The Madhya Pradesh Police Friday claimed to have busted an inter-state gang dealing in fake currency with the arrest of three people from Morena town in Madhya Pradesh.

The police raided a house in the Housing Board Colony and recovered fake currency totalling Rs.80,000 and six mobile telephones from them.

They were identified as Sudhir Jadaun and Rajbir Gurjar of Morena and Naajmia of Uttar Pradesh.

'The men used to operate mainly in Uttar Pradesh and Madhya Pradesh,' Superintendent of Police Santosh Kumar Singh told IANS. 'One of them confessed that the fake currency was coming from Pakistan via Nepal.'