Krishnagar, Oct. 28: A Nadia grocer, who had collected 680kg of coins in denominations of Re 1, Rs 2 and Rs 5, has been arrested.

Police have accused Gopal Banik of trying to smuggle the coins to Bangladesh, where they are in “great demand” from blade makers.

The coins were worth Rs 1 lakh. They were packed in seven gunny bags in Banik’s house in Nabadwip, about 100km from Calcutta.

“Indian coins are in great demand in the blade manufacturing industry across the border,” a police officer said.

One-rupee coins are made of stainless steel. The Rs 2 and Rs 5 coins are made of a blend of copper and nickel.

Nabadwip inspector-in- charge Pradyut Banerjee said Banik was being questioned. “We are looking into his possible links with a coin smuggling racket.”

Banik has apparently said he was about to transport the coin bags to a man who had promised him Rs 1.5 lakh.