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HIGH COURT OF RAJASTHAN (JODHPUR BENCH)
MR. JUSTICE VINIT KUMAR MATHUR, J
Rajia Khatun – Appellant
Versus
State Bank of India – Respondent
Order :
1. Learned counsel for the parties are in agreement that the controversy involved in the present writ petition is squarely covered by a judgment rendered by this Court in S.B. Civil Writ Petition No.20616/2024 (M/s. Shakewallah vs. The Branch Manager & Ors.), decided on 13.12.2024, which reads as under :-
“1. Heard learned counsel for the parties.
2. The present writ petition has been filed with the following prayers:
“I. By an appropriate writ, order or direction, the respondents may be directed to remove the freeze on the bank account and money of the petitioner.
II. By an appropriate writ, order or direction, the Notice (Annexure-4) by which the bank account of the petitioner was put on freeze may kindly be quashed and set aside.
III. By an appropriate writ, order or direction, the respondents may kindly be directed to pay the 10%
interest per annum on the amount in petitioner’s account which has been put on freeze from the date of the freeze till the date of release.
IV. By an appropriate writ, order or direction, the respondents may kindly be restricted from putting the bank account of the petitioner under freeze in future without any just reason and reasonable evidence agains
Freezing a bank account requires just cause and evidence; the petitioner must be allowed to operate their account barring disputed funds.
The court affirmed that a bank account should not be unjustly frozen without evidence of wrongdoing, allowing the petitioner to operate his account while restricting only the disputed amount.
The court emphasized the balance between a bank's compliance with law enforcement and the rights of account holders during investigations.
The court ruled that a bank account can be de-frozen for legitimate transactions while freezing disputed amounts involved in alleged fraud, provided the account holder cooperates with investigations.
A bank account may be de-frozen and operated by the account holder during an investigation, provided they cooperate with authorities and only disputed amounts are frozen.
The court ruled that a bank account can be de-frozen while allowing transactions, provided the account holder cooperates with ongoing investigations.
The court affirmed the right to operate a bank account while addressing concerns related to ongoing investigations into alleged cyber crime, emphasizing cooperation with authorities.
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