Those arrested on Thursday were identified as Siva Balan, 39, a Sri Lankan Tamil, and Mohammad Salim, 37, of Royapuram, Chennai. Siva Balan worked as a freelance journalist with a magazine in Chennai, while Salim was running a showroom in T Nagar. Police arrested them based on information given by Hussain.
Investigators said the fake currency notes had virtually all the salient features of the original. "We are interrogating the duo to know about the origin of the currency. The duo will be remanded in judicial custody after producing them before the magistrate court in Chennai on Friday," a police officer said.
During questioning, the duo told the investigation officers that they acted as mediators and collected Rs 2,000 for every Rs 1 lakh fake currency circulated in the market. Police had arrested Hussain following a specific tip-off that he was on an assignment to recruit people for terror activities in the southern states and circulate fake Indian currency notes.
Hussain was earlier arrested by the Singapore police on charges of spying, and he had spent almost three years in prison. "He was also detained in Bangkok for human trafficking charges," a police officer said.
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