Currency Counting Fake Note Detection
Raj Shah
Department of Information Technology,
K. J Somaiya Institute of Engineering and Information
Technology,
University of Mumbai, India
raj.shah5@somaiya.edu
Pujan Sheth
Department of Information Technology,
K. J Somaiya Institute of Engineering and Information
Technology,
University of Mumbai, India
Pujan.sheth@somaiya.edu
Abstract— Counterfeit notes are one of the biggest
problem occurring in cash transactions. For country like
India, it is becoming big hurdle. Because of the advances in
printing, scanning technologies it is easily possible for a
person to print fake notes with use of latest hardware
tools. Detecting fake notes manually becomes
time-consuming and untidy process hence there is need of
automation techniques with which currency recognition
process can be efficiently done. Many techniques have
been proposed with the use of feature extraction with HSV
color space and other applications of image processing. We
have implemented a fake note detection unit with
MATLAB algorithm. This paper is a based on the Image
Processing and UV LED’s to give solution for fake
currency problem
Electronic copy available at: https://ssrn.com/abstract=3275068
Mayank Champaneri
Department of Information Technology,
K. J Somaiya Institute of Engineering and Information
Technology,
University of Mumbai, India
m.champaneri@somaiya.edu
Vaishali Gaikwad (Mohite)
Department of Information Technology,
K. J Somaiya Institute of Engineering and Information
Technology,
University of Mumbai, India
mohite@somaiya.edu
I. INTRODUCTION
Manual testing of all notes in transactions is very time
consuming and untidy process and also there is a chance of
tearing while handing notes. Therefore Automatic methods
for bank note recognition are required in many applications
such as automatic selling-goods and vending machines.
Extracting sufficient monetary characteristics from the
currency image is essential for accuracy and robustness of the
automated system. This is a challenging issue to system
designers. Every year RBI (Reserve bank of India) face the
counterfeit currency notes or destroyed notes. Handling of
large volume of counterfeit notes imposes additional
problems. Therefore, involving machines (independently or as
assistance to the
human experts) makes notes recognition process simpler and
efficient. Automatic method for detection of fake currency note
is very important in every country. In this project we have
made fake Currency note detection technique using UV LED’s
and Image processing. In the project setup, note is placed in
front of camera with UV LED effect to check whether it is fake
or genuine. The camera pictures of notes are analyzed. The
project is meant to check Indian currency notes of 200, 500 and
2000 rupees. If the note is genuine, it is considered as counted.
II. SYSTEM DESIGN
Fig 1:-System Design
In the above Figure, Fake note Detection unit is used to detect
Counterfeit Note where a Note is placed on the placing unit to
which UV LED is applied to highlight the required features. A
camera is then used to click the image of the note and image
processing is performed on that image using microcontroller
and the output is shown on the LCD.
III. MODULE DESIGN
1. Note placing unit
It will accept note from the user. It consists mechanical
design of relays to take the respective note from the user. It
takes 12v to dive the DC motor of 10 RPM.This information
is sent to the microcontroller for further processing.
Electronic copy available at: https://ssrn.com/abstract=3275068
2. Fake note detection unit
The speciality of Indian currency note is that it
absorbs the UV light and a fake note reflects the UV light.
Fake note detection unit consist of UV LED, photodiode,
amplifier and comparator. The UV LED source transmits the
UV rays, if the note is real it will absorb some amount of UV
rays and if the note is fake then the all rays will be reflected
