The lorry was stopped just outside Armagh on Wednesday night.
A police officer told Newry Court that Conor Toal, 30, from Oakridge in Armagh city, was spotted passing objects from his car to the lorry.
It was driven by Darren Donnelly, 32, from Willowmount Avenue in Omagh, County Tyrone.
A subsequent search of the lorry led to the discovery of the money.
The officer said he believed the cash was being transported to England, where it was to be used by a major crime gang to buy illegal drugs to bring back to Northern Ireland.
A later search of Mr Toal's home uncovered another £4,000 in cash and four luxury watches, including two made by Rolex.
Both men denied charges of possessing criminal property, transporting criminal property and entering into an arrangement.
The judge refused bail because he said he feared the pair could interfere with the police investigation, which is at an early stage.
They are due to appear again via videolink at Armagh Court on 13 September.
Two men have been remanded in custody after being charged following the discovery of more than £400,000 in cash inside a lorry.