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Karnataka HC: Freezing of bank accounts against Right to Life

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Karnataka High Court Law Insider

Karnataka High Court Law Insider

Shivangi Prakash-

Published on : September 11, 2021 at 14:06 IST

According to the Karnataka High Court, freezing bank accounts would violate Article 21’s Right to Life.

While allowing a petition submitted by Narayana Yadav, a Delhi-based businessman, Justice Mohammed Nawaz made the comment and directed police to notify the bank to defrost his accounts.

The defrosting is contingent on the businessman honouring his promise to provide a bank guarantee in the amount of Rs 3.7 lakh.

Ludra Mary filed a complaint alleging she lost Rs 3.7 lakh in a lottery fraud and that Yadav’s accounts received Rs 99,999 from her.

Axis Bank had received a notification from the Police, which Yadav had disputed. Yadav claimed in his appeal that he is not participating.

The move was prompted by a complaint from Ludra Mary, a resident of Shahpur in Yadgir, who said that on May 27, 2020, she received an email informing her that she had won a lottery for Rs 48.5 lakh.

Mary had to log on to a website, enter the password and user name provided, and fill out the information asked in order to obtain it.

Mary was then instructed to make a deposit to the account numbers provided. A total of Rs 3.7 lakh was placed in the accounts until June 10, 2020, however Ludra did not get the funds.

Ludra went to the cops, who ordered Yadav’s account to be frozen because his Axis Bank account had received Rs 99,999 from her.

Yadav stated he was unaware of the alleged offence and was taken aback by the notification of his accounts being frozen.

Yadav stated that he owns and operates electronics stores in Delhi, and that the earnings of his business were transferred to a company account held at Axis Bank, Dwarka Branch, Delhi, and that all transactions were legal.

Police justified their actions, claiming that freezing the accounts was required for an investigation and to prevent the petitioner from dealing further.

Also Read: Karnataka HC: PIL against Google labelling Kannada as ‘Ugliest Language’ quashed