Case Law Analysis
|Andhra Pradesh High Court
Bank Account Freezing Without Notice Violates Natural Justice | Andhra Pradesh HC Directs Defreezing in UPI Fraud Case : AP HC
The Andhra Pradesh High Court ruled that freezing a bank account without prior notice or hearing violates principles of natural justice under Articles 14, 19(1)(g), and 21 of the Constitution. The court directed the defreezing of an account holding Rs. 8.26 lakh, emphasizing that businesses cannot be held liable for third-party UPI fraud without due process. This judgment sets a precedent for safeguarding commercial entities from arbitrary financial restrictions.