High quality fake banknotes with a face value of 1.03 million yuan (US$150,585) have been seized in southeast China.

Police in Fuzhou, Fujian Province, said they had swooped on a gang buying and selling fake banknotes in 100 yuan, 50 yuan, 20 yuan and 10 yuan denominations, according to the Southeast Express today. The notes started with the serial numbers "CE86" and "CH31."

Some of the counterfeit notes had watermarks and security features almost exactly the same as legal tender and had been put into circulation. On February 23 police arrested seven people in the largest forgery case ever in Fujian.

The gang had bought fake 100-yuan notes with a face value of 1.26 million yuan for 1.5 yuan a piece in Shanwei city, Guangdong Province.

China's central bank has intensified its fight against forgeries.

Fake 100-yuan notes, most starting with the serial number "HD90," were reported in more than 10 Chinese provinces and cities last year. Reports said the quality of some of the fake banknotes was so high they could pass low-quality counterfeit money detectors.

(Shanghai Daily March 19, 2009)