back towards the photodiode.
This output of the UV Photodiode is given to
amplifier. This output is amplified and then given to
comparator. Threshold voltage is applied to comparator.
According to threshold voltage output of the comparator is
then given to the microcontroller for further processing.
3. Microcontroller
The work of controller is to identify the data sent to
the pc using Arduino IDE. The microcontroller knows all the
security features in order to check the note is fake or not with
the use of image processing.
4. Camera
It is used to capture the image of note.
5. LCD
It is used to display whether the note is fake or not. If
it is fake it is pushed out and if is not fake it is counted
III.I Need of fake note detection:
Manual testing of all notes in transactions is very time
consuming and untidy process and also there is a chance of
tearing while handing notes. Therefore Automatic methods for
bank note recognition are required in many applications such
as automatic selling-goods and vending machines. Extracting
sufficient monetary characteristics from the currency image is
essential for accuracy and robustness of the automated system.
This is a challenging issue to system designers. Every year
RBI (Reserve bank of India) face the counterfeit currency
notes or destroyed notes. Handling of large volume of
counterfeit notes imposes additional problems. Therefore,
involving machines (independently or as assistance to the
human experts) makes notes recognition process simpler and
efficient. Automatic method for detection of fake currency
note is very important in every country. In this project we
have made fake currency note detection technique using
MATLAB and feature extraction with HSV color space and Fig 2 : Security features of Indian currency notes.
other applications of image processing. In the project setup,
note is placed in front of camera to check whether it is fake or In the above Figure, it is shown the how the original note can
genuine. The camera pictures of notes are analyzed by be detect through various method
MATLAB program installed on computer. The project is
meant to check Indian currency notes of 100, 500 and 1000 1. Watermark
rupees. If the note is genuine, the respective message is The Mahatma Gandhi Series of banknotes contain the
appeared on the screen and vice-versa. Mahatma Gandhi watermark with alight and shade effect and
multi-directional lines in the watermark window. There is also
III.II Fake note detection unit: the watermark of the price of currency it‘s visible in presence
The speciality of Indian currency note is that it absorbs of light & glow in UV.
the UV light and a fake note reflects the UV light. Fake note
detection unit consist of UV LED, photodiode, amplifier and
2. Security Thread
comparator. The UV LED source transmits the UV rays, if the
Rs.1000 notes introduced in October 2000 contain a readable,
note is real it will absorb some amount of UV rays and if the
windowed security thread alternately visible on the obverse
note is fake then the all rays will be reflected back towards the
with the inscriptions ‗Bharat‘(in Hindi), ‗1000‘and RBI‘, but
photodiode. This output of the UV Photodiode is given to
totally embedded on the reverse. The Rs.500 and Rs.100 notes
amplifier. This output is amplified and then given to
have a security thread with similar visible features and
comparator. Threshold voltage is applied to comparator.
inscription Bharat‘(in Hindi), and ‗RBI‘.
According to threshold voltage output of the comparator is
then given to the microcontroller for further processing.
When held against the light, the security thread on Rs.1000,
Rs.500 and Rs.100 can be seen as one continuous line. The
Rs.5, Rs.10, Rs.20 and Rs.50 notes contain a readable, fully
IV. COMMONLY USED METHODS TO DETECT
embedded windowed security thread with the inscription
FAKE NOTES
Bharat‘(in Hindi), and RBI‘.

