Kerala High Court
Abdul Mahashooq K.B vs Manager, Esaf Small Finance Bank on 31 May, 2024
Author: T.R.Ravi
Bench: T.R.Ravi
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE T.R.RAVI
FRIDAY, THE 31ST DAY OF MAY 2024 / 10TH JYAISHTA, 1946
WP(C) NO. 10485 OF 2024
PETITIONER:
ABDUL MAHASHOOQ K.B
AGED 30 YEARS
SHIHAB MANZIL, KULANGARA,
KUDLU, KASARAGOD,
PIN - 671124
BY ADV NAJAH EBRAHIM V.P.
RESPONDENTS:
1 MANAGER, ESAF SMALL FINANCE BANK
ESAF SFB, NEW STYLO COMPLEX,
BANK ROAD, KASARAGOD,
PIN - 671121
2 POLICE INSPECTOR,
VASAI VIRAR POLICE COMMISSSIONER
VASAI VIRAR, BHAYANDAR DIST.,
MAHARASHTRA, PIN - 401303
BY ADV B.S.SURESH KUMAR
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
31.05.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C) NO. 10485 OF 2024
2
T.R. RAVI, J.
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W.P.(C). No.10485 of 2024
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Dated this the 31st day of May, 2024
JUDGMENT
The petitioner is the holder of accounts with the 1 st respondent
Bank and his account has been frozen on intimation by Police
Authorities. The Court had at the time of admission, issued interim
directions to restrict the freezing of the account to the amount which
had been subject matter of the dispute as per the intimation
received from the Police authorities. However, it is seen that the
notice to the Bank does not mention the disputed amount, and seeks
a complete debit freeze of all the amounts in credit. In such
circumstances, following the decision in Dr.Sajeer v. Reserve Bank
of India [ 2023 KHC OnLine 661], this writ petition is disposed of
with the following directions;
(a) The respondent Bank is directed to
immediately issue a request to the
Investigation Authority/Police Authority and
seek the amount which is required to be kept
in freeze or held in lien in the account of the
petitioner. This shall be done by the Bank
within a period of one month from the date of
receipt of a copy of this judgment.
WP(C) NO. 10485 OF 2024
(b) In the event that the Investigating
Officer/Police Authority responds to the afore
requisition and mentions a particular amount,
as being the sum that is required to be kept
frozen or held in lien, then the respondent
Bank will confine the freeze/lien to such an
extent and allow the petitioner/account holder
to deal with his account and transact therein
beyond that limit.
(c) On the contrary, if no information is
received from the Police
Authority/Investigating officer within a period
of two months from the date on which the
afore requisition was made by the respondent
Bank, then they will allow the
petitioner/account holder to transact fully in
his account, notwithstanding the debit freeze
requisition, subject to any further information
to be received from the Police
Authority/Investigating Officer in future.
(d) As an alternative, if the response from
the Police Authority/Investigating Officer is
that the entire account be frozen for any
reason that is mentioned therein, then the
Bank will inform the petitioner/account holder
accordingly and continue the freeze in such a
manner for a further period of eight months
thereafter.
WP(C) NO. 10485 OF 2024
(e) If, after a period of eight months, the
requisition made by the Police Authorities -
either to a particular sum or the full amount in
the account of the account holder - is not
withdrawn, then the petitioner/account holder
will be at full liberty to approach this Court
again; which purpose, all contentions in this
writ petition are reserved to him to be impelled
in future.
Sd/-/-
T.R. RAVI
JUDGE
Pn
WP(C) NO. 10485 OF 2024
APPENDIX OF WP(C) 10485/2024
PETITIONER'S EXHIBITS
Exhibit P1 TRUE COPY OF THE NOTICE DATED 02.01.2024
ISSUED BY THE MANAGER, ESAF SMALL FINANCE
BANK, KASARAGOD BRANCH
