Police on Sunday arrested two persons in possession of Rs 174,000 counterfeit Nepali currency and made public amid a press conference at the District Police Office, Morang, today itself.

The detainees have been identified as Sangit Mahato, 22, of Biratnagar-6 and Suman Tolange of Biratnagar-7.

Police said that they confiscated 348 notes in denomination of 500 and two mobile sets from their possession.

SP Sandip Bhandari, Chief at the District Police Office, Morang, said that a police team was deployed following a tip-off that a fake Nepali currency racket was being active in the district a few months ago.

Police said that the notes were found slightly shorter and thicker than the original notes, water mark of ‘Laligurans’ (Rhododendron) was invisible and lots of notes were of the same number.

SP Bhandari said that they have already collected the names of persons involved in spreading fake currency in the market. He, however, said that they have managed to escape and police are searching for them.

Police said that they are investigating into the case by keeping them in the District Police Office.

Following the duo’s arrest, police, organising a programme in the premises of Nepal Rastriya Bank Regional Office, Biratnagar, urged all the banks and cooperatives to stay in high alert.

Saying that the racket could also be active in other districts of eastern region, DIG Ramesh Bhattarai of the Eastern Regional Police Office, Biratnagar, directed all the posts to keep a watchful eye on suspected individuals.