Narok residents have been warned on fake Sh1,000 notes in circulation in the area.

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The alert comes after three people were on Thursday arrested over possession of Sh50,000 fake notes as they attempted to lure a Mpesa agent at a kiosk in Oldanyati village.

According to the area chief Philip Kortom, the three were arrested after a tip-off by the Mpesa agent who discovered that the money given was not legit.

"They were cornered by the public as they tried to flee on boda-bodas and were handed [over] to the police,” Kortom said as quoted by Nation

The three were taken to Enosaen Police Station in Transmara.

Narok County police commander Adan Yunis revealed that the fraudsters were using the mobile money transfer stalls and this brought the attention of the residents who have helped security officers in reporting the incidents.

"They have been depositing fake notes at mobile money transfer stalls. We began our investigations when residents recorded complaints with the police," Yunis was quoted by Nation.

The new generation notes were unveiled by Central Bank of Kenya governor Patrick Njoroge at Madaraka Day celebrations and since then, he CBK has been educating Kenyans on how to know a legit note. 

Several cases of fake notes circulation have been reported over the recent weeks.