A man has been charged over alleged fraud-related offences in the Newcastle area.

Officers attached to Newcastle City Local Area Command have been investigating the production and distribution of fraudulent currency in the local area since early 2015.

After ongoing inquiries, police executed a search warrant at a Hamilton home on Friday 17 April 2015.

During a subsequent search of the property, police located a number of items allegedly involved in the production of counterfeit currency, which were seized for forensic examination.

About 12pm yesterday (Thursday 28 May 2015), police patrolling the Hamilton area stopped a vehicle on Tudor Street over alleged dangerous driving.

A 29-year-old male passenger was allegedly observed concealing a white envelope as police approached the car.

While searching the car police found the envelope, which allegedly contained a large quantity of fraudulent $50 notes.

The man was arrested and taken to Waratah Police Station, where he was charged with possess counterfeit currency and breach of bail.

He was refused bail to appear before Newcastle Local Court today (Friday 29 May 2015).

Police are continuing their investigations into the matter.

Police are urging anyone with information in relation to this incident to call Crime Stoppers on 1800 333 000 or use the Crime Stoppers online reporting page: https://nsw.crimestoppers.com.au/ Information you provide will be treated in the strictest of confidence. We remind people they should not report crime information via our Facebook and Twitter pages.