Paradip, Nov. 29: Police today seized Rs 9,000 in counterfeit notes from a 35-year-old man at Raghunathpur market in Jagatsinghpur district and arrested him.

Dipak Parida was caught when he tried to pay for some items he had bought at a shop at the market with a fake note. The shopkeeper refused to accept the note he had given him. Following a heated exchange between the two, local residents caught Parida when he was trying to flee and handed him over to the police.

The police found 90 fake notes of Rs 100 denomination on him.

"We are interrogating the accused. From preliminary investigations, we believe he was part of a racket that circulates fake currency notes," said Raghunathpur police station inspector Sanjeev Mohanty.

Parida, who is now in police custody, Three years ago, two Bangladeshis were arrested from the seaside village of Talachua in Kendrapara district for circulating fake currency.