Against the backdrop of conflicting High Court rulings, the Supreme Court is set to decide whether Section 102 of the CrPC, which empowers police officers to seize certain property, applies to criminal cases registered under the Prevention of Corruption Act.

"The petitioner has raised an interesting issue with regard to the exercise of the power by the enforcement agencies under the provision of section 102 of the Cr.P.C. in cases arising out of the provisions of Prevention of Corruption Act", noted a bench of Justices Sanjay Karol and PK Mishra in a recent order passed in a petition filed by the State of West Bengal.

The Court also stayed the operation of the Calcutta High Court's impugned order, which had set aside the freezing of the accused-respondent's bank accounts on the ground that it was carried out under Section 102 CrPC.

In essence, the case concerns a person accused under the Prevention of Corruption Act, whose assets, including fixed deposit accounts, were frozen by authorities under Section 102 CrPC. Challenging this action, the accused approached the Calcutta High Court, where the authorities argued that the bank accounts had been seized, not attached, and therefore, Section 18A of the PC Act did not apply.

Citing the ruling in Ratan Babulal Lath v. The State of Karnataka, the High Court noted that Section 18A of the Prevention of Corruption Act governs the attachment, administration of attached property, execution of attachment orders, and confiscation of money or property obtained through an offence under the Act.

Since the respondent's bank accounts were frozen under Section 102 CrPC, the High Court set aside the impugned order and directed the de-freezing of the accounts.

"Since admittedly the bank accounts of the petitioner were frozen by the opposite party by invoking section 102 of the Code and not by procedure under section 18A of the Act, the said freezing cannot be sustained" said the High Court.

Notably, the High Courts of Madras and Patna have taken divergent views on the applicability of Section 102 CrPC in the seizure and freezing of bank accounts in cases under the Prevention of Corruption Act. While the Madras High Court has upheld its applicability, the Patna High Court has ruled that such actions can only be taken under Section 18A of the PC Act.

Case Title: THE STATE OF WEST BENGAL VERSUS ANIL KUMAR DEY SARKAR, SLP(Crl.) No. 1003/2025