'Golden Hour' Critical In Cybercrime: Karnataka High Court On Plea For Show Cause Notice Before Freezing Bank Accounts

The Karnataka High Court on Thursday disposed of a PIL seeking issuance of show cause notice by authorities before freezing bank accounts of persons where complaints of cybercrime are reported.A division bench of Chief Justice Vibhu Bakhru and Justice C M Poonacha orally observed, “You have to look at it from the perspective of ensuring recovering instantaneously. The first hour is called the golden hour, what do you want...you want a person to lose the money?"Petitioner Pavan Vijay Sharma argued that a show cause notice is required to be issued before such drastic action of freezing accounts. However, respondents submitted that if the state authorities spend time in issuing show cause notice then it may not be possible to recover the proceeds of crime.The petitioner's counsel S Sudharsan had also prayed for directions to the respondents for framing guidelines for freezing of accounts. Deputy Solicitor General Shanthi Bhushan H informed the Court that a draft of Standard Operating Procedure is already being circulated to all stakeholder and the said SOP would be finalised after receiving inputs.Following which the court said, “Since the respondents have already initiated action for framing of guidelines, the court does not find it appropriate to issue any further orders at this stage. The petition is disposed of."It added “Let's say a credit card is misused and money is transferred, you have to freeze the money/account. Look at the funds that have gone out from the accounts of the actually hapless persons, senior citizens just see the plight of people who have lost their life savings. This idea of having a show cause notice...”The court clarified that this order would not impede any individual woes or any individual entity whose account may be frozen or who may be aggrieved from availing remedies in accordance with law. Case Title: PAVAN VIJAY SHARMA AND THE UNION OF INDIA & OthersCase No: WP 36734/2025Citation No: 2025 LiveLaw (Kar) 423Appearance: Advocate S Sudharsan for Petitioner. DSGI Shanthi Bhushan H for R1.

'Golden Hour' Critical In Cybercrime: Karnataka High Court On Plea For Show Cause Notice Before Freezing Bank Accounts

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