Rajasthan High Court tells SBI to freeze only disputed sum in cyber-crime case

The Rajasthan High Court at Jodhpur on 13 October 2026 directed State Bank of India to keep only the disputed amount frozen in a customer's current account and to let the account holder transact with the remaining balance. The order came on a writ petition filed by the account holder after the bank froze the account. The court also gave the police seven days to tell the bank how much should be held.

What Happened

The account holder asked the High Court to direct SBI to unfreeze the current account, to give written reasons for the freeze and to share any communication received from cyber crime authorities. The Reserve Bank of India, SBI and senior Rajasthan Police officers in charge of cyber crime and the crime branch were named as respondents.

The court disposed of the petition with a direction to the bank to keep the disputed amount frozen. The order describes this as the amount which was transferred illegally into the petitioner's account. The bank must allow the petitioner to make transactions from the rest of the balance.

If the bank has not been told the exact disputed figure, which the police allege is the source of the offence, the court said the bank must write to the investigating officer asking how much should be earmarked for lien, meaning held back and not available for withdrawal. The bank must attach a copy of the order. The police must reply within seven days of receiving the letter. The court made clear that if no reply comes, the bank is still bound to act on the order.

What It Means

For bank customers whose accounts are frozen during a cyber crime investigation, this order shows the approach the High Court took in this case: the hold was limited to the disputed sum rather than the whole account, and the police were given a fixed time to name that sum. The direction was issued on this petitioner's account.

Complaints about a bank's service can be filed with RBI at https://cms.rbi.org.in. Anyone who has lost money to cyber fraud can report it at https://cybercrime.gov.in or by calling the helpline 1930.

Source: High Court judgment