Karnataka High Court

Axis Bank Ltd vs The State Of Karnataka on 21 July, 2025

Author: S.R.Krishna Kumar

Bench: S.R.Krishna Kumar

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                                                       NC: 2025:KHC:27355
                                                   CRL.P No. 3660 of 2025
                                               C/W CRL.P No. 4056 of 2025
                                                   CRL.P No. 4304 of 2025
              HC-KAR



                IN THE HIGH COURT OF KARNATAKA AT BENGALURU
                       DATED THIS THE 21ST DAY OF JULY, 2025
                                      BEFORE
                  THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR
                        CRIMINAL PETITION NO.3660 OF 2025
                             (482(Cr.PC)/528(BNSS))
                                      C/W
                        CRIMINAL PETITION NO.4056 OF 2025
                             (482(Cr.PC)/528(BNSS))
                        CRIMINAL PETITION NO.4304 OF 2025
                             (482(Cr.PC)/528(BNSS))
              IN CRL.P.NO.3660/2025:

              BETWEEN:
                 AXIS BANK LTD.
                 A BANKING COMPANY
                 CARRYING ON THE BANKING
                 BUSINESS UNDER
                 THE BANKING REGULATION ACT, 1949
                 INCORPORATED UNDER
                 THE COMPANIES ACT, 1956
                 AND HAVING ITS REGISTERED
                 OFFICE AT 'TRISHUL', 3RD FLOOR
Digitally        OPP. SAMARTHESHWAR TEMPLE
signed by B      LAW GARDEN, ELLIS BRIDGE
LAVANYA          AHMEDABAD-380 006
Location:        GUJARAT
HIGH
COURT OF         AND HAVING ONE OF ITS
KARNATAKA        BRANCH OFFICE AT

                 1) HOUSE NO.9, ROAD NO.2
                    SONARI WEST LAYOUT
                    JAMSHEDPUR
                    DIST.PURBI SINGBHUM
                    JHARKHAND-831 011
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                                     CRL.P No. 3660 of 2025
                                 C/W CRL.P No. 4056 of 2025
                                     CRL.P No. 4304 of 2025
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     2) GROUND FLOOR, PLOT NO.64
        CTS NO.15308/27
        SARANG CO-OPHSG SOC.
        GARKHEDA, AURANGABAD
        DIST: AURANGABAD
        MAHARASHTRA-431 005
         REP. BY ITS BRANCH HEAD
         MR.ANAND ASHOK AUNDHEKAR
         AGED ABOUT 51 YEARS
         ALSO AT:
     3) C/O.ANAND ASHOK AUNDHEKAR
        HOUSE NAME KALARANG PLOT NO.17
        RAILWAY STATION ROAD
        NEAR DEOGIRI COLLEGE
        RACHNAKAR COLONY
        AURANGABAD, AURANGABAD
        MAHARASHTRA-431 001
                                               ...PETITIONER
(BY SRI UNNIKRISHNAN M., ADVOCATE)
AND:
1.   THE STATE OF KARNATAKA
     BY EAST CEN CRIME POLICE STATION
     BENGALURU DISTRICT
     REPRESENTED BY SPP
     HON'BLE HIGH COURT OF KARNATAKA
     BENGALURU-560 001

2.   SMT.IRA SATVELKAR
     D/O.SATISH SATVELKAR
     AGED ABOUT 26 YEARS
     R/AT HOTEL ROYAL ORCHID
     GOLF AVENUE, HAL OLD AIRPORT ROAD
     DOMLUR, BENGALURU CITY
     KARNATAKA-560 008
                                            ...RESPONDENTS
(BY SMT.SOWMYA R., HCGP FOR R-1;
    MS.T.CHANVI MADAPPA FOR
     SRI AIYAPPA K.G., ADVOCATES FOR R-2)
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                                        NC: 2025:KHC:27355
                                    CRL.P No. 3660 of 2025
                                C/W CRL.P No. 4056 of 2025
                                    CRL.P No. 4304 of 2025
HC-KAR



     THIS CRIMINAL PETITION IS FILED UNDER SECTION 482
OF CR.P.C (UNDER SECTION 528 OF BNSS) PRAYING TO SET
ASIDE THE ORDER DATED 28.10.2024 PASSED             BY
XLV ADDITIONAL CHIEF JUDICIAL MAGISTRATE, BENGALURU
IN CRIME NO.672/2024 VIDE ANNEXURE-C.

