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The Calcutta High Court has directed Axis Bank to immediately unfreeze a businessman's entire bank account, observing that there was no justification for freezing the account when the disputed amount in question was only ₹2,253.

Justice Rishad Medora was hearing a writ petition filed by Sohel Molla, a small-time businessman operating a proprietorship under the name “ROHAN RETAIL”.

The petitioner's Axis Bank account at the Dalhousie Branch in Kolkata had been frozen pursuant to a notice issued on May 8, 2025 by the Inspector of Police, Cyber Crime Wing, Central Branch, Tambaram Commissionerate, Tamil Nadu, under Section 106 of the Bharatiya Nagarik Suraksha Sanhita, 2023.

The notice directed the bank to “lien mark” ₹2,253 in relation to a particular transaction of ₹39,899 dated August 22, 2024, in connection with an investigation registered as CCD-1, Cyber Crime Wing, CSR No.259/2024.

The petitioner contended that although the notice concerned only the disputed transaction, his entire bank account had subsequently been debit-frozen. He submitted that he had no knowledge of the case and had not received any communication from the concerned police authorities.

The petitioner further stated that he had repeatedly approached the bank and the Tamil Nadu Cyber Crime authorities seeking details of the case and requesting that the account be unfrozen. However, he received no response from the investigating authority.

Axis Bank informed him that the account could not be unfrozen unless it received a formal revocation or unfreezing order from the competent authority which had directed the freeze.

Before the High Court, the petitioner argued that there was no justification for freezing the entire account when the police notice had only directed a lien to be marked over a specific amount. He, however, fairly submitted that the lien over ₹2,253 could continue.

The State of West Bengal, Axis Bank and the Reserve Bank of India left the matter to the Court's discretion. Axis Bank submitted that it was merely complying with the directions issued by the Tamil Nadu police authorities.

The Court noted that the Inspector of Police, Cyber Crime Wing, Central Branch, Tambaram Commissionerate, had not appeared before it despite having been served with the writ petition and having been informed about the proceedings through Speed Post and email.

Justice Medora observed that the notice appeared to concern only one transaction, yet the petitioner's entire bank account had been frozen.

“There does not appear to be any rationale behind the respondent nos.2's direction in this regard,” the Court observed.

The Court further remarked that having directed the bank to “Lien Mark” a specific amount in respect of a particular transaction, it was unable to understand the necessity behind directing the debit-freezing of the entire account.

“Such direction appears to be without any justification whatsoever,” the Court said.

The Court emphasised that the disputed value of the transaction was only ₹2,253 and held that there was no justifiable reason to freeze the petitioner's entire bank account.

Accordingly, the Court directed Axis Bank to immediately de-freeze the petitioner's account.

At the same time, the bank was directed to continue marking the disputed amount of ₹2,253 as a “lien”. The petitioner would therefore not be permitted to withdraw the said amount, subject to further directions of the Tamil Nadu Cyber Crime police.

The writ petition was accordingly disposed of without any order as to costs.

The Court also directed the petitioner and Axis Bank to immediately provide a copy of the judgment to the concerned Tamil Nadu police officer by email as well as Speed Post.

Case: SOHEL MOLLA VS STATE OF WEST BENGAL AND OR

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