathered during the investigation led police to a rented house in Kuntloor in Hayathnagar mandal, where the accused had allegedly established a counterfeit currency printing unit.
A search of the premises resulted in the recovery of 134 bundles of suspected counterfeit ₹500 notes, with a total face value of around ₹6.70 crore.
Along with the currency, police seized printers, scanners, a laptop, a lamination machine, a currency-cutting machine and other equipment allegedly used in preparing the notes.
Combined with the ₹8 lakh recovered from the vehicle, the total face value of the suspected counterfeit currency seized reached ₹6.78 crore.
Prime Accused Allegedly Learnt Process From YouTube
Future City Commissioner of Police Dr Tarun Joshi said the alleged mastermind, identified as Madupoju Karnakar, had learnt about the process through YouTube tutorials and social media content.
According to investigators, Karnakar allegedly scanned genuine ₹500 notes, digitally modified their images and printed counterfeit versions at the rented premises.
Police are now investigating how extensively the fake notes may have been circulated and whether other people were involved in the network.
Gang Allegedly Offered Fake Notes at 3:1 and 4:1 Ratio
Police said the accused initially tried to attract prospective buyers by offering ₹3 lakh to ₹4 lakh in counterfeit currency in exchange for ₹1 lakh in genuine cash.
However, investigators said the plan failed to attract enough buyers.
The accused then allegedly devised a different method to cheat people who showed interest in purchasing the counterfeit notes.
Accused Allegedly Posed as Police Officers
According to police, members of the gang would first gain a prospective customer’s confidence by showing genuine currency.
Once the customer arrived with real cash, other members of the group would allegedly turn up posing as police personnel.
Police said the accused used fake identity cards, walkie-talkies, an imitation pistol and vehicles carrying fake number plates to make the impersonation appear convincing.
They would allegedly threaten the prospective buyers with police action, force them to flee and take away their genuine money.
Two Prospective Buyers Allegedly Cheated
Investigators said the gang allegedly used this method in at least two incidents.
In one case, a prospective customer was allegedly cheated of ₹2 lakh, while another allegedly lost ₹3 lakh.
Police are investigating whether more people were targeted using the same modus operandi.
Four Accused Arrested
The four arrested men have been identified as:
- Madupoju Karnakar
- Chinnolla Manikya Reddy
- Cherukupelly Rathnakar Reddy
- Karanam Ajay Kumar
The three absconding accused have been identified in police reports as Jelli Venkatesh, Kunja Balaraju and Kampasati Srinivas.
The arrested accused were subsequently produced before a court and remanded to judicial custody, according to reports.
Police Probe Wider Network
A case has been registered at Abdullapurmet Police Station under relevant provisions of the Bharatiya Nyaya Sanhita and other applicable laws.
Investigators are now examining the source of the printing equipment, whether any of the suspected counterfeit notes had already entered circulation, and whether additional people were involved in the operation.
Police are also trying to trace the three absconding accused.
The seizure and allegations are part of an ongoing investigation, and the guilt of the arrested men will ultimately be determined through the judicial process.
