Lucknow, Aug 17 - Two men allegedly involved in smuggling of counterfeit currency notes into the country from Nepal were arrested in Sitapur district of Uttar Pradesh, police said Monday.

Pramod Singh and Babadeen, both in their mid 20s, have confessed that they collected the consignment of fake currency notes -- supplied from Pakistan -- in Nepal.

'Their main role involved selling of the counterfeit notes to their clients in Uttar Pradesh, Bihar and Madhya Pradesh,' Inspector H. Rehman told IANS by phone. Sitapur is 80 km from here.

'Acting on specific information, we nabbed Singh and Babadeen Sunday night after a shootout and seized fake notes worth Rs.