Chhattisgarh Police Bust Inter-State Currency-Doubling Scam, Arrest 7 from Maharashtra
In a major crackdown on an inter-state fraud network, Chhattisgarh police have busted a racket that allegedly cheated people of crores of rupees by promising to convert blackened and damaged currency notes into new ones and double their money. Seven accused, believed to be key members of the gang, were arrested from Maharashtra, an official said on Sunday (August 23, 2026).
The arrests came days after two female accomplices were taken into custody in Nagpur. Acting on intelligence gathered from their interrogation, a police team tracked the gang to a resort in Khandala, Pune district. The accused were caught red-handed while allegedly attempting to defraud a resident of Varanasi, who had reportedly arrived with crores of rupees for the supposed currency-doubling process.
Police recovered over ₹4 crore in cash, 17 mobile phones, black paper cut into currency-note shapes, glass plates, and other equipment used in the fraudulent demonstrations. The syndicate is believed to have duped more than 100 people across Chhattisgarh, Maharashtra, Uttar Pradesh, Gujarat, Rajasthan, and Delhi since 2005.
According to officials, the accused used a well-rehearsed modus operandi. They would claim that a special chemical could clean blackened and damaged notes and also multiply the amount. To convince victims, they staged demonstrations using genuine currency notes and chemicals at hotels and other venues. Once trust was established, the victims were asked to hand over money in instalments on the pretext of importing chemicals, conducting tests, obtaining official approvals, and completing other formalities.
The arrested accused have been identified as 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). Police said Gyan Prakash, Praveen Kumar, and Manoj Kumar are the alleged ringleaders of the gang.
All seven accused were brought to Raipur on transit remand. A case has been registered at Telibandha police station under sections 318(4) (cheating) and 61(2) (criminal conspiracy) of the Bharatiya Nyaya Sanhita (BNS).
Investigators revealed that some of the gang members had previously been jailed in Mumbai and Varanasi. With nine arrests made so far, including the two women detained earlier, efforts are underway to trace the remaining members of the syndicate.
Police have advised the public to be cautious of any such offers and to report suspicious activities to the authorities. The investigation is ongoing, and further revelations are expected.
