This post is for those people who are innocent and have their bank account frozen due to a debit freeze order from Cyber Police.

P2P Trading is quite popular in India and many people are using it on a daily basis. Platforms like Localbitcoins, WazirX, Binance, Paxful etc have a lot of liquidity in this space.

Unfortunately, people don't realize the risk of trading in P2P. There is an extremely high possibility of you getting money from a fraudster's account unknowingly.

After the onset of the pandemic, the number of cyber frauds has skyrocketed. Criminals are always looking for ways to launder their money and P2P Crypto Trading is an easy way for them to cash out instantly.

When the victim complains to the Cops the case is immediately transferred to the corresponding Cyber Cell. They issue orders under Section-91 and Section-102 of the CrPC to freeze the criminal's account. They also scan for recent transactions that have taken place since criminals take the help of money mules to get access to instant money without leaving a trace. Accounts under suspicion are frozen as well.

Criminals are nowadays offering people a commission to receive money and immediately send it to some other account. People taking part in such transactions intentionally are called money mules. They make it difficult for cops to track the money which is why they start placing a freeze on all associated accounts which they suspect of laundering money.

The freeze notice is sent to the nodal officer of the bank and within 48hrs the corresponding bank freezes your account. The cops will not intimate you regarding the notice and you may never receive a call. Rest assured they are checking all your info in the background for any possible evidence that links you to the crime.

The following conditions can make it difficult to prove your innocence:

1. If you have large cash withdrawals from your account.
2. You've unknowingly transferred money to some other fraudster implicated in a related or an unrelated case. The cops may consider you as a part of a larger racket.
3. You have no proper records of your transactions and you may have done them directly through telegram or signal.

If the above points do not apply to you then you can take the following course of action:

1. Contact the bank and ask them to provide the order copy. If they are not willing to hand the copy then ask for the Application Number and Outward Reference Number. Seek the help of a local lawyer if they don't cooperate at all. You have full legal rights to know about your case.
2. Once you have the details contact the concerned Cyber Cell. Most of the numbers are usually invalid or no one picks up. In such cases, it's better to send an email and ask if an FIR has been filed against you.
3. In case FIR has been filed contact a lawyer for an anticipatory bail which will prevent an arrest. Anticipatory bail is not easy to get but if you promise to cooperate with the cops you might get one.
4. Try to find out the complaint details through a lawyer or get in touch with the investigating officer. Once you get the details try to trace the transaction and start collecting evidence to prove your innocence. Do not try to directly get in touch with the complainant or try to settle the matter under the table. It will only increase your worries.

Try to find out the amount involved in the fraud. If it's a small amount compared to the balance in your account then ask your lawyer to deposit that amount in court escrow in good faith without admission of guilt and get a defreeze notice from the court. The amount will remain in the escrow until the investigation is completed. If you're innocent then you will get it back.

Another approach is to take the help of your lawyer to mediate a settlement with the victim. If the victim is willing to take their complaint back after compensation (i.e the amount of fraud) then you can get a letter from him/her to withdraw the complaint and submit it to the cops. Make sure to include the investigating officer in the process and include the phrase "without admission of any kind of guilt" in the withdrawal letter. Once you pay the victim use emails and cc them to your lawyer and investigating officer to keep an online record of your settlement. Do not settle if the victim starts acting greedy and tries to blackmail.

Banks are reluctant to pass the order copy since they themselves fear prosecution. If the account was frozen on invalid grounds you can sue the bank for damages citing article 21 of the constitution. It will depend on your lawyer and luck whether you'll get any compensation.

How to choose a good lawyer:

1. Select lawyers between the age group of 35-45 as experience matters. Experienced lawyers usually have a wide network.
2. Avoid big law firms as your case will most probably be taken up by rookie /junior lawyers. Big lawyers are mostly interested in high-profile cases.
3. Do not disclose the amount frozen in the account to your lawyer. They will use that info to decide your fees. Make sure to ask for fees before proceeding.

Do not trade in P2P with unknown people. Avoid P2P trading on platforms like Binance and WazirX since Binance owns WazirX and they are involved in multinational investigations for various types of alleged crimes.

Withdraw directly from platforms and use a separate bank account for such transactions which will help you keep track. Do not keep your savings or investments in such accounts.

Scammers and fraudsters are everywhere. Do not share your bank details with anyone and do not allow anyone to use your bank account.

I would conclude by saying that if you're innocent no law of the land can cause you any trouble. Be confident and stay brave.