The security thread appears to the left of the Mahatma's

portrait.

Electronic copy available at: https://ssrn.com/abstract=3275068

Notes issued prior to the introduction of the Mahatma Gandhi Number panels of the notes are printed in fluorescent ink. The
Series have a plain, non-readable fully embedded security notes also have optical fibers. Both can be seen when the notes
thread. are exposed to ultra-violet lamp.

3. Latent image
On the obverse side of Rs.1000, Rs.500, Rs.100, Rs.50 and
Rs.20 notes, a vertical band on the right side of the Mahatma
Gandhi‘s portrait contains a latent image showing the
respective denominational value in numeral. The latent image
is visible only when the note is held horizontally at eye level.
8. Intaglio printing
The portrait of Mahatma Gandhi, the Reserve Bank seal,
guarantee and promise clause, Ashoka Pillar Emblem on the
left, RBI Governor's signature are printed in intaglio i.e. in
raised prints, which can be felt by touch, in Rs.20, Rs.50,
Rs.100, Rs.500 and Rs.1000 notes.

V. ​DESIGN FLOW OF AUTOMATIC RECOGNITION

4. Micro lettering OF GENUINE AND FAKE INDIAN NOTES
This feature appears between the vertical band and Mahatma
Gandhi portrait. It contains the word RBI‘in Rs.5 and Rs.10.
The notes of Rs .20 and above also contain the denominational
value of the notes in micro letters. This feature can be seen
better under a magnifying glass

5. Identification Mark
A special feature in intaglio has been introduced on the left of
the watermark window on all notes except Rs.10/- note. This
feature is in different shapes for various denominations (Rs.
20-Vertical Rectangle, Rs.50-Square, Rs.100-Triangle,
Rs.500-Circle, Rs.1000-Diamond) and helps the visually
impaired to identify the denomination.

6. See through Register

The small floral design printed both on the front (hollow) and
back (filled up) of the note in the middle of the vertical band
next to the Watermark has an accurate back to back
registration. The design will appear as one floral design when
seen against the light.

7. Fluorescence: Fig 3. Multispectral Imaging

In the above Figure, an Image Acquisition is performed to
which is then converted to gray scale(an image with no use of

Electronic copy available at: https://ssrn.com/abstract=3275068

RGB). Then various other operation are performed to get the [2]Uddin, Mohammad Shorif; Das, Pronaya Prosan; Roney,
best output possible . It is then compared with original image Md. Shamim Ahmed,“Image-based approach for
stored in the database. The result of which decides whether the the detection of counterfeit banknotes of Bangladesh”
Currency is Fake or not. ,​ICIEV,5th International Conference on​. :1067-1072 May,
2016,Dhaka, Bangladesh.
VI. CONCLUSION
[3]Ponishjino, P; Antony, Kennet; Kumar, Sathish;
JebaKumar, Syam,“Bogus currency authorization using HSV
Fake currency poses a grave threat to national security
techniques”,​ICECA,International conference of.​ 1:179-183
and could also result in economic destabilization. Fake
Apr, 2017​,​Coimbatore, India.
currency can be circulated all over the country. There by
implementing this machine in school/Colleges we can stop the [4]Darade, Sonali R;Gidveer, G.R,“Automatic recognition of
circulation of fake notes and thereby stabilize our economy. fake Indian currency note”,​ICEPES,International Conference
on​. :290-294 2016,Bhopal, India.
Such machines are implemented by RBI and since such
[5]Rathee, Neeru;Kadian, Arun;Sachdeva, Rajat;Dalel,
projects are confidential they are not made open source.
Vijul;Jaie, Yatin, “Feature fusion for fake Indian currency
Thereby, such machines have to be made available a​ t places
detection”,​INDIACom,3rd International Conference on​.
​ TM.
where it is most required like banks, schools, colleges,​ A
:1265-1270 Mar, 2016,New Delhi, India.

[6]Santhanam, K;Sekaran, S;Vaikundam, S;Kumarasamy,

​ laces they are made available and some places
At some p
A.M,“Counterfeit Currency Detection Technique Using Image
they are not. Also our country is moving towards Digital
Processing, Polarization Principle and Holographic
world, the use of such machines would be less.
Technique”,​CIMSim,Fifth International Conference on.​
:231-235 Sep, 2013,Seoul, South Korea.
Future works will include modifications of the technique
and also merging of other image processing techniques, such [7]Murthy, Sahana;Kurumathur, Jayanta;Reddy, B
as, Neural Networks training using Edge detection which Roja,“Design and implementation of paper currency
would extricate the process from the dependency over recognition with counterfeit detection”,​IC-GET,Online
standard light intensity and standard distance between note International Conference on​.:1-6 Nov, 2016,Coimbatore,
and camera during image acquisition adding on to the India.
accuracy of the process.
[8] https://www.instructables.com/ is a website where
everything is present with detailed explanation and steps
VII. REFERENCE
[1]Chen, Baek, Sangwook; Choi, Euisun; Baek, Yoonkil; Lee, [9]http://www.iraj.in/journal/journal_file/journal_pdf/1-471-1
Chulhee,“Detection​ ​of counterfeit banknotes using 53293351027-31.pdf
multispectral images”,Digital Signal Processing, Vol. 78,July
[10]http://www.ijiset.com/v1s10/IJISET_V1_I10_22.pdf
2018.
using

Electronic copy available at: https://ssrn.com/abstract=3275068

Electronic copy available at: https://ssrn.com/abstract=3275068