IN CRL.P.NO.4056/2025:

BETWEEN:
   AXIS BANK LTD.
   A BANKING COMPANY
   CARRYING ON
   THE BANKING BUSINESS
   UNDER THE BANKING
   REGULATION ACT, 1949
   INCORPORATED UNDER
   THE COMPANIES ACT, 1956
   AND HAVING ITS REGISTERED
   OFFICE AT 'TRISHUL', 3RD FLOOR
   OPP: SAMARTHESHWAR TEMPLE
   LAW GARDEN, ELLIS BRIDGE
   AHMEDABAD-380 006
   GUJARAT
   AND HAVING ONE OF ITS
   BRANCH OFFICE AT
   GROUND FLOOR, SASTHI NARAYAN
   ENCLAVE, S.B.GORAI ROAD-713 301

   REP. BY ITS BRANCH HEAD
   MR.SABHASHIS LOHIRI
   AGED ABOUT 47 YEARS

   ALSO AT:

   K.S.ROAD, PALASH BHOGAN
   UTC, ASAPLAL MC PALAKSHAN
   DHADKA, DIST-BODHAMAN
   WEST BENGAL-713 302
                                          ... PETITIONER
(BY SRI UNNIKRISHNAN M., ADVOCATE)
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                                     CRL.P No. 3660 of 2025
                                 C/W CRL.P No. 4056 of 2025
                                     CRL.P No. 4304 of 2025
HC-KAR



AND:

1.   THE STATE OF KARNATAKA
     BY SOUTH CEN CRIME
     POLICE STATION
     DCP SOUTH DIVISION
     BANGALORE DISTRICT
     REPRESENTED BY SPP
     HON'BLE HIGH COURT OF KARNATAKA
     BENGALURU-560 001

2.   SMT.MEERA SURESH
     W/O.R.SURESH
     AGED ABOUT 57 YEARS
     RESIDING AT GF-3
     DEVAGIRI MEADOWS
     34TH CROSS, 14TH MAIN ROAD
     BANASHANKARI 2ND STAGE
     BENGALURU CITY
     KARNATAKA-560 070
                                           ... RESPONDENTS
(BY SMT.SOWMYA R., HCGP FOR R-1;
    SRI PRASHANT KUMAR, ADVOCATE FOR R-2)

     THIS CRIMINAL PETITION IS FILED UNDER SECTION 482
OF CR.PC (FILED UNDER SECTION 528 OF BNSS) PRAYING TO
SET ASIDE THE ORDER DATED 28.06.2024 PASSED BY XLV
ADDITIONAL CHIEF METROPOLITAN MAGISTRATE, BENGALURU
IN CRIME NO.779/2024 VIDE ANNEXURE-C.

IN CRL.P NO.4304/2025
BETWEEN:

     AXIS BANK LTD.
     A BANKING COMPANY
     CARRYING ON
     THE BANKING BUSINESS
     UNDER THE BANKING
     REGULATION ACT, 1949
     INCORPORATED UNDER
     THE COMPANIES ACT, 1956
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                                          NC: 2025:KHC:27355
                                      CRL.P No. 3660 of 2025
                                  C/W CRL.P No. 4056 of 2025
                                      CRL.P No. 4304 of 2025
HC-KAR



     AND HAVING ITS REGISTERED
     OFFICE AT 'TRISHUL', 3RD FLOOR
     OPP: SAMARTHESHWAR TEMPLE
     LAW GARDEN, ELLIS BRIDGE
     AHMEDABAD-380 006
     GUJARAT

     AND HAVING ONE OF ITS BRANCH
     OFFICE AT GROUND FLOOR
     RAJARHAT GREENS
     RAJARHAT MAIN ROAD
     RAJARHAT, DIST.NORTH 24
     PARGANAS
     WEST BENGAL 700 135

     REPRESENTED BY ITS BRANCH HEAD
     MR.APURBA DEV
     AGED ABOUT 58 YEARS
     ALSO AT:
     FLAT NO.-T7/F11/G/1.
     EASTERN HIGH ACTION AREA-1
     NEW TOWN NORTH 24N PARGANAS
     WEST BENGAL-700 156
                                              ... PETITIONER
(BY SRI UNNIKRISHNAN M., ADVOCATE)

AND:
1.   THE STATE OF KARNATAKA
     BY SOUTH CEN CRIME POLICE STATION
     SOUTH DIVISION
     BENGALURU

     REPRESENTED BY SPP
     HON'BLE HIGH COURT OF KARNATAKA
     BENGALURU-560 001

2.   SRI MANU KUMAR K.M.
     S/O.MAHADEVAIAH H.
     AGED ABOUT 32 YEARS
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                                       CRL.P No. 3660 of 2025
                                   C/W CRL.P No. 4056 of 2025
                                       CRL.P No. 4304 of 2025
HC-KAR



    R/AT NO.28, SRINILAYAM
    2ND CROSS, 2ND MANI
    HULIMAVU 2ND PHASE
    BANNERGHATTA MAIN ROAD
    BENGALURU-560 076
                                                ... RESPONDENTS
(BY SMT.SOWMYA R., HCGP FOR R-1;
    MS.T.CHANVI MADAPPA FOR
     SRI LOKESHA G., ADVOCATES FOR R-2)

     THIS CRIMINAL PETITION IS FILED UNDER SECTION 482
OF CR.PC (FILED UNDER SECTION 528 OF BNSS) PRAYING TO
SET ASIDE THE ORDER DATED 18.01.2025 PASSED BY XLV
ADDITIONAL CHIEF JUDICIAL MAGISTRATE, BENGALURU IN
CRIME NO.1446/2024 VIDE ANNEXURE-C.

