Police Cannot Freeze Bank Accounts Without Court Approval: Delhi HC

GNS ONLINE NEWS PORTAL

NEW DELHI JAN, 26:- The Delhi High Court has held that police cannot attach or freeze bank accounts without prior approval of a competent court. Justice Purushaindra Kumar Kaurav ruled that freezing of bank accounts, being a measure to secure alleged proceeds of crime, cannot be done under Section 106 of the BNSS, which is limited to seizure for evidentiary purposes.

The Court clarified that attachment or freezing of bank accounts can be undertaken only under Section 107 of the BNSS and strictly pursuant to an order of a competent Magistrate, after following due procedure.

Holding that blanket freezing of accounts of persons who are neither accused nor suspects is arbitrary, the Court said such action violates Articles 19(1)(g) and 21 of the Constitution. Setting aside the freezing of accounts of Malabar Gold and Diamond Limited, the Court ordered their defreezing, noting that the company was not named in any FIR and no material showed its complicity.