The police say fake currency notes and believed to be in wide circulation and this has come to light following recent arrests.
According to the police three youth were arrested in Kantale yesterday with 150 fake Rs. 1000 notes after they had made a transaction using a fake note.
The youth had stopped at a stall in Kantale yesterday to purchase fish and had given a fake Rs. 1000 note for the fish.
On being suspicious about the note the trader had contacted the police after the suspects had left in a van.
The police stopped the van along the Habarana-Anuradhapura road and found the fake currency notes hidden in the vehicle.
The police said that in recent times similar arrests had been made with the suspects having in their possession Rs. 500, 100, 200 and 500 currency notes.
As a result the police urged the public to take extra precautions when accepting currency notes.