Hyderabad: The Suryapet police has arrested a 12-member gang for exchanging banned notes with newly released Rs 2,000 notes. District SP Ms Parimala Hana Nuthan informed the media that the gang was nabbed on November 22 at Garidepally during vehicle checking.

She said that the gang was giving new currency for old at 20 per cent commission. The gang was nabbed while transporting Rs 3.6 lakh in Rs 2,000 notes for exchanging it with Rs 4 lakh worth old Rs 500 and Rs 1,000 notes.

Initially, the Garidepally police under the supervision of SI Mr Ramakrishna Reddy, had nabbed three persons. During the course of investigation, they revealed the names of other members.

Gadegani Srinu, a driver with the Gaddipelly SBI branch and temporary bank employee Chennam Ramaiah were found to be the prime accused in the case.

On Monday, Gaddipally MPTC Sindari Nageswara Rao and his associates Aarepuri Narayana, Degundla Nagaraju, Nelakanta Rambabu, S. Sathish, Battapally Venkataramana, Kuthubshapuram sarpanch Banothu Srinivas Naik, Kesari Rangareddy from Lingala village of Penpahad mandal, Kesari Shobha and Shanam Veerabhadraiah from Medaram were arrested on Monday.