One of my clients recently had a case which I am explaining below and if you are stuck in such similar situation, here is what to do.

Note: Due to attorney-client privilege, I cannot disclose complete case details or identify the actual parties involved. However, I am sharing the essential facts and legal approach so that if you find yourself in a similar situation, you can understand the available solutions and legal remedies.

Mr.X’s mother, Mrs.Y, had a friend who intended to send money via digital payment app to Mrs.Y. However, while entering the mobile number, the friend accidentally interchanged two digits and transferred Rs. 1,050 in two separate installments to a completely unknown person, Mr.Z, residing in City B. The friend realized the mistake only after checking the transaction history. Multiple attempts were made to contact Mr.Z through the payment app’s chat feature and direct calls, but he refused to return the money, claiming it was a gift from an unknown benefactor. The friend approached me seeking legal remedies to recover the wrongfully received amount from Mr.Z.

Advice in Such Cases

Consult with Lawyer: The very basic and important step to start is talk to Lawyer / advocate. You should not hesitate in paying his consultation fee i.e. might be in range of Rs. 10,000 to 50,000 depends case to case. He is helping you in this situation to come out. He is expert in the domain and can help you explain the procedure which you might have never explored. A good lawyer can get the issues resolved much faster than you think.

• Document all transaction details immediately including screenshots, transaction IDs, and timestamps
• Contact your bank and payment app’s customer service to report the erroneous transfer
• Send a legal notice to the recipient demanding return of the wrongfully received amount within a specified timeframe

Applicable Sections of Law

Under the Bharatiya Nyaya Sanhita (BNS), Section 316 addresses criminal breach of trust when someone dishonestly uses property not belonging to them. Section 318 covers cheating by dishonestly concealing facts. The Bharatiya Nagarik Suraksha Sanhita (BNSS) provides procedural remedies under Section 223 for filing complaints. Additionally, the Information Technology Act’s provisions on electronic transactions and the Reserve Bank of India’s digital payment guidelines offer regulatory protection for such cases involving unauthorized retention of mistakenly transferred funds.

If You Are the Complainant

• Gather comprehensive evidence including transaction receipts, bank statements, and communication attempts with the recipient
• File a complaint with the cybercrime cell of your local police station with all supporting documents
• Approach the banking ombudsman if your bank fails to provide adequate assistance in recovery
• Consider filing a civil suit for money recovery if criminal remedies prove insufficient
• Maintain detailed records of all legal proceedings and correspondence for future reference

If You Are the Victim

• Immediately contact your payment app’s customer support and request transaction reversal citing accidental transfer
• File a formal complaint with your bank explaining the circumstances of the erroneous transaction
• Send written communication to the recipient requesting voluntary return of the mistakenly transferred amount
• Consider engaging a lawyer to send a legal notice if the recipient refuses to cooperate
• Document all attempts at resolution for potential legal proceedings if needed

How the Police Behave in Such Cases

Police typically treat accidental digital payment transfers as civil matters initially. However, when the recipient refuses to return money despite clear evidence of mistaken transfer, it becomes a criminal matter under criminal breach of trust or cheating provisions. Cybercrime cells are generally more responsive to such complaints. Officers may request bank cooperation for transaction trail verification and attempt mediation between parties before formal case registration.

FAQs People Normally Have

Can I get my money back from wrong UPI transfer? Yes, through bank complaints, legal notices, and if necessary, criminal complaints for criminal breach of trust.

How long do I have to report wrong transfer? Immediately report to your bank and payment app. Legal action can be initiated within three years under limitation laws.

Is keeping wrongly received money illegal? Yes, dishonestly retaining money belonging to another person constitutes criminal breach of trust under BNS.

What if the recipient claims ignorance? The law presumes knowledge when money is received in one’s account, and good faith requires returning unearned money.

What Evidence Is Required?

• Transaction screenshots showing sender and receiver details with timestamps
• Bank statements confirming debits from sender’s account
• Communication records showing attempts to contact the recipient
• Phone records proving the intended recipient was different
• Witness statements from the intended recipient confirming non-receipt
• Payment app transaction history and customer service complaint records
• Digital forensic evidence linking the erroneous transaction to typing error

How Long Will the Investigation Take?

Bank complaints typically resolve within 7-14 days if the recipient cooperates. Police investigations may take 2-6 months depending on complexity and recipient’s cooperation. Civil recovery suits can extend 1-2 years through court proceedings. Cybercrime cell investigations are generally faster, often concluding within 30-60 days with proper documentation and evidence.

Advocate Sudhir Rao, Supreme Court of India