Mumbai News LIVE Updates: `Probe agencies can`t freeze bank accounts involved in cyber fraud transactions`

Mumbai News LIVE Updates: HC raps banks for freezing accounts without orders from investigating agencies

"As could be seen from this system, bank/intermediaries can put the disputed amount on lien, but cannot debit freeze the account," the court said in its order.  Despite this, some banks, upon receiving communications from an investigating agency which does not even call for debit freezing, proceed to take such action and cause loss to account holders, the HC said. (PTI)

Mumbai News LIVE Updates: Police have no power to attach or freeze accounts under section 106, rules court

"The law stands well-settled that under section 106, an investigating agency has no power to attach or debit freeze an account," the court said, quashing the orders issued by the police to debit freeze the accounts of the petitioners. The bench also noted that the `Citizen Financial Cyber Frauds Reporting and Management System`, published by the Indian Cybercrime Coordination Centre under the Ministry of Home Affairs, throws light on how banks should deal with reports/ communications received from an investigating agency.

Mumbai News LIVE Updates: Court says police must seek magistrate’s nod before attaching property, says HC

Under the BNSS provision, an investigating agency has the power to seize property suspected of being stolen or linked to criminal activity. But the court pointed out that as per section 107 of the BNSS, police must approach a magistrate to seek attachment of any such property.

Mumbai News LIVE Updates: `Only disputed amount is frozen under lien; accounts often misused in cyber frauds`

When a lien is put on an amount, only that particular amount can not be accessed, but the account can remain operational. Often in cyber frauds, a bank account is used for rerouting the proceeds without the account holder being aware of the transactions.