Bank froze businessman's account; now to pay Rs 50k
The Allahabad High Court’s Lucknow bench ruled that a bank must pay Rs 50,000 fine for freezing a customer’s bank account without valid grounds. They stated that this money should be given to the account holder within four weeks. The court held the bank responsible for its arbitrary decision.
The Allahabad High Court also voiced serious concern over what it described as a growing and troubling tendency among banks to freeze customers’ accounts without adequate justification. The court stressed that banks are custodians of public funds and can’t act as investigative bodies.
The Allahabad High Court also voiced serious concern over what it described as a growing and troubling tendency among banks to freeze customers’ accounts without adequate justification. The court stressed that banks are custodians of public funds and can’t act as investigative bodies.
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