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

One morning, Mr. Alok Sharma, a resident of the city of Anantpur, received a startling SMS on his phone. It read: “POLICE NOTICE: Lien marked in your Apex Bank Account No. XXXX for Rs 9,500.00 on 15-Oct-26. Please take necessary steps for the revocation of this notice from the concerned authorities.” Confused and worried, he immediately went to his Apex Bank branch to inquire. The bank staff confirmed the lien but could only tell him that it was initiated by a police notice, advising him to visit the local police station for more details. To his further dismay, he discovered that a similar lien for the same amount was also placed on his account with Zenith Bank. Mr. Sharma was now in a difficult position, unsure of why this had happened and what his next steps should be.

Advice in such cases

Receiving such a notice can be alarming. It’s crucial to act methodically and not panic. Here’s a step-by-step guide:

• Stay Calm: Panicking can lead to hasty decisions. Understand that this is a procedural step taken by the police during an investigation, and there is a legal process to resolve it.
• Visit Your Bank: Go to the bank branch in person. Request a copy of the notice or email they received from the police. This document will contain crucial information like the name of the police station, the case or FIR number, and the officer in charge.
• Contact the Police: Once you have the details of the police station, contact them to understand the reason for the lien. It is often related to a complaint, usually in cases of online financial fraud where your account might have been used as a part of the transaction chain.
• Gather Your Documents: Collect all relevant documents, including your bank statements, KYC documents (Aadhaar, PAN card), and any proof related to your recent transactions to establish their legitimacy.
• 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 power of the police to freeze or place a lien on a bank account stems from their authority to seize property suspected to be connected with a crime during an investigation. The primary legal provision governing this is:

• Section 104 of the Bharatiya Nagarik Suraksha Sanhita, 2023 (BNSS): This section empowers any 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. A bank account, representing movable property (money), falls under this provision. The police can direct the bank to freeze the account to prevent the funds from being moved, pending investigation.

If you are the complainant

If you are the one who has filed a complaint (for instance, you are a victim of cyber fraud and have reported it), and you want the authorities to freeze the account of the person who defrauded you, here are the steps:

• File a Detailed Complaint: Lodge an FIR or a complaint on the National Cyber Crime Reporting Portal, providing all details of the fraudulent transaction, including transaction IDs, the amount, date, and the recipient’s account details if known.
• Provide Evidence: Submit all evidence you have, such as screenshots of messages, transaction receipts, and bank statements, to the investigating officer.
• Follow Up: Regularly follow up with the investigating officer to ensure they have sent the necessary notices to the respective banks to freeze the accounts involved in the money trail.
• 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, you are considered the “victim” of the police action, although you might be an accused in the complaint filed by someone else. Here is what you must do:

• Obtain the Notice Details: As mentioned, your first step is to get the details of the notice from your bank. This is non-negotiable.
• Approach the Police: Visit the concerned police station and meet the investigating officer. Cooperate fully and provide a clear explanation of the transactions in question.
• Submit a Representation: Provide a written statement explaining your side of the story, supported by evidence like bank statements, invoices, or communication that proves the legitimacy of the funds in your account.
• File for De-freezing: If the police do not unfreeze your account, you have the right to approach the appropriate Magistrate’s court by filing an application to de-freeze the account. The court will hear both sides and decide on the matter.
• 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.

How the police behave in such cases

In most such cases, particularly those involving cybercrime, the police act on a complaint from a victim who has lost money. They trace the money trail, and any account through which the money has passed can be frozen. Their primary objective is to preserve the proceeds of the crime. The police will typically issue a notice to the bank under Section 104 of the BNSS. They are then supposed to inform the account holder and call them for an investigation to record their statement. While they are expected to act fairly, the process can be slow and bureaucratic, causing significant hardship to innocent account holders.

FAQs people normally have

• Why was my account frozen without any prior notice to me?
  The police are empowered to act swiftly to prevent the dissipation of suspected criminal funds. Giving prior notice would defeat the purpose, as the person could withdraw the money immediately. The law requires them to inform the Magistrate forthwith about the seizure.
• Can I still use the other funds in my account?
  Sometimes the police freeze the entire account. In other cases, they may only place a lien on the specific amount mentioned in the notice. You should clarify this with your bank. If the entire account is frozen, you cannot access any funds until the freeze is lifted.
• How do I find out which police station issued the notice if my bank doesn’t know?
  The bank is legally obligated to have this information. Politely but firmly insist on speaking with a senior manager or the legal compliance department of the bank to get the details of the notice they received.

What evidence is required?

To prove your innocence and get the account de-frozen, you will need to provide credible evidence that the funds in your account are legitimate. This includes:

• Complete bank account statement for the relevant period.
• Proof of the source of funds (e.g., salary slips, business invoices, sale agreements).
• KYC documents (PAN Card, Aadhaar Card, Passport).
• Any communication (emails, messages) related to the transaction that is under scrutiny.
• A written affidavit explaining the nature of the transaction and your non-involvement in any illegal activity.

How long will the investigation take?

There is no fixed timeline for such investigations under the law. It can range from a few weeks to several months, depending on the complexity of the case, the workload of the police station, and your cooperation. If the police are unresponsive, filing an application in court is the most effective way to expedite the process. A lawyer’s intervention can often help in speeding up the communication with the police and ensuring your case is addressed promptly.

Advocate Sudhir Rao, Supreme Court of India