After reaching Mumbai, the money was to be delivered to two other hawala operators - Lalit Bhai and Bholu Bhai.
"They were carrying money to Mumbai-based hawala operators Lalit bhai and Bholu bhai, who collect black money and return it as white after deducting their commission", said a senior police officer.
A joint team of Delhi Police and income tax department officials raided a hotel in central Delhi's Karol Bagh area and caught five men with scrapped banknotes worth Rs 3.5 crore on Tuesday night.
"We were informed that these people were staying at Hotel Taksh Inn in Karol Bagh, whose owner is a money exchanger and runs the business in the name of Guru Forex", said Mr. Yadav.
"They had hired packaging specialists who pack these notes in such a manner that they are undetectable by airport scanning machines".
Storm impacts flights, arctic blast on the way
Temperatures there are still close to freezing, but any snow left there will become freezing rain and then regular rain. Temperatures begin near 0 Friday morning with risky wind chills, but we will at least be dry with some sunshine.
"The Income Tax Department officers seized Rs 3.25 crore".
A total amount of Rs 3.25 crores in demonetized currency recovered during IT raids in Delhi Hotel which was kept in a different suitcase and cardboard box. Police said Affan was the kingpin of the gang and had employed others as delivery and liaison agents. "The amount recovered was kept in various suitcases and auto board boxes which had all demonetised notes", Joint Commissioner of Police (JCP) of Crime Branch Ravindra Yadav said.
Five persons- Ansari Abuzar, Fazal khan, Ansari Affan from Mumbai, Ladu Ram from Rajasthan and Mahaveer Singh from Jodhpur were held.
The Income Tax department has seized the cash and is analysing the mobile phone details of the arrested to trace their links with other hawala operators, he added. They would make bundles by wrapping the money in newspapers and using double-side tape and adhesives.
Packaging specialists were hired to pack the notes so that they could not be detected by airport scanning machines. On December 5, the ED officials arrested two Axis Bank managers in New Delhi as part of its investigation in a racket involved in illegal conversion of currency notes.