Jaipur: Rajasthan High Court has ruled that businesses affected by the freezing of their bank accounts in cybercrime cases can seek relief through the grievance redressal mechanism of the ministry of home affairs (MHA).The decision came after two Jodhpur-based firms, Shree Radhe Enterprises and CBN Art and Crafts Pvt Ltd, contested the freezing of their accounts without prior notice or justification. The court emphasised the importance of proportionality and timely reviews in freezing accounts to mitigate impacts on legitimate account holders.A single-judge bench of Justice Nupur Bhati passed the order on Oct 28, holding that the petitioners could avail themselves of the remedies available under the SOP and other applicable statutory provisions.The petitions were filed by Shree Radhe Enterprises, a proprietorship concern represented by its proprietor Paras, and CBN Art and Crafts Pvt Ltd, represented by its director Suman Kanwar. While Shree Radhe Enterprises had sought the unfreezing of its current and savings accounts with Yes Bank’s Jodhpur branch, CBN Art and Crafts sought the unfreezing of its account with ICICI Bank’s Jodhpur branch.According to Shree Radhe Enterprises, its bank accounts were first de-frozen in Nov 2024 and subsequently completely frozen in Jan 2025, allegedly on the instructions of the Cybercrime Police in Vijayawada, Andhra Pradesh.The petitioner claimed that the banks neither provided a clear explanation nor responded to its representations. It also contended that the accounts had no suspicious transactions or links with cybercrime and that the restrictions had severely affected its business operations.The petitioners argued that the SOP, introduced in Jan 2026, could not be applied retrospectively to account-freezing actions initiated in 2024 and 2025. They also contended that they had already approached the authorities through representations.However, the respondents relied on an earlier judgment in the case in which the HC had recognised the grievance redressal mechanism under the SOP as an effective remedy.Accepting the applicability of the earlier ruling, Justice Bhati disposed of both petitions in similar terms, allowing the businesses to approach the designated grievance redressal mechanism under the SOP and other applicable laws.
HC directs cos to MHA grievance cell for frozen bank accounts | Jaipur News