The Kerala High Court directed the freezing to extend of amounts mentioned in the matter relating to the freezing of bank accounts on intimation from the Police authorities.
The petitioners are holders of accounts with different Banks and their accounts have been frozen on intimation by Police Authorities from different regions. The Court had at the time of admission, issued interim directions to restrict the freezing of the accounts to the amount which had been subject matter of the dispute as per the intimation received from the Police authorities. The Banks have also taken action to that extent pursuant to the directions issued by the Court.
In Dr.Sajeer v. Reserve Bank of India, observed that “In fact, should the criminal enquiry found otherwise, it will be doubtful if the amounts in question could be even recovered from the petitioners, if they have received it as part of bonafide or other valid transactions, unaware of it being proceeds of crime. In the conspectus of the above, I order these Writ Petitions with the following directions: The respondent Banks arrayed in these cases, are directed to confine the order of freeze against the accounts of the respective petitioners, only to the extent of the amounts mentioned in the order/requisition issued to them by the Police Authorities. This shall be done forthwith, so as to enable the petitioners to deal with their accounts, and transact therein, beyond that limit.”
The Court in the above mentioned case further observed that “The respondent – Police Authorities concerned are hereby directed to inform the respective Banks as to whether freezing of accounts of the petitioners in these Writ Petitions will require to be continued even in the afore manner; and if so, for what further time, within a period of eight months from the date of receipt of a copy of this judgment. c. On the Banks receiving the afore information/intimation from the Police Authorities, they will adhere with it and complete necessary action – either continuing the freeze for such period as mentioned therein; or withdrawing it, as the case may be.”
A Single Bench of Justice TR Ravi disposed off the writ petitions directing compliance with the said directions.
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