- 1 - HC-KAR NC: 2026:KHC:21574 CRL.P No. 12105 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 21ST DAY OF APRIL, 2026 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR CRIMINAL PETITION NO. 12105 OF 2025 BETWEEN: AXIS BANK LTD., A BANKING COMPANY, CARRYING ON THE BANKING BUSINESS UNDER THE BANKING REGULATION ACT, 1949 INCORPORATED UNDER THE COMPANIES ACT, 1956 AND HAVING ITS REGISTERED OFFICE AT 'TRISHUL', 3RD FLOOR, OPP. SAMARTHESHWAR TEMPLE LAW GARDEN, ELLIS BRIDGE, AHMEDABAD - 380 006, GUJARAT. AND HAVING ONE OF ITS BRANCH OFFICE AT NEW NO. 32, OLD NO.4, JAWAHARLAL NEHRU ROAD (100 FT ROAD), EKKADUTHANGAL, GUINDY, CHENNAI TAMIL NADU - 600 032 REPRESENTED BY ITS BRANCH HEAD MR. JOYSHREE SUBRAMANIAN AGED ABOUT 57 YEARS ALSO AT W/O SHANKAR R PADMINI GARDEN STREET NO. E-402, CRITANTTAIRA OPP HADEMBAKKAM, KADCHELPURAM, TAMIL NADU - 600 209. …PETITIONER (BY SRI. UNNIKRISHNAN M, ADVOCATE) Digitally signed by SHARADAVANI B Location: High Court of Karnataka - 2 - HC-KAR NC: 2026:KHC:21574 CRL.P No. 12105 of 2025 AND: 1. THE STATE OF KARNATAKA BY BASAVESHWARA NAGAR POLICE STATION, WEST DIVISION, BANGALORE DISTRICT. REPRESENTED BY SPP HONBLE HIGH COURT OF KARNATAKA BANGALORE - 01. 2. MR. VIVEK P. HEGDE S/O PRABHAKAR J. HEGDE, AGED ABOUT 47 YEARS, RESIDING AT NO. 76, 1ST J CROSS, SHARAD COLONY, BASAVESHWARA NAGAR, BENGALURU - 560 079, KARNATAKA. …RESPONDENTS (BY SMT. PUSHPALATHA B, ADDL. SPP FOR R1; SRI. VIJAY KUMAR PRAKASH, ADVOCATE FOR R2) THIS CRL.P IS FILED U/S 482 OF CR.PC (FILED U/S 528 BNSS) PRAYING TO SET ASIDE THE ORDER DTD 28.05.2025 PASSED BY THE HONBLE PRL. CITY CIVIL AND SESSIONS JUDGE, BENGALURU(CCH-1) IN CR.NO.37/2025 i.e., ANNEXURE-C IN TERMS OF WHICH, THE PETITIONER IS DIRECTED TO DEFREEZE THE SAVINGS/ CURRENT ACCOUNT BEARING NO.923020047187348 MAINTAINED IN THE PETITIONERS BANK AND TRANSFER THE SAME TO THE ACCOUNT OF THE RESPONDENT NO.2. THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 3 - HC-KAR NC: 2026:KHC:21574 CRL.P No. 12105 of 2025 CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR ORAL ORDER In this petition, the petitioner seeks the following reliefs: a) To set-aside the order dated 28.05.2025 passed by the Hon'ble Principal City Civil and Sessions Judge, Bengaluru (CCH-1) in Crime No.37/2025 i.e., Annexure-C in terms of which, the petitioner is directed to defreeze the savings/current account bearing No.923020047187348 maintained in the petitioner's Bank and transfer the same to the account of the respondent No.2. b) To pass such other orders as may be deemed expedient in the circumstance of the case in the interest of justice. 2. Heard learned counsel for petitioner, learned Additional Special Public Prosecutor for respondent No.1 and learned counsel for respondent No.2 and perused the material on record. - 4 - HC-KAR NC: 2026:KHC:21574 CRL.P No. 12105 of 2025 3. A perusal of the material on record will indicate that the issue in controversy involved in the present petition is directly and squarely covered by the judgment of the Co- ordinate Bench of this Court in the case of Axis Bank Ltd., Vs. The State of Karnataka and Anr. – Crl.P.No.1787/2023 dated 14.12.2023, which was disposed of as hereunder by remitting the matter back to the trial Court for reconsideration afresh in accordance with law, after hearing both parties. In the said judgment, this Court held as under: “The Petitioner which is a Financial Institution is before this Court challenging the order passed by 1st Additional Chief Metropolitan Magistrate on an application filed under Sections 451 and 457 of Cr.P.C. by the complainant/respondent No.2 directing the petitioner-Bank