The co-operative bank can operate its account subject to specific restrictions based on police requisitions, enabling grievance redressal for affected account holders.

JUDGMENT

Petitioner is a Co-operative Bank which has filed this Writ

1.

Petition seeking a direction to the Respondent No.1/Bank to remove or lift the lien/hold/freeze effected in the account maintained by the Petitioner with the Respondent No.1. The Respondents Nos.2 to 11 are various Police Authorities which are made parties in the Writ Petition alleging that they have issued Requisitions for lien/freeze/hold with respect to the account of the Petitioner/Co-operative Bank maintained with the Respondent No.1.

This Court had considered a similar issue in Kunnamangalam

2.

Co-operative Rural Bank Ltd. (M/s.) v. Inspector of Police, Cyber Police Station South Region, Brihan [2026 KHC 179], and the Petitioner/Co-operative BanPetitioner/Co-operative Bank and its Account Holders who are aggrieved by the lien/hold/freeze are free to raise their grievance through the Grievance Redressal Mechanism under Clause 10 of the Standard Operating Procedure (SOP) for National Cybercrime Reporting Portal (NCRP) - Citizen Financial Cyber Fraud Reporting and Management System (CFCFRMS), Custody, Restoration of Money and Grievance Redressal.k is also entitled to get the same directions.

Learned Standing Counsel for the Respondent No.1 submitted

3.

that the Respondent No.1 received the requisitions from the Respondent Nos.2 to 11 for a total amount of Rs.46,74,269/-. In view of the said submission, the Petitioner/Co-operative Bank can be permitted to operate its account maintained with Respondent No.1, limiting the lien/hold/freeze to Rs.46,74,269/-. In order to enable the Petitioner/Co-operative Bank to identify the accounts of its Account Holders which are involved in the disputed transactions and to effect corresponding lien/hold/freeze for the amounts stated in the Requisitions, Respondent No.1/Bank has to furnish all the details of the Requisitions, including the transaction IDs, to the Petitioner/Co-operative Bank. On getting those details, it is for the Petitioner/Co-operative Bank to act swiftly and effect lien/hold/freeze for the amounts shown in the Requisitions in the respective accounts of its Account Holders in order to prevent loss of the disputed amounts from the financial system.

Accordingly, this Writ Petition is disposed of with the following

4.

directions:

The Respondent No.1/Bank is directed to permit the Petitioner/Co-

i)

operative Bank to operate the account maintained by the Petitioner/Co-operative Bank with the Respondent No.1, limiting the lien to Rs.46,74,269/-.

The Respondent No.1/Bank is directed to communicate the details of ii)

the requisitions, including the transaction IDs, to the Petitioner/Co- operative Bank so as to enable the Petitioner/Co-operative Bank to effect lien/hold/freeze for the amounts shown in the Requisitions in the respective accounts of its Account Holders.

The Petitioner/Co-operative Bank is directed to effect lien for the iii)

amounts shown in the Requisitions so communicated by the Respondent No.1/Bank in the respective accounts of its Account Holders.

In case of receipt of future Requisitions by the Respondent No.1 with iv)

respect to the account of the Petitioner/Co-operative Bank maintained with the Respondent No.1, the Respondent No.1 shall continue to permit the Petitioner/Co-operative Bank to operate its account, limiting the lien/hold/freeze to the amounts shown in the Requisitions.

In case of receipt of future Requisitions also, the Respondent No.1 v)

shall immediately forward all the details to the Petitioner/Co-operative Bank and the Petitioner/Co-operative Bank shall effect the corresponding lien/hold/freeze in the respective accounts of its Account Holders.

The amounts which are kept under lien/hold/freeze in the account of vi)

the Petitioner/Co-operative Bank maintained with Respondent No