The Madras High Court in Chennai has delivered a landmark verdict that's sending shockwaves through the crypto community!
*No More Full Account Freezes!*
In a bold move, Justice G. Jayachandran ruled that police and investigative agencies can no longer freeze entire bank accounts during cyber crime investigations. Instead, they're only allowed to freeze the specific amount involved in the alleged fraud [1).
This decision is a major win for crypto users, as full account freezes often leave individuals without access to their funds, disrupting their financial stability and livelihood.
*The Case That Sparked Change*
The ruling came in response to a petition from Mohammed Saifullah, whose HDFC Bank account was frozen for over a year by the Telangana State Cyber Security Bureau (TSCSB) during a crypto investigation. Despite the case involving only ₹2.48 lakh, Saifullah's entire balance of ₹9.69 lakh was rendered inaccessible.
*A Precedent for Protecting Citizens' Rights*
This verdict sets a crucial precedent for safeguarding citizens' rights in the growing crypto landscape. By allowing Saifullah to access his account, with the condition of maintaining the disputed ₹2.48 lakh, the court reminds investigative agencies to follow due process in crypto fraud investigations.
*What This Means for You*
If you're a crypto user in India, this ruling ensures that your entire account won't be frozen without just cause. Investigative agencies must now specify the amount tied to the alleged fraud and notify account holders and the court.
Stay informed, stay vigilant!
Share your thoughts on this landmark ruling!
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