Hyderabad: Police in Kamareddy district of Telangana busted a fake currency racket and arrested eight persons of a 12-member inter-state gang, officials said on Saturday.

Superintendent of Police M Rajesh Chandra formed special teams and the accused were nabbed in different states, including Bihar and West Bengal.

The probe began after cashier of a liquor shop at Kamareddy complained to police on September 24 stating that Rs 500 notes given by a customer appear to be counterfeit, a police release said.

Police traced the said customer and found that he, in a bid to earn easy money, allegedly got in touch with a person from West Bengal who was involved in fake currency racket.

Police teams reached the West Bengal man and chased the trail of counterfeit currency notes racket leading to the arrest of eight persons.

While four persons were sent to jail on October 3, an equal number of accused imprisoned on Saturday. The remaining four would be nabbed soon, the release said.

The police seized fake currency of over Rs 3 lakh, Rs 15,300 genuine currency and partially printed notes to the tune of over Rs 8,000 from the accused, it added.