West Bengal police have been in hot pursuit of some positive leads on a burgeoning fake currency racket operating out of Bangladesh for channelling funds to terrorist groups like Lashkar-e-Toiba (LeT) to carry out subversive activities across India.

The latest arrest of four men including three Kashmiris, charged with possessing fake currencies, has blown the lid out of the racket, with authorities obtaining some vital clues of an on-going international counterfeit currency racket operating out of Bangladesh.

This is being largely sponsored by the Pakistan-based terrorist modules to fund strikes across the Indian soil, sources told Deccan Herald here on Sunday.

“We have evidence to believe that these fake currencies are being dumped into India from Bangladesh through agents. The Kashmiris came here to collect the counterfeit currency,” a senior police official revealed.

“Several Pakistan-based terrorist modules, namely Lashkar-e-Toiba, use these bogus currencies to fund their subversive activities in Kashmir and other parts of India. Police have been on the trail of some agents to unearth details of the cross-country network.”

Four including three Kashmiri linkmen, were arrested early this month from Berhampur in Murshidabad district with counterfeit notes worth several lakhs. After prolonged interrogation, police learnt that a number of local youths has been involved in this fake currency racket in Murshidabad district.

Hafizul Rahman, a local youth of Beldanga area in Murshidabad, and three outsiders — Mansur Ahmed, Mohammad Yusuf and Firoz Ahmed — were arrested and were produced before a local court which remanded them in police custody.