IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
LALITHA KANNEGANTI, J.
Vipul Ragashe S/o. Janardhan Ragashe - Petitioner
Versus
State of Telangana, Rep. by its Principal Secretary, Home Department, Secretariat, Hyderabad & Ors. - Respondents
Writ Petition No. 35815 of 2022
Decided On : 26-09-2022
Criminal Procedure Code, 1973 - Section 91, 102(3), 451 – Indian Penal Code, 1860 - Section 120-B, 406, 420, 468, 471, 201 - Information Technology Act, 2008 - 35, 6-C, 66-D, 72, 74 - Defreeze Bank accounts - Permit to operate bank accounts - Issue a writ order directing respondent no.6 Bank to forthwith defreeze Bank accounts and further permit petitioner to operate both bank accounts – Held, While filing an application under Section 451 Cr.P.C, petitioner can always agitate before court on these procedural irregularities - Once it has come to notice of this court that respondent police have already informed Magistrate about such seizure and once court below has got jurisdiction under Section 451 Cr.P.C, petitioner has an efficacious and alternative remedy - Court is not inclined to decide merits of seizure and procedure followed i.e. whether mandatory procedure under Section 102(3) Cr.P.C has been followed by police or not - Court is not inclined to exercise jurisdiction under Article 226 of Constitution of India when there is an alternative remedy available - Further, when grave allegations are made by complainant saying that her husband has fraudulently transferred an amount of Rs.24 Crores, it would not be appropriate for this court to pass any orders at this stage to defreeze accounts - Writ petition is disposed of.
ORDER :
The writ petition is filed seeking the following relief :
2. Mr. D. Raghavendar Rao, learned counsel for the petitioner submits that Crime No.309 of 2022 was registered on 10.05.2022 under Section 120-B, 406, 420, 468, 471, 201 IPC, 35, 6-C, 66-D, 72, 74 of IT Act, 2008. He submits that the unofficial respondent is wife of the petitioner and she has approached the SHO, Cyberabad alleging that the petitioner is her husband and they are blessed with a child and that the petitioner and others have committed fraud, forgery, criminal breach of trust, cheating by impersonation against the company and the complainant and others. Basing on that, a complaint was registered against the petitioner. It is submitted that though they were separated on 16.10.2021, the unofficial respondent herein only with an intention to harass the petitioner has filed a complaint.
3. Learned counsel for the petitioner further submits that initially, a notice was issued under Section 91 Cr.P.C. wherein, it was addressed to the Branch Manager of respondent No.6 and in that, they have sought for the information and also asked the bank to seize the bank account. He submits that under Section 91 Cr.P.C., the respondent officers have no authority to seize the account and basing on the said communication received from the respondent police, the bank authorities have seized the petitioner’s account on 18.08.2022. Thereafter, the petitioner has come to know about the same and they have also approached the respondent bank as well as respondent police. He submits that Section 102(3) Cr.P.C. stipulates that if the seizure is effected, the same has to be informed to the court forthwith, whereas, in this case, when the seizure was effected on 18.08.2022, the same was informed to the court on 15.09.2022. He submits that he has filed the writ petition on 14.09.2022 and after filing of the writ petition, the same was placed before the Magistrate on 15.09.2022.
4. According to the petitioner, as there is failure to comply with the provisions of 102 Cr.P.C., the entire proceedings are vitiated and as the bank accounts of the petitioner were freezed, lot of prejudice is caused to the petitioner.
5. Learned counsel for the petitioner has relied on the order passed by the Gauhati High Court on 07.04.2022 in Crl.Rev.P.37 of 2022 in Pranab Kumar Ghosh vs. Central Bureau of Investigation and he submits that in the similar set of facts, when the information was given to the Magistrate as contemplated under Section 102 Cr.P.C after the case is filed before the court, the court has observed that as per Section 102(3) Cr.P.C, the seizure has to be reported to the Magistrate forthwith and as per the material available in the said case that search and seizure was made on 22.06.2021 and the same was informed to the court on 17.08.2021 and the case was filed on 12.08.2021. As compliance of Seton 102(3) Cr.P.C. is mandatory, the same is not followed by the investigating officer and the learned judge has set aside the order 07.12.2021 with a direction to the investigating officer to defreeze the 15 bank accounts in ICICI
The central legal point established in the judgment is that the freezing of a bank account under Section 102 of Cr.P.C requires the fulfillment of pre-conditions, including a reasonable suspicion of ....
The judgment emphasizes the importance of complying with the procedural requirements, specifically under Section 102(3) of the Cr.P.C., when freezing a bank account in connection with a criminal inve....
Freezing of bank accounts without reporting to the Magistrate is illegal; mandatory procedures under Section 102 of the Code of Criminal Procedure must be strictly followed.
The court established that timely notification to the jurisdictional magistrate regarding account seizures is essential to uphold the rights of account holders under Section 102 of the Cr.P.C.
Compliance with legal provisions, such as Section 91 Cr.P.C., Section 102 Cr.P.C., and Section 14(1) of the Gangsters Act, is essential before freezing a bank account.
Seizure of assets under S.102 CrPC requires compliance with statutory provisions and cannot be based solely on suspicion.
The court established that while delay in reporting a seizure under Section 102 Cr.P.C. does not invalidate it, total failure to report affects its validity, emphasizing the need for police complianc....
Police must report account seizures to the magistrate; failure to comply impacts seizure validity, reaffirming individual rights against unregulated actions.
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.