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IN THE HIGH COURT OF DELHI AT NEW DELHI
Dhirubhai Naranbhai Patel, Jyoti Singh, JJ.
M/s UP Garments - Appellant
Versus
Joint Director, Director Of Revenue Intelligence & Anr. - Respondents
Civil Writ Petition No. 2351 of 2020
Decided On : 01-10-2021
Freeze - Bank Account - The court disposed of the petition seeking to set aside the order to freeze the petitioner's bank account after the bank informed that the freeze had been revoked.
Fact of the Case:
The petitioner filed a petition seeking to set aside the order to freeze his bank account.
Finding of the Court:
The court disposed of the petition as withdrawn after the bank informed that the freeze had been revoked.
Issues:
Ratio Decidendi:
Final Decision: The writ petition is accordingly disposed of as withdrawn.
JUDGMENT
D.N. Patel, CJ. - Present petition has been filed by the Petitioner seeking setting aside of the order dated 26.09.2017, whereby Respondents No. 1 and 2 have directed Respondent No. 3/Axis Bank Limited, the Petitioners Banker, to freeze his Bank Account. At the outset, it is fairly submitted by Mr. Satish Aggarwala, learned counsel appearing on behalf of Respondent No.1 that Respondent No. 3 vide letter dated 17.03.2021 has informed Respondent No. 1 that the Bank has revoked freeze from the concerned Account of the Petitioner. Copy of the communication dated 17.03.2021 has been annexed as Annexure A to the counter affidavit filed on behalf of Respondent No. 1.
2. In view of the aforesaid stand taken by Respondent No. 1 in the counter affidavit and the communication annexed thereto, learned counsel for the Petitioner submits that the grievance of the Petitioner stands satisfied and he has instructions to withdraw the writ petition.
3. The writ petition is accordingly disposed of as withdrawn.
The court's decision was influenced by the fact that the bank had informed that the freeze on the petitioner's account had been revoked.
A writ petition can be withdrawn if the underlying grievance is resolved satisfactorily by the involved parties.
The court finds that the petitioner's request to unfreeze the bank account is granted based on updated communication from law enforcement confirming the freeze's removal.
The court upheld the right to account operation once the debit freeze requisition was withdrawn.
The legal principle established is that a bank cannot freeze an account without clear and explicit directives from the police that authorize such action.
Court directs bank to unfreeze account upon petitioner’s request after cyber crime freeze lifted.
Court upheld the de-freezing of a bank account following confirmation of release by the relevant authority.
The court affirmed the bank's decision to de-freeze the account following satisfactory explanations provided by the petitioner.
Bank must limit account freeze to specific requisitioned amounts, allowing operations beyond that.
The court finds no grounds for unfreezing a bank account due to unresolved suspicions of transactions, directing the bank to perform Enhanced Due Diligence.
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