The first thing that you should do is file an RTI application seeking details of the said occurrence. also ask why a mandatorily required notice was not sent to you. i will tell you the next steps then. i had lien removed from a number of my clients' bank accounts.

1. As the fraudster used your binance order to buy usdt, you are prima facie in collusion with the  main accused. During investigation you can establish your innocence but you need to cooperate with investigation.
2. All the accounts of fraudster will be freezed and victim will compensated from his accounts.
3. All offence under cyber fraud are bailable. On appearance you will be released on execution of personal bond.
4. Any summons under Section 91 are deemed to be complied if the property/document is produced without attending the police station.
5. To avoid any proceedings under Section 102, you need appear and convince the police of you innocence.
6. You need to appear in u.p. where the case is registered.
7. You can approach High Court seeking to quash FIR against you or at least as alternative grant anticipatory bail to you.

1) you are not laible to compensate victim for the loss 

2) fraudster is liable 

3) you can send reply by speed post 

4) no FIR has been filed against you 

Legal Advice on Binance P2P and Bank Account Lien:

1. Legal Liability: You are not liable for the buyer’s fraud as you acted in good faith, verified the buyer’s identity, and used Binance’s escrow system. Provide evidence of due diligence.

2. Compensation Demand: Police cannot demand compensation unless you are proven complicit or negligent.

3. Risk of Arrest: Arrest is unlikely if you cooperate. Continue submitting evidence and maintain communication with authorities.

4. Responding to Notices: For Section 91/102 Cr.P.C. notices, submit required documents via a lawyer. Request virtual communication if unable to appear in person.

5. NRI Communication: Appoint a lawyer in Uttar Pradesh, send notarized affidavits, and request Binance to assist with law enforcement inquiries.

6. Avoiding Legal Issues: Preserve all records, engage a local lawyer, and file a representation to release the lien. Escalate the matter if the investigating officer is unreachable.

For detailed, personalized advice, consider a phone consultancy. Hope you find the information helpful. You are free to contact me for further discussion. If you could spare two minutes of your time to write a review, it would be greatly appreciated. Thank you. Shubham Goyal.

after going through the facts i do not think you are legally liable

in the event you get any summons from police you just need to co-operate and inform how the entire transaction took place

the seller would never know that the buyer's funds are proceeds of crime

moreover the transaction occurred through banking channels

i think it is not correct on your bank's part to mark a lien on the sale proceeds credited to your bank account

i think you need to relax 

you may be a layer 2 recipient, but that does not of itself make you legally liable for the wrong that has happened to the victim at the hands of your buyer, unless it is proved otherwise

Dear Client,

As your transaction was bonafide, carried out in good faith, and madewith due diligence, you cannot be held criminally liable for the fraud perpetrated by the buyer. However, since the Cyber Crime Police of Uttar Pradesh has traced your account to the case, they might treat you as a witness or an intermediary. This is a lien placed on your account. While the police cannot demand money from you, they may try to get it back by coercing you to pay it. You are notliable in the eyes of the law unless you can be shown to have had knowledge about the fraud being perpetrated.

You have nothing to fear regardingbeing arrested. Still, you may want to get a lawyer in UP to monitor the case and to formally respond. If the police send a notice, you should hand over documents, such as the transaction records of Binance, bank statements, and KYC details of thebuyer. Under 106 BNSS freezing of accounts, your attorney should file objections and present this before the magistrate to have the lien removed. Since you are an NRI, you can formally communicate through a notarized affidavit, email correspondence, and video statements, requesting virtual interaction instead of in-person visits.

To avoid further complications, ensure proper legal representation, submit all necessary evidence to the police, and request Binance's legal support. If the lien is not lifted, escalate the matter to the Banking Ombudsman or file a case in the jurisdictional court. Since the case was filed in UP, you can also seeka transfer of jurisdiction to Gujarat under Section 446 of BNSS if required. Do not settle the case without alawyer as this may be construed as an admission of guilt. Your main defense is that you were a bonafide trader andhad no hand in fraudulent activities. Taking these steps in time will help resolve the matter without unnecessary legal entanglements.

In this circumstances you are not liable for any fraud but if you get any call or notice from police take legal advice first. You need to apply to the court for removing the lien 

Dear Anuj,

Your concerns are valid, and I appreciate your detailed account of the situation. Below is a structured legal response addressing your queries, along with recommended steps to protect yourself from further complications.

1. Legal Liability – Are You Responsible for the Fraud Committed by the Buyer?

Based on the information provided, you do not have direct criminal liability since:

• You conducted due diligence by verifying the buyer’s details.
• The transaction was executed via Binance’s escrow system, with proper identity checks.
• There was no intent to defraud, and you had no prior knowledge that the funds were proceeds of a cybercrime.

