Authority: Gauhati High Court (Kohima Bench)

Order Date: 29-10-2026

Case Overview

  • Parties: petitioner Babul Uddin, proprietor of Afrida Health Care (business located at Ward No. 11, 7th Mile, Chumoukedima, Nagaland) versus the Union of India, Indian Cyber Crime Coordination Centre, and Canara Bank (including its zonal manager and branch manager).
  • Background: Afrida Health Care operated under a Trade License dated 08‑04‑2024 and a Trade Drug License dated 27‑05‑2024. The business maintained a current account No. 120031778744 with Canara Bank, Chumoukedima Branch.
  • Dispute Trigger: On 08‑11‑2024 Canara Bank froze the aforementioned account without prior notice or explanation, preventing the petitioner from conducting daily business and personal transactions.
  • Petitioner’s Efforts: The petitioner repeatedly approached the branch manager to have the account defrozen, but received no action. Consequently, a writ petition (WP(C)/122/2026) was filed in the Gauhati High Court.
  • Legal Submissions: Counsel for the petitioner argued that the freeze was unlawful, that no fraudulent activity existed, and cited precedents where High Courts ordered defreezing of accounts (e.g., Md. Saifulla v. RBI, Neelkanth Pharma Logistics v. Union of India, Istakul Hussain v. SBI).
  • Procedural History: The Court previously directed on 01‑10‑2026 that the petitioner serve the order to respondents 2‑5 and file an affidavit confirming receipt. The affidavit filed on 28‑10‑2026 confirmed service via Speed Post; no response was received from the respondents.

Final Outcome

  • The Court allowed the petition and directed that the petitioner be permitted to operate the current account No. 120031778744 maintained with Canara Bank, Chumoukedima Branch.
  • The petitioner must execute an indemnity bond for the available balance of Rs 6,86,807.48 (Six Lakhs Eighty‑Six Thousand Eight Hundred Seven and Forty‑Eight Paise).
  • Respondent No.5 (Branch Manager, Canara Bank, Chumoukedima) is ordered to defreeze the account forthwith and ensure compliance with the bond requirement.
  • The petition stands disposed of; no order as to costs.

Topics: Bank Account Freeze, Judicial Relief