Chhattisgarh police have busted an interstate racket that cheated people of crores of rupees across multiple States by claiming to turn blackened and damaged currency into new notes using chemicals and doubling the sum, arresting seven accused from Maharashtra, an official said on Sunday (August 23, 2026).
Acting on information from two female accomplices arrested earlier in Nagpur, the police earlier this week raided a resort in Khandala in Pune district, where the accused were caught red-handed while attempting to fleece a Varanasi resident who had brought crores of rupees for doubling, the official said.
Police recovered more than ₹4 crore in cash, 17 mobile phones, and black paper cut in the shape of currency notes, glass plates and other paraphernalia from the syndicate, which had duped more than 100 people across Chhattisgarh, Maharashtra, Uttar Pradesh, Gujarat, Rajasthan, and Delhi since 2005.
The official said that the accused allegedly cheated people with a claim that they could change blackened and damaged currency into new notes using a chemical and could also double their money in the process.
A case was registered at Telibandha police station under sections 318(4) (cheating) and 61(2) (criminal conspiracy) of the Bharatiya Nyaya Sanhita.
Police had earlier arrested Kaniz Fatma alias Bhavna Pandey (24) and Deepika Paliwal (24) in connection with a case in Nagpur, and using digital evidence and information provided by the duo, traced the gang to Pune, the official said.
A police team camped in Pune for about a week and tracked the suspects to a resort in Khandala, he said.
The accused, Gyan Prakash Srivastava alias Yogi (46), Praveen Kumar Srivastava alias Captain, Shetty or Reddy (52), Manoj Kumar Srivastava alias Bade Sir (55), Vivek Singh (48), Shubham Pandey (37), Yogendra Chauhan (48) and Balmukund Dixit (40), were brought to Raipur on transit remand, police said.
According to police, Gyan Prakash, Praveen Kumar and Manoj Kumar Srivastava are the alleged ringleaders of the gang. Praveen Kumar reportedly operated under the name “Captain”, while Manoj Kumar was known as “Bade Sir”.
The accused would arrange meetings at hotels and other locations and stage demonstrations using genuine currency notes and chemicals to convince victims that blackened and damaged notes could be converted into new currency.
After gaining the victims’ confidence, the accused allegedly collected money in instalments on the pretext of importing chemicals, conducting tests, obtaining official clearances and completing other formalities, police said.
Investigators said some gang members had previously been jailed in Mumbai and Varanasi.
With nine total arrests made so far, efforts are underway to trace the remaining gang members, the official said.
Published – August 23, 2026 04:29 pm IST
