If your bank account is frozen fine writ petition to direct bank to unfreeze your account t
2) as on date there is no ban on holding crypto currencies
3) you are only required to pay taxes on your earnings
Can bank accounts be unfrozen by fighting legally
Hello! Please read my question carefully till the end. you all are already heard of https://economictimes.indiatimes.com/markets/stocks/news/sc-allows-trade-in-cryptocurrency-quashes-rbi-curb-on-use/articleshow/74470078.cms last year. Now let us say if i do any crypto transaction of 50 lakhs to my bank account by selling bitcoin through exchange and transferred to my bank account. Now coming to point after transferring to bank if bank account goes frozen by the bank then what is my next step. Even though if i went to bank and said about supreme court lift of ban then if they wont listen. Next step is to fight legally...? If i fight legally can i get my bank account normal state and also money...? I request to read the question properly and answer. Thanks!
Asked 4 years ago in Civil Law
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16 Answers
After categorical judgment by Supreme Court, bank has no business to freeze your account. If it does, it will be at the cost of contempt proceeding by Supreme Court. No bank will take that risk. If anything happens like that, you are free to approach SC directly.
If your bank account is frozen by bank, you have all the rights to know the reason for bank to freeze your account.
If the reasons stated by bank are not convincing or if it is not in accordance with the prevailing law, you can issue a legal notice intimating the bank about the illegality in doing so and instruct them to unfreeze the account immediately.
If the bank is not listening or not complying with the demands made, then you can either report the matter to the banking ombudsman for releif or you can drag the bank to consumer court for seeking relief and also compensation for the deficiency in service.
The supreme court orders arw law and authorities have to abide by it. Give the bank a written notice to defreeze your account and if they do not respond then file a contempt application against them.
The RBI circular prohibiting banks to provide banking persons dealing in crypto has been set aside by the Supreme court on the ground that such a restriction is disproportionate.
The bank has no business to freeze your account or to stop you from withdrawing your funds
You have to take this legally now
Issue a very stern legal notice to the bank with copy marked to the RBI and also request the latter to give directions to the bank to withdraw the freezing of your account
The bank just cannot freeze someone's account like this. How can one pay taxes? What if you earned some profit on sale of bitcoins and are liable to pay the tax on it? In absence of a working bank account, how can then one pay the taxes to the government
The crypto transactions are done through banking channels so the bank cannot say that it is an illicit transaction
There are so many scams by bankers themselves. They give away public money to defaulters who then flee the country. Instead of being answerable for such glitches to the general public, the bank cannot harass a citizen like this by freezing his bank account
The usual course would be to first write to the bank to cease it's illegal act of freezing the account and if no response then one has to approach the banking ombudsman
However if the bank is a public sector undertaking then you can also file a direct writ petition in the High Court on the ground that pursuing your legal remedy through the normal course would take time and therefore you have approached the Court for urgent reliefs particularly when you are liable to pay taxes on your profits earned which taxes can be paid only from the frozen account. As an Interim measure you can pray that till your petition is finally decided, the bank be directed to atleast release the funds equal to the tax amount you have to pay to the government
The bank's act is clearly illegal
You have to pursue this vigorously and launch a strong protest against the bank, however as per law
If there is unlawful activity in your bank account then the bank on instruction of Police cam freeze it.
It can be unfreezed only with the permission of court which depends on the merit of the case.
Thanks! I have heard some people are telling psu banks but every bank should follow this rule.? I mean we can fight legally with any bank like private banks also HDFC ICICI etc i have heard above some people are telling govt banks so if private banks freeze our account then we can fight legally ........? Thanks!
Asked 4 years ago
Yes you may fight legally.
The SC judgment applies with equal force for all the banks be it public or private that come under the umbrella of RBI
Therefore hdfc icici etc all are covered
judgment of SC is binding on all banks
2) if private banks freeze your account file complaint against st bank before consumer forum and seek orders to direct bank to unfreeze yiur account
3) in alternative file suit to direct bank to unfreeze your account
Dear Sir/Maam
1) The Supreme Court Judgement is binding on all banks private and psu.
2) If any bank freezes your account in violation of the SC order, you can send the bank a legal notice to unfreeze your account.
3) If the bank fails to unfreeze your account, you can take legal remedy against them.
4) File a complaint in consumer court OR
5) You can file an application to SC to initiate contempt proceedings against such bank and unfreeze you bank account.
Thank you
You can fight for your rights legally against any bank i.e., private or public sector bank.
You are fighting to get your grievances redressed and not against any individual.
Do not go by the rumours being spread by third parties, they will result into misguidance.
Banks are following their own guidelines by blocking the accounts and also looting money from the account. This is the example https://twitter.com/rohanagarwal94/status/[deleted] Although the person is using the current account. If this is the situation can customer can file strict case against the banks.....? Thanks!
Asked 4 years ago
YES
What is stopping you?
Plz dont ask same question again and again and irritate
You were suggested with the proper legal action that can be taken from your side to tackle this situation.
You may decide what to do next and proceed as suggested or as per your own thoughts and understanding
If you want your bank account to be unfreezed you have to take legal proceedings
- File a Bank Complaint - This is a good place to start to file a complaint against a bank. The site is intended for National Banks regulated by the OCC, but if your bank isn't a National Bank, it will help you find the correct regulator
File a Credit Union Complaint - This NCUA page is the place to start for filing a complaint against a credit union. If your problem is with a federal credit union, the NCUA may be able to help. However, if it's not a federal credit union, your first line of help should be from the state regulator. - You can file a complaint against Bank Ombudsman which is for resolution of complaints regarding digital transactions.
- You can file a complaint with the Banking Ombudsman simply by writing on a plain paper. One can also file it online at (“click here to lodge a complaint”) or by sending an email to the Banking Ombudsman. There is a form along with details of the scheme on our website.
- You can also file a case on Digital Complaint Management system at RBI website. It is a unified portal for Banking and NBFC.
- You can also file a complaint at Federal Reserve Consumer Complaint Form through online mode.
- You can also file a case with an application at consumer court.
Thank you
Yes it can be done by order of the court
