Japanese authorities are now looking into the distribution of fake 10,000-yen “supernotes” that has been reportedly spreading across foreign currencies across Manila, a Mainichi newspaper report said.

In its March 5 issue, the Mainichi Daily News quoted Japanese currency expert Tomohiko Endo said the newly discovered fake yen is “the highest quality counterfeits ever seen.”

Endo told the Mainichi daily that the notes are “several levels above” compared to those produced in North Korea and “go beyond the limits of commercial printing equipment.”

The currency expert told the paper that the counterfeit yen are “extremely high quality” and may be able to avoid detection by banks and “may be able to pass through ATMs.”

“It looks as though the Japanese Supernote has finally arrived,” Endo told the Mainichi paper.

The paper said the notes, at first glance, can pass as the real 10,000-yen note. It said the only distinguishable defects of the notes are the quality of the hologram and watermark.

The newspaper report said the notes were first seen in December 2008 when a Filipina brought three to a money changer in Manila. It said the clerk exchanged two of the notes, but suspected the third one as fake.

Experts consulted by Mainichi said the fake yen notes are produced with a latest technology copier.

With the discovery, Japanese police are now on alert to prevent the notes from being smuggled into their country, the Mainichi daily said.