If you are stuck in such a situation, here is what to do.

Ajay, a university student, was shocked to find his account with Bharat Commercial Bank completely frozen. When he checked his balance, a significant amount was shown under a “Lien Amount.” Panicked, he rushed to his local branch in the city of Vidyanagar. The branch manager, Mr. Sharma, informed him that the account was frozen on the orders of the cybercrime police from the distant city of Suryagarh, Uttar Pradesh. The reason cited was a series of suspicious transactions.

According to the bank’s records, two deposits of ₹4,500 each, totaling ₹9,000, were flagged as part of a fraudulent money trail. Additionally, a separate transfer of ₹3,000 he received from his close friend, Rohan, was also deemed suspicious. Ajay contacted Rohan, who explained that he had received that money from another acquaintance before forwarding it to Ajay. The bank manager stated that the account could not be operated or closed until a No Objection Certificate (NOC) was obtained from the Suryagarh police. However, the police in Suryagarh insisted they needed a formal request or order from Ajay’s local police station in Vidyanagar to proceed. Stuck between two different police jurisdictions and a frozen bank account, Ajay felt helpless. He was willing to return the disputed ₹9,000 just to close the matter, but the bureaucratic loop made it seem impossible. He wondered if simply abandoning the account would make the problem disappear, a common but dangerous misconception.

Advice in such cases

If your bank account has been frozen due to a police complaint, ignoring it is the worst possible action. The problem will not resolve itself and can lead to more severe legal consequences. Here are the steps you should take:

• Contact the Bank Immediately: Visit your bank branch and request official, written communication detailing why the account was frozen. Ask for the complaint number (FIR or Cyber Crime Complaint number) and the contact details of the police station and investigating officer who issued the freeze order.
• Do Not Abandon the Account: Leaving the account inactive will not close the case. The police complaint remains active, and you could be declared an absconder, which can have serious repercussions, including trouble with future banking, loans, and even obtaining a passport.
• Communicate with the Police: Contact the investigating officer at the concerned police station. Be prepared to explain the transactions in question. It is advisable to do this with legal guidance.
• Gather Your Evidence: Collect all relevant documents, including bank statements, proof of the legitimacy of your transactions, and any communication (like chats or emails) that can explain the source of the funds.
• 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 of 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

Applicable Sections of Law

The freezing of bank accounts by the police during an investigation is primarily governed by the provisions of the Bharatiya Nagarik Suraksha Sanhita, 2023 (BNSS). The key section is:

• Section 104 of the BNSS, 2023: This section empowers a police officer to seize any property which may be alleged or suspected to have been stolen, or which may be found under circumstances which create suspicion of the commission of any offence. The term ‘property’ is interpreted broadly by courts to include bank accounts. When a police officer suspects that the money in an account is connected to a crime (like a cyber fraud), they can issue a notice to the bank to freeze it, preventing the withdrawal of funds.

If you are the complainant

If you are the one who has been defrauded and have filed a complaint that led to another person’s account being frozen, here is what you should do:

• File a Timely Complaint: Report the fraud immediately on the National Cyber Crime Reporting Portal (cybercrime.gov.in) or at your nearest police station. The sooner you report, the higher the chances of the money trail being traced and frozen.
• Provide All Details: Give the police every piece of evidence you have, including transaction IDs, screenshots of fraudulent messages, and the account details where the money was transferred.
• Follow Up Regularly: Stay in touch with the investigating officer to track the progress of your case. The police are often overburdened, and regular follow-ups can help keep your case a priority.
• 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 of 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

If you are the victim

If your account has been frozen and you are the “victim” of this action (accused of receiving fraudulent funds), your approach should be proactive and legally sound.

• Do Not Panic: While stressful, this is a procedural step in a police investigation. Your cooperation, guided by legal advice, is key.
• Trace the Source of Funds: Immediately identify the source of the flagged transaction. If it came from a friend or a known source, get a statement or explanation from them. If it’s from an unknown source, you must state this clearly to the police.
• Offer Cooperation: Show your willingness to cooperate with the investigation. If you unknowingly received fraudulent funds, express your readiness to return the disputed amount, but only through proper legal channels to ensure the case is officially closed.
• 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 of 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
• File for De-freezing: Your lawyer can file an application before the appropriate Magistrate or High Court for de-freezing the account, especially if the freeze is causing undue hardship and you can prove the legitimacy of the funds.

How the police behave in such cases

Typically, when a cybercrime complaint is filed, the police trace the money trail. They identify the bank accounts through which the money has passed and issue a notice under Section 104 of the BNSS to the respective banks to freeze these accounts to prevent the funds from being withdrawn. This is often the first step. Due to the high volume of such cases and the complexities of inter-state jurisdiction, there can be significant delays between the account being frozen and the police contacting the account holder. The police from another state often rely on the local police for assistance, which can further slow down the process. Their primary goal is to secure the proceeds of the crime, and they may not actively investigate your side of the story until you or your lawyer approach them.

FAQs people normally have

What evidence is required?

To prove your innocence and get the account de-frozen, you will need to provide:

• Your complete bank account statement.
• KYC documents (Aadhaar, PAN card).
• An explanation for each suspicious transaction. For example, if you sold something online, provide proof of the sale. If you received money from a friend, provide chat history or a statement from the friend explaining the reason for the transfer.
• Proof of your legitimate sources of income (salary slips, ITR, etc.) to show that your account activity is generally above board.

How long will the investigation take?

The timeline for such investigations varies widely. It can take anywhere from a few weeks to several months, or even longer. Factors influencing the duration include:

• The workload of the concerned police station.
• The complexity of the money trail.
• The level of cooperation between police departments of different states.
• How proactively you and your lawyer pursue the matter.

With proper legal guidance, you can often expedite the process by filing the necessary applications in court and ensuring consistent follow-up with the investigating authorities.

Advocate Sudhir Rao, Supreme Court of India