The entrapment operation led to the arrest of four of its operators in Barangay Bucawi here on Tuesday.
Police Inspector Santos Kankee Acuña, Lianga Municipal Police chief, identified the four members of the fake dollar syndicate as Ruben Saporan, of Lapinigan, San Francisco, Agusan del Sur; Ronald Rodrigo, of Barangay Caraus, San Francisco, Agusan del Sur; and Felixberto Falcon and Vicente Oranza, both of Patin-ay, Prosperidad, Agusan del Sur.
Confiscated from them were 45 pieces of fake $100,000 bills and two pieces $1 million bills, which totaled $6.5 million.
Police said the suspects were caught in the act of dealing the fake dollar bills at the house of a German national, identified as John Beutel in Barangay Bucawi here.
It was not, however, reported whether Beutel or any member of his family has reported the transaction to the police.
It was believed that the same syndicate may have victimized some traders in other parts of the Caraga Region as it was suspected that the syndicate has connections with other groups operating in Davao and Metro Manila.
Suspects are now detained at the Lianga Police Station while awaiting appropriate charges to be filed against them.