A day after the government discontinued Rs. 500 and Rs. 1000 notes in a shock announcement to curb black money, sacks full of burnt notes were found in Bareilly in Uttar Pradesh.

The burnt Rs. 500 and Rs. 1000 notes were reportedly brought in sacks and then dumped by workers of a company on Parsa Kheda road at CB Ganj in Bareilly, sources said.

Police officials said the notes appeared to have been cut, damaged and then burnt.

The police have since taken over the remains of the currency notes and the Reserve Bank of India (RBI) officials have been informed of the incident.

"We are examining the burnt notes to check for their authenticity," said Senior Superintendent of Bareilly, Joginder Singh.

Prime Minister Narendra Modi had announced on Tuesday evening the move to scrap the current Rs. 500 and Rs. 1000 notes.