On a tip-off, officers of Unit-VII of Crime Branch laid a trap at Hotel Sasural at Lokandwala Complex, Andheri (W) on June 28. At around 6 pm the police spotted six persons assemble near the hotel, three of them had arrived in a Maruti Zen car. The police immediately nabbed the group. The arrested have been identified as Rashmikant Vyas, owner of Mehndi Bar at Malad, Avinash Magan, Mayur Thakkar, Jayesh Desai, Nazir Khan and Sayed Yaqub Hashmi alias Anis.

According to the police, Vyas had plans to buy fake currency notes worth Rs 5.2 lakh in the denomination of Rs 100 and Rs 500, in exchange for genuine Rs 2.6 lakh. The police also seized a Wembly and Scott revolver and a mobile phone. The arrested were remanded to police custody till July 5 which was later extended to July 13.

Investigations have revealed that Magan in partnership with one Hemant Kumar owned a fake currencyprinting unit in Mahendra Enclave near Model Town, New Delhi. Following Magan's arrest, the Mumbai police tipped off their Delhi counterparts resulting in the arrest of Kumar and seizure of Rs 2.5 lakh in fake notes and printing machines.

Last year Magan was arrested by the state CID on charges of cheating Jankalyan Sahakari Bank Ltd of Rs 20 crore. Also, he faced nearly 120 cases pending against him in his native Hardwar in Uttar Pradesh.