to defreeze the amount belonging to the accused and transfer the said amount to the bank account of the complainants/respondent No.2. The petitioner’s concern is that the order passed by the Jurisdictional Magistrate cannot be executed because it surpasses the specified release amount, and numerous courts across the Country have issued directives to the investigating - 5 - HC-KAR NC: 2026:KHC:21574 CRL.P No. 12105 of 2025 agencies to unfreeze the bank accounts of the accused therein. Learned Special Public Prosecutor on instructions would suggest that the matter may be remanded to the Jurisdictional Courts to consider the application filed under Sections 451 and 457 of Cr.P.C. afresh, by affording an opportunity of hearing to the petitioner. Admittedly, multiple cases are registered against the accused herein within the State and across the country and there are multiple orders passed by the Jurisdictional Magistrates directing the petitioner to unfreeze the account of the accused and transfer the amount to the bank account of the complainants. The passing of multiple orders has caused difficulty to the petitioner/bank in executing the said order, since the amount ordered to be released in some accounts exceeds the amount available in the subject accounts of the accused. Therefore, the learned Magistrate before passing an order directing the petitioner to unfreeze and transfer the amount to the accounts of the complainants, is required to hear the petitioner. Accordingly, I pass the following: - 6 - HC-KAR NC: 2026:KHC:21574 CRL.P No. 12105 of 2025 ORDER Criminal Petition is allowed. The order dated 26.11.2021 passed by the 1st Additional Chief Metropolitan Magistrate, Bengaluru in Cr.No.452/2021 is hereby set aside. Matter is remanded to 1st Additional Chief Metropolitan Magistrate, Bengaluru to reconsider the application filed under Sections 451 and 457 of Cr.P.C. afresh, after giving the opportunity of hearing to the petitioner. Till the application is disposed of, the petitioner/bank is restrained from releasing the money in favour of any person from the subject account.” 4. As can be seen from the aforesaid judgment, the impugned order was set aside and the matter remitted back to the trial Court for reconsideration afresh in accordance with law. In the instant case, the order impugned dated 28.05.2025 passed by the trial Court in Crime No.37/2025, which pertains to the amount of ₹ 55,00,000/- in the account of Penakon, bearing No.923020047187348, Axis Bank, Ekkatuthangal, - 7 - HC-KAR NC: 2026:KHC:21574 CRL.P No. 12105 of 2025 Chennai and as such the impugned order in so far as it relates to the said amount deserves to be set aside and the matter remitted back to the trial Court for reconsideration afresh in accordance with law by issuing certain directions. 5. Accordingly, I pass the following:- ORDER i. The petition is hereby allowed. ii. The impugned order dated 28.05.2025 passed by the Principal City Civil and Sessions Judge, Bengaluru in Crime No.37/2025, is hereby set aside. iii. Matter is remitted back to the Principal City Civil and Sessions Judge, Bengaluru to reconsider the application filed under Sections 497 and 503 of BNS, 2023 afresh, after giving the opportunity of hearing to the parties. iv. The parties are directed to appear before the trial Court on 11.05.2026. The petitioner-Bank is directed to file objections to the application on - 8 - HC-KAR NC: 2026:KHC:21574 CRL.P No. 12105 of 2025 that day and the trial Court shall proceed further and dispose of the application afresh in accordance with law. Sd/- (S.R.KRISHNA KUMAR) JUDGE VS List No.: 1 Sl No.: 1