Visakhapatnam: Police busted a hawala racket and recovered Rs 70 lakh unaccounted cash when they intercepted a car near Telugu Talli flyover in Vizag city.
The cash was stacked in two bags and was being transported on Saturday night.
Police also arrested two accused identified as Roshan Kumar Jain and O Srinivas. A manhunt has been launched to nab their associates.
Police said that Roshan Kumar Jain and Charitra Kumar have been running an electrical shop near Rama Talkies in Vizag city. On the instructions of Charitra Kumar, Roshan along with his friend Srinivas on Saturday went to Gajuwaka in Vizag city to meet Vikram, who is the owner of a glass factory.
Later Roshan Kumar received an image of a currency note of Rs 10 through WhatsApp from Charitra Kumar. Roshan showed it to the Vikram, who gave two bags of currency notes (Rs 500 and Rs 2,000 denominations) worth Rs 70 lakh. He asked Roshan to handover the bags to Praveen Kumar Jain using a code.
When Roshan and Srinivas were returning from Gajuwaka to handover the money, the Three Town Police led by Inspector K Eswar Rao intercepted the vehicle and seized the unaccounted cash from the duo.
Police handed over the seized cash to the Income Tax department for further investigation.
The investigation has revealed that Roshan was supposed to get 0.3 percent commission for the illegal transaction.
Earlier, the Special Enforcement Bureau had raided a lodge near Vizag Railway Station and busted a hawala racket. The Bureau had seized Rs one crore from two persons hailing from Hyderabad last month.