Police said that a bus conductor from neighbouring Keezh Sathamangalam village had deposited Rs 40,000 in the account of a person in Bangalore at an Axis branch here yesterday.
While counting the cash, the cashier detected fake currency notes in the denomination of Rs 1,000 and Rs 500 for a sum of Rs 21,000 out of the money sought to be deposited.
The bank filed a complaint with police, who took the man into custody.
Police said the man revealed during questioning that a 29-year-old woman from Bangladesh residing in his house in the village had given him the money and asked him to deposit in the account.