Author: Advocate Adarsh Singhal | Cyber Law Expert & High Court Advocate
Introduction
In a major relief for innocent individuals and small business owners facing unjustified financial hardship, the Rajasthan High Court has, through suo motu directions dated 14 June 2025, issued a landmark order restraining the state police and cyber cells from freezing entire bank accounts in cyber crime investigations unless specific procedures are followed. This marks a crucial development in protecting citizens’ constitutional rights under Article 21 (Right to Livelihood) and ensuring fair investigation practices in the digital age.
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⚖️ What Triggered This Reform?
The court took suo motu cognizance of rising complaints involving:
• Complete freezing of bank accounts for minimal or even unrelated cyber transactions.
• Violation of procedural safeguards under the Bhartiya Nagarik Suraksha Sanhita (BNSS), 2023 and previous CrPC provisions.
• No timely judicial oversight, leading to long-standing hardship to account holders without charge-sheet or FIR clarity.
• Misuse of powers by some cyber cells due to lack of standard guidelines for handling suspected mule or fraudulent accounts.
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📜 Key Highlights of Rajasthan HC SOP Directions (June 14, 2025)
The Rajasthan High Court laid down the following mandatory protocols for police:
✅ 1. Freeze Only the Disputed Amount, Not the Entire Balance
Only the specific amount suspected to be linked with a cybercrime or fraudulent transaction can be frozen. For example, if ₹5,000 is under suspicion, then the freeze must not extend to ₹1,00,000 in the account.
✅ 2. Written Approval of the Superintendent of Police (SP) Is Mandatory
No officer below the rank of SP can approve a freeze request. The police officer must submit a written justification citing:
• Nature of the offence
• Prima facie digital trail
• Urgency and necessity of the freeze
✅ 3. Timeline for Judicial Ratification
The investigating officer must approach the Magistrate within 60 days of freezing the account under Section 503(4) BNSS, 2023. If not ratified, the freeze must be lifted.
✅ 4. Obligatory Intimation to the Account Holder
Within 48 hours, the police must send a formal written intimation to the account holder mentioning:
• Reason for freeze
• Amount under freeze
• Legal provisions invoked
• Contact details for representation
✅ 5. Opportunity for Representation
The account holder must be allowed to submit a reply or representation to the investigating agency. Their explanation must be objectively recorded in the case file.
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💼 Legal Reasoning Behind the SOPs
The Rajasthan HC reinforced that:
• Blanket freezing violates the Right to Livelihood (Art. 21) if no criminal intention is proved.
• Due process under BNSS must be strictly followed—failure renders the freeze invalid.
• Presumption of innocence is a cornerstone of Indian jurisprudence—freezing assets without notice violates natural justice.
• Police must follow the doctrine of proportionality—using minimal restrictive measures during investigation.
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🧑⚖️ Precedents Supporting the SOPs
1. Neelkanth Pharma Logistics vs. Delhi Police (Delhi HC, 2025)
Held that entire account freeze for ₹200 is disproportionate. Ordered SOP creation by MHA.
2. Mohammed Saifullah vs. State of TN (Madras HC, 2024)
Struck down freeze for lack of quantification and judicial approval. Upheld fundamental rights.
3. Rakesh Totuka Case (Rajasthan HC, May 2025)
Directed IDBI Bank to refund ₹58.9 lakh with 6% interest for unjustified freeze.
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🛑 What If Your Bank Account Is Frozen?
If your bank account is frozen due to a cybercrime allegation:
• ✅ Demand written notice from the cyber cell with freeze reasons.
• ✅ Ask for copy of FIR or complaint in which your name appears.
• ✅ File a representation under Section 503(5) BNSS to lift the freeze.
• ✅ Approach the Magistrate Court for relief under Sections 451/457 or via a Writ Petition in the High Court.
• ✅ Seek expert legal help to cite these new SOPs and precedents.
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🔎 How This Impacts Police and Victims
• Police will now be held accountable for procedural lapses. Arbitrary freezing is no longer an option.
• Victims of cybercrime still get protection, but without compromising the livelihood of innocent third parties.
• Judicial oversight is mandatory, striking a balance between investigation and human rights.
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🙌 Advocate’s Opinion
These SOPs are a welcome step to protect citizens from harassment and financial damage due to unverified complaints. It also ensures that genuine victims of cybercrime get justice without collateral damage. The cyber police must now act with greater responsibility, transparency, and documentation.
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📞 Need Help?
If your account has been frozen due to cybercrime suspicion, we can help you with:
✅ Legal Representation in Courts
✅ Filing Writ Petitions for Unfreeze
✅ Representation under BNSS & RBI Circulars
✅ Full Refund Claims Against Banks
📱 Contact Our Cyber Law Helpline:
📞 +91-95096-22662
📞 +91-91160-14622
🌐 www.advocateadarsh.com