Prince Pal & Anr. v. State Bank of India

Delhi HC6 Jul 2026W.P.(C)/4878/2025

Case brief

AI extract

What is this about?

What did the court decide?

Defreezing of the petitioners' bank accounts, subject to the respondent bank retaining a lien of Rs. 37,000/- on petitioner No. 1's account and the petitioners availing their rights under the Standard Operating Procedure; for any other cyber fraud amount the respondent bank may issue a show cause notice and thereafter proceed in accordance with law. Compensation of Rs. 1,00,000/- each was not awarded. ¶¶34

Prince Pal & Anr. Vs State Bank of India — Writ and Judicial Review | Delhi HC (2026)

What the court decided

AI extract

Outcome

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Issue for consideration

Whether the bank accounts of the petitioners, freezed by the respondent bank, should be defreezed and the petitioners permitted to operate them. +1 more

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Court's answer

As far as the cyber complaint amount is concerned, subject to the petitioners availing their rights under the Standard Operating Procedure and the respondent bank keeping a lien of Rs. 37,000/- on the account of petitioner No. 1, the account shall be defreezed and the petitioner permitted to operate it.

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Ratio / Principle

In case of any other cyber fraud amount viz-a-viz the petitioner's account, the respondent bank shall be entitled to issue a show cause notice and thereafter proceed in accordance with law.

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Key takeaways

The prayer for compensation of Rs. 1,00,000/- each was not granted; the petition was disposed of solely on the defreezing/lien terms.ratio¶¶34

Detailed headnote1 paragraphs

W.P.(C) 4878/2025 (CM APPL. 28031/2025), High Court of Delhi, order dated 06.07.2026 of Hon'ble Mr. Justice Jasmeet Singh. Prince Pal & Anr. petitioned under Article 226 against the State Bank of India to defreeze petitioner No.1's current account (No. 000000041253964143) and petitioner No.2's account (No. 43462279872) and for compensation of Rs. 1,00,000/- each. Petitioner No.1, a duly registered entrepreneur with a GST number compliant with statutory frameworks, found his account freezed on 11.02.2025; the bank attributed the freeze to high-value transactions and the petitioners' non-submission of documents, and reported cyber complaints totaling Rs. 37,000/-. Disposing of the petition, the Court held that, subject to the petitioners availing their rights under the Standard Operating Procedure and the bank keeping a lien of Rs. 37,000/- on petitioner No. 1's account, the account be defreezed and operated; for any other cyber fraud amount the bank may issue a show cause notice and thereafter proceed in accordance with law. The compensation prayer was not awarded.

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$~35

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IN THE HIGH COURT OF DELHI AT NEW DELHI

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- W.P.(C) 4878/2025, CM APPL. 28031/2025

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PRINCE PAL & ANR.

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.....Petitioners

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Through: versus

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STATE BANK OF INDIA .....Respondent

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Through: Mr. Santosh Kumar Rout, Adv.

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CORAM:

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HON'BLE MR. JUSTICE JASMEET SINGH

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O R D E R

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% 06.07.2026

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This is a writ petition filed under Article 226 of the Constitution of India seeking the following prayers :-

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“a) Direct the respondent to defreeze the bank account no. 000000041253964143 of the petitioner no.1 & bank account no. 43462279872 of the petitioner no.2,

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b) Award a compensation of Rs. 1,00,000/- each in

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favour of the petitioners and again st the respondent for causing mental and financial losses in business to the petitioner….”

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The case of the petitioners is that the petitioner No.1 runs a sole proprietorship firm and is engaged in procuring orders on commission basis. The petitioner No.1 has a current account No. 000000041253964143 with the respondent bank. The petitioner No. 2 is a housewife and has account no. 43462279872 with the respondent bank.

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On 11.02.2025, the petitioner No.1 found out that his account has

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This is a digitally signed order.

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The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 16/07/2026 at 11:50:47

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been freezed. On 12.02.2025, the petitioner sent an email regarding freezing of his account. The respondent bank replied that his account was freezed due to high number of value transaction. My attention has been drawn to an email dated 12.02.2025, which reads as under: -

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This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 16/07/2026 at 11:50:47

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This is a digitally signed order.

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The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 16/07/2026 at 11:50:47

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Being aggrieved, the petitioner No.1 filed a complaint dated 13.02.2025 with RBI Ombudsman.

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Even the bank account of the petitioner No.2 was freezed by the respondent.

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Hence, the present petition.

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Mr. Rout, learned standing counsel for the respondent, states that the respondent bank has repeatedly asked the petitioners to furnish details of high value transactions and it is only due to non-submission of documents that the account of the petitioners have been freezed.

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Additionally, the respondent states that as per the cyber complaints received by the respondent bank the amount of cyber fraud is totaling to Rs. 37,000/-.

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I have heard learned counsels for the parties.

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The petitioner No.1 is a duly registered entrepreneur having a GST number, regularly he is paying his income tax and is in compliance with all statutory frameworks.

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I am of the view that as far as the cyber complaint amount is concerned, subject to the petitioners availing their rights under the Standard Operating Procedure and subject to the respondent bank keeping lien on the account of the petitioner No. 1 to the tune of Rs. 37,000/-, the account of the petitioner should be defreezed and the petitioner shall be permitted to operate the same.

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In case there is any other cyber fraud amount viz-a-viz the account of the petitioner, the respondent bank shall be entitled to issue a show cause notice and thereafter proceed in accordance with law.

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The present petition is disposed of in aforesaid terms, along with

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This is a digitally signed order.

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The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 16/07/2026 at 11:50:47

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pending applications, if any

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JASMEET SINGH, J

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JULY 6, 2026/JK

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Prince Pal & Anr. v. State Bank of India

Case brief

What is this about?

What did the court decide?

Prince Pal & Anr. v. State Bank of India

Case brief

What is this about?

What did the court decide?

Why is it important?

What the court decided

Issues for consideration

Statutes considered

Procedural history

Parties & counsel

Coram

Case details

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