Two South African nationals allegedly involved in a fake currency racket were arrested today and 12 bundles of 'black paper', solution bottles, fake Euro currency, passports, visas and mobiles recovered from them, police said.

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The accused were identified as Qamar Joseph Dawooda (35) and Verony Anthony Citalu (36) from Swaziland.

They said the duo contacted a businessman through another person on May 18 and told him they had one million Euros for investing in his business. However the amount was with the Swaziland Embassy in Delhi and they could get it for him if he gave Rs2 lakh as advance payment.

The businessman initially gave them Rs 50,000. The two came to his office on May 21 and told him they had 'black paper' which would be converted to Euros when dipped in a chemical solution, but that they needed another Rs 50,000 for the purpose. The businessman obliged.

When they turned up some days later and demanded Rs 25lakh, he became suspicious and lodged a complaint. The duo escaped but were arrested by police.