
Case Law Analysis
|Calcutta High Court
Bank Cannot Partially Freeze on Mere Mule Suspicion Sans Evidence, Notice & Hearing; Defreeze with Lien : Calcutta HC
Calcutta HC ruled banks cannot partially freeze accounts on mere mule suspicion without evidence, notice, and hearing - violating natural justice and RBI Master Directions. Ordered defreeze with lien only on disputed ₹10 lakh and a six-week decision deadline, affirming proportionality and due process for account holders.