HDFC Bank Ltd. Vs State of Bihar & Ors. (Supreme Court of India)
Whether a banker can be held liable for erroneously allowing locker to be operated which had been restrained to be operated by Income-tax in pursuance of search u/s 132?
A peculiar situation arose in this case when HDFC Bank Gandhi Maidan Patna Branch allowed bank locker to be operated by Khemka family on whom a search was earlier conducted and their bank account and lockers were restrained by Director of Income-tax(INV). However, subsequently the said restrain order was revoked though only in relation to Bank account. However, the bank officials interpreted that the revocation is applicable for lockers also, allowed locker to be operated and when this came to light, IT Department filed FIR against bank officials as well as Khemka family which was upheld by Single Bench of Patna High Court. However, the Hon’ble Supreme Court while considering the appeal of HDFC Bank, relying on the famous case of Arnab Manoranjan Goswami v. State of Maharashtra and others and in the case of Delhi Race Club (1940) Ltd. and others v. State of Uttar Pradesh and another; held that the FIR did not mention prima facie case of offence being made out by the bank officials and there was nothing to show malafide and thus allowing the appeal, quashed the FIR against the bank officials.