    THESE CRIMINAL PETITIONS ARE COMING ON FOR
ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS
UNDER:
CORAM:     HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR


                        ORAL ORDER

In Crl.P.No.3660/2025, the petitioner seeks the

following reliefs:

"a) To set-aside the Order, Dated: 28.10.2024 passed by The Hon'ble Court of the 45th Additional Chief Judicial Magistrate, Bengaluru, in Crime No.672/2024 i.e. Annexure 'C' in terms of which, the Petitioner is directed to defreeze the Savings / current account bearing A/c.No.923020049080681 & A/c. No. 924020007855936 maintained in the

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Petitioner's Bank and transfer the same to the account of the Respondent No.2.

b) To pass such other orders as may be deemed expedient in the circumstance of the case and in the interest of justice."

2. In Crl.P.No.4056/2025, the petitioner seeks the

following reliefs:

"a) To set-aside the Order, Dated: 28.06.2024 passed by The Hon'ble Court of the 45th Additional Chief Judicial Magistrate, Bengaluru, in Crime No.779/2024 i.e. Annexure 'C' in terms of which, the Petitioner is directed to defreeze the Savings / current account bearing A/c.No.920020055043437 maintained in the Petitioner's Bank and transfer the same to the account of the Respondent No.2.

b) To pass such other orders as may be deemed expedient in the circumstance of the case and in the interest of justice."

3. In Crl.P.No.4304/2025, the petitioner seeks the

following reliefs:

"a) To set-aside the Order, Dated: 18.01.2025 passed by the 45th Additional Chief Judicial Magistrate, Bengaluru, in Crime No.1446/2024

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i.e. Annexure 'C' in terms of which, the Petitioner is directed to defreeze the current account bearing A/c.No.924020011509744 maintained in the Petitioner's Bank and transfer the same to the account of the Respondent No.2.

b) To pass such other orders as may be deemed expedient in the circumstance of the case and in the interest of justice."

4. Heard learned counsel for the petitioner, learned

High Court Government Pleader for respondent No.1 and

learned counsels for respondent No.2 and perused the

material on record.

5. In addition to reiterating the various contentions

urged in the memorandum of petitions and referring to the

material on record, learned counsel for the petitioner

submits that the issue in controversy involved in the

present petitions is directly and squarely covered by the

judgment of the Co-ordinate Bench of this Court in the

case of Axis Bank Ltd., Vs. The State of Karnataka

and Anr. - Crl.P.No.1787/2023 dated 14.12.2023,

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and the present petitions may be disposed of in the above

terms.

6. As rightly contended by the learned counsel for

the petitioner, the issue in controversy in the present

petitions is covered by the judgment of this Court in the

case of Axis Bank Ltd. supra, wherein it is held as under:

"The Petitioner which is a Financial Institution is before this Court challenging the order passed by 1st Additional Chief Metropolitan Magistrate on an application filed under Sections 451 and 457 of Cr.P.C. by the complainant/respondent No.2 directing the petitioner-Bank to defreeze the amount belonging to the accused and transfer the said amount to the bank account of the complainants/respondent No.2.

2. The petitioner's concern is that the order passed by the Jurisdictional Magistrate cannot be executed because it surpasses the specified release amount, and numerous courts across the Country have issued directives to the investigating agencies to unfreeze the bank accounts of the accused therein.

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3. Learned Special Public Prosecutor on instructions would suggest that the matter may be remanded to the Jurisdictional Courts to consider the application filed under Sections 451 and 457 of Cr.P.C. afresh, by affording an opportunity of hearing to the petitioner.

4. Admittedly, multiple cases are registered against the accused herein within the State and across the country and there are multiple orders passed by the Jurisdictional Magistrates directing the petitioner to unfreeze the account of the accused and transfer the amount to the bank account of the complainants. The passing of multiple orders has caused difficulty to the petitioner/bank in executing the said order, since the amount ordered to be released in some accounts exceeds the amount available in the subject accounts of the accused. Therefore, the learned Magistrate before passing an order directing the petitioner to unfreeze and transfer the amount to the accounts of the complainants, is required to hear the petitioner. Accordingly, I pass the following:

ORDER

i. Criminal Petition is allowed.

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ii. The order dated 26.11.2021 passed by the 1st Additional Chief Metropolitan Magistrate, Bengaluru in Cr.No.452/2021 is hereby set aside.

iii. Matter is remanded to 1st Additional Chief Metropolitan Magistrate, Bengaluru to reconsider the application filed under Sections 451 and 457 of Cr.P.C. afresh, after giving the opportunity of hearing to the petitioner.