CRIMINAL PROCEDURE – Freezing of bank account – Power of police – Scope
Paras 3, 5, 6, 7
Police directed bank to freeze petitioner’s account during investigation – Held, police have no independent authority to freeze bank accounts – Such power lies with jurisdictional Magistrate – Notice issued by police without statutory backing held illegal.
CRIMINAL PROCEDURE – BNSS – Section 107 – Requirement of Magistrate’s order
Paras 3, 6, 8
Freezing of account must be pursuant to orders of jurisdictional Magistrate under BNSS – Investigating Officer required to approach Magistrate for appropriate orders – Held, direct action by police impermissible.
CRIMINAL LAW – Investigation – Seizure of money – Safeguards
Paras 4, 5, 9
Allegation that account contains proceeds of offence (extortion) – Even in such cases, due procedure must be followed – Held, investigation cannot bypass statutory safeguards for freezing accounts.
WRIT JURISDICTION – Article 226 – Interference with illegal freezing
Paras 1, 7, 8, 10
Writ petition maintainable against unauthorized freezing of bank account – High Court can set aside illegal action and restore operation of account – Held, interference justified.
INTERIM PROTECTION – Balancing investigation and rights
Para 9
While directing defreezing, Court protected investigation by restricting withdrawal of disputed amount – Petitioner permitted to operate account otherwise – Held, balanced approach adopted.
PRECEDENT – Binding nature of earlier High Court decisions
Para 6
Earlier decisions of High Court holding police lack power to freeze accounts followed – Held, consistent application of legal position.
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