<p>Bengaluru: Counterfeit currency cases in Karnataka have fallen by 60 per cent on average since 2016 while the detection rate has improved from 46 per cent to 60 per cent, data reviewed by <em>DH</em> shows. </p>.<p>Investigators say the demonetisation of 500 and 1,000-rupee notes on November 8, 2016, played a role but only so much. </p>.<p>A persistent police crackdown since 2011 and the relative ease of cyber frauds also contributed to the decline in fake notes, investigators believe. </p>.<p>Between 2011 and 2016, Karnataka reported over 76 cases per year on average, with the most cases (102) recorded in 2011. </p>.<p>However, since demonetisation, the annual average has fallen to 30. The most cases in a year (40) were recorded in 2017. </p>.<p>Cases also saw a steady decrease year-on-year between 2011 (102) and 2014 (52). In 2016, the year of demonetisation, 95 cases were reported, mainly because counterfeiters were making last-minute efforts to push fake notes during currency exchange. </p>.<p>"There was a year-on-year decline in the cases even before demonetisation but the overnight scrapping of notes did hit the counterfeiters due to a sudden slump," a top police officer in the Criminal Investigation Department (CID) told DH. </p>.Fake currency notes with face value of Rs 2.99 lakh seized in Kolkata, one held.<p>But demonetisation was not the only reason for the decline in cases. Frequent police crackdowns seriously affected the racketeers' ability to keep the counterfeit currency business going, he added. </p>.<p>The officer drew parallels between cybercriminals and currency counterfeiters to explain how a sustained police crackdown dismantled active groups, leading to a decline in cases. </p>.<p>"Like cybercriminals, currency counterfeiters work in different layers in a sophisticated manner. There are 10-20 people working in each stage of designing, producing and distributing the notes," the officer explained. "So, once they are arrested, it takes a lot of time to build another team from scratch." </p>.<p>A CID officer overseeing the counterfeit currency cases explained the challenges that counterfeiters faced after demonetisation. </p>.<p>"The new currency notes came with new designs and additional features, making them hard to counterfeit. Counterfeiters clearly lacked expertise in replicating them," the officer added. </p>.<p>The counterfeiters feared getting caught if they didn't do a good job at duplication. Cases may increase if counterfeiters are able to increase their capabilities, the officer added. </p>.<p>Counterfeiters may have also moved to cyber frauds, which are less sophisticated and easy to implement, the officer said. </p>.<p>"There are shady apps that simulate payments without any actual transaction. Many such cases have surfaced after 2020," he explained. </p>.<p>Another CID officer who investigates counterfeit currency cases said counterfeiters were increasingly trying to deposit fake notes in ATMs where the chances of getting caught are low. </p>
<p>Bengaluru: Counterfeit currency cases in Karnataka have fallen by 60 per cent on average since 2016 while the detection rate has improved from 46 per cent to 60 per cent, data reviewed by <em>DH</em> shows. </p>.<p>Investigators say the demonetisation of 500 and 1,000-rupee notes on November 8, 2016, played a role but only so much. </p>.<p>A persistent police crackdown since 2011 and the relative ease of cyber frauds also contributed to the decline in fake notes, investigators believe. </p>.<p>Between 2011 and 2016, Karnataka reported over 76 cases per year on average, with the most cases (102) recorded in 2011. </p>.<p>However, since demonetisation, the annual average has fallen to 30. The most cases in a year (40) were recorded in 2017. </p>.<p>Cases also saw a steady decrease year-on-year between 2011 (102) and 2014 (52). In 2016, the year of demonetisation, 95 cases were reported, mainly because counterfeiters were making last-minute efforts to push fake notes during currency exchange. </p>.<p>"There was a year-on-year decline in the cases even before demonetisation but the overnight scrapping of notes did hit the counterfeiters due to a sudden slump," a top police officer in the Criminal Investigation Department (CID) told DH. </p>.Fake currency notes with face value of Rs 2.99 lakh seized in Kolkata, one held.<p>But demonetisation was not the only reason for the decline in cases. Frequent police crackdowns seriously affected the racketeers' ability to keep the counterfeit currency business going, he added. </p>.<p>The officer drew parallels between cybercriminals and currency counterfeiters to explain how a sustained police crackdown dismantled active groups, leading to a decline in cases. </p>.<p>"Like cybercriminals, currency counterfeiters work in different layers in a sophisticated manner. There are 10-20 people working in each stage of designing, producing and distributing the notes," the officer explained. "So, once they are arrested, it takes a lot of time to build another team from scratch." </p>.<p>A CID officer overseeing the counterfeit currency cases explained the challenges that counterfeiters faced after demonetisation. </p>.<p>"The new currency notes came with new designs and additional features, making them hard to counterfeit. Counterfeiters clearly lacked expertise in replicating them," the officer added. </p>.<p>The counterfeiters feared getting caught if they didn't do a good job at duplication. Cases may increase if counterfeiters are able to increase their capabilities, the officer added. </p>.<p>Counterfeiters may have also moved to cyber frauds, which are less sophisticated and easy to implement, the officer said. </p>.<p>"There are shady apps that simulate payments without any actual transaction. Many such cases have surfaced after 2020," he explained. </p>.<p>Another CID officer who investigates counterfeit currency cases said counterfeiters were increasingly trying to deposit fake notes in ATMs where the chances of getting caught are low. </p>