Noting a surge in AI-generated petitions searching for the de-freezing of financial institution accounts, the Kerala Excessive Court docket has directed that the Station Home Officer of the police station protecting the petitioner’s tackle be impleaded as a celebration in all such writ petitions earlier than they’re numbered, till additional orders.
The order was handed by Justice M.A. Abdul Hakhim whereas contemplating a writ petition searching for a course to a financial institution to de-freeze the petitioner’s account, which had been frozen in reference to suspected monetary cyber fraud.
On the outset, the Court docket famous the sheer quantity of such circumstances reaching it each day. “Day-after-day, this Court docket has been coping with almost 200 circumstances involving monetary cyber fraud with respect to financial institution accounts,” the choose mentioned, including that banks generally freeze accounts on the premise of requisitions acquired from police authorities and, in different situations, act on their very own suspicion.
The Court docket additional famous that in most writ petitions, the prayer is for de-freezing of the account on the bottom that the petitioner has no involvement within the alleged crime and that the cash acquired was a part of a real enterprise transaction with out data of any fraud. Nevertheless, the Court docket discovered that in numerous circumstances, the petitions don’t disclose even the character of the alleged enterprise or the small print of the transactions relied upon.
“Many writ petitions are filed by individuals who’ve simply crossed the bulk,” the Court docket noticed, including that banks have reported situations of accounts exhibiting transactions operating into crores of rupees inside a brief interval after opening, patterns that don’t match the small print furnished by the account holders on the time of opening the accounts.
Justice M.A. Abdul Hakhim went on to additional spotlight the way during which these petitions are filed earlier than the Court docket. The choose mentioned that the majority of those writ petitions are being filed by younger members of the Bar, typically with out enough pleadings or prayers. The Court docket noticed that some petitions seem like AI-generated and don’t comprise fundamental materials details.
“Cases are a number of the place the Advocates are usually not even capable of reply or clarify the queries put to them by this Court docket with regards to the pleadings within the writ petitions,” the choose recorded. The Court docket additionally famous that, as per info acquired from the Registry, this class of circumstances has change into the very best in quantity, necessitating the structure of a separate topic roster for itemizing such issues.
In view of this, the Court docket held that larger warning was required whereas coping with writ petitions searching for de-freezing of financial institution accounts. Emphasising the necessity to make sure that petitions are genuinely filed by the individuals proven as petitioners, the Court docket held that requisite safeguards have been essential to allow it to type a prima facie opinion.
“The above-said details persuade this Court docket to train larger warning whereas coping with writ petitions searching for the de-freezing of accounts,” the choose noticed.
It added that it have to be ensured that such petitions are literally filed by the individuals named as petitioners.
“This Court docket deems it essential to direct the impleadment of the Police Station which covers the realm of the tackle of the Petitioner, which is proven within the Writ Petition, in all these Writ Petitions to substantiate that the submitting of the Writ Petitions is by the Petitioners themselves and likewise to get the small print of the Petitioners with a purpose to allow this Court docket to type a prima facie opinion,” the Court docket mentioned.
The Court docket thus ordered the Registry to make sure that the SHO of the police station having jurisdiction over the petitioner’s tackle is made a celebration in all writ petitions pertaining to the de-freezing of financial institution accounts earlier than such petitions are numbered, till additional orders.
Case Title: Blue Star Aluminium & Door Home v. Federal Financial institution and Anr.
Bench: Justice M.A. Abdul Hakhim
Order Date: 10 December, 2025
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