However, being classified as a Layer 2 recipient means you may be required to cooperate with the investigation to prove your innocence.

2. Can the Police Demand That You Compensate the Victim?

• Legally, you are not obligated to compensate the victim unless it is proven that you were complicit in the fraud, which is not the case here.
• If the police pressure you to refund the amount voluntarily, it should be done only after obtaining a written assurance from the investigating officer that no further legal action will be taken against you.
• If you decide to return the amount to the victim to expedite case closure, ensure it is routed through official channels (such as an escrow account held by the police).

3. Can You Be Arrested?

• 
  Immediate Arrest Risk: Since this is a cybercrime-related financial case, arrest is unlikely unless there is evidence of active participation in the fraud.
• However, since the investigation is ongoing and your bank account is under lien, there is a possibility that the police may summon you for questioning.
• You have already emailed the police with supporting evidence, which is a positive step. It is crucial to continue this communication in a structured legal manner (see Point 5).

4. How to Respond to a Notice Under Sections 91/102 Cr.P.C.?

• Section 91 Cr.P.C. (Documentary Evidence): If you receive a notice under Section 91, it means the police are requesting you to provide documents relevant to the investigation. You should:

  • Respond formally in writing, attaching:

    • Binance transaction receipts
    • KYC details of the buyer
    • Your bank statements
    • Any prior correspondence with the police

  • Mention that you are an NRI and unable to appear in person, requesting alternative means of communication  (Legal representation)

• Section 102 Cr.P.C. (Seizure of Property): If your account is only under lien and not fully frozen, it indicates a preliminary attachment rather than full seizure. However, if an FIR is registered, the bank may fully restrict access to your funds.

  • 
    Request the police for clarity on whether your funds are being held as "evidence" or if they intend to return them after verification.
  • If the lien persists without justification, you can file a representation to the Superintendent of Police (SP) or approach the High Court for relief.

5. How to Respond If You Cannot Appear in Person (As an NRI)?

• Since you are residing abroad, you have the following options:

  • 
    Legal Representative in India: Appoint a lawyer who can physically interact with the investigating officer and represent your case.

6. Preventive Measures to Avoid Legal Hassles in the Future

• 
  Keep Detailed Records: Maintain transaction history, KYC proofs, and email logs for every crypto trade.
• 
  Check for Suspicious Transactions: If a buyer’s payment source looks unusual (third-party transfers, multiple accounts), reject the transaction.
• 
  Use Exchange-Compliant Accounts: If trading regularly, use an exchange-friendly account from a bank that has compliance protocols for crypto transactions.
• 
  Consult a Legal Expert for Future Transactions: If you continue P2P trading, it may be wise to get a legal opinion on the structure of transactions to avoid legal risks.

7. Jurisdiction Issue – Case Filed in UP While You Are from Gujarat

Since the complaint is filed in Uttar Pradesh, local police there have jurisdiction. However:

• If you ever need to file a petition for relief, it can be done in Gujarat, where you hold a permanent residence, under Article 226 of the Constitution (High Court Writ Jurisdiction).
• A lawyer can also seek case transfer to a jurisdiction more convenient for you.

Conclusion – Next Steps for Quick Resolution

1. Immediate Response to Cyber Police:

   • Send a detailed email response enclosing all supporting documents.
   • Clearly state that you acted in good faith and had no knowledge of any fraud.
   • Request a formal acknowledgment that your response has been received.

2. Engage a Lawyer in India:

   • Appoint a legal representative in India who can visit the police station on your behalf.
   • The lawyer can also file a representation to remove the lien on your account.

3. Seek Removal of Lien from the Bank:

   • After submitting your response, follow up with the bank’s nodal officer to inquire about the next steps for lifting the lien.

4. Be Prepared for a 91 Cr.P.C. Notice:

   • If you receive a notice, respond in writing, attaching all requested documents.
   • Politely request a virtual meeting if required.

5. Escalate If No Response from Police:

   • If you receive no update from the police despite multiple attempts, a legal notice can be sent to the Cyber Crime SP seeking a resolution.
   • As a last resort, a petition can be filed in the High Court for relief against harassment and wrongful lien.

Final Recommendation

Given the complexities of cybercrime investigations, I strongly recommend engaging an experienced cyber law and financial fraud defense lawyer in India. I can assist in drafting a formal legal response and representing your interests before the authorities.

Would you like me to draft a formal response for submission to the Cyber Crime Police and Axis Bank? Let me know how you’d like to proceed.

For further finalization and strategizing, Contact/WhatsAPP On  - Nine Five NIne two Five Zero Zero Zero Six Eight 

Best Regards,

1. Whether knowingly or unknowingly you were involved into this transaction hence you are liable to explain your role as a statement to the police investigating this crime.

2. If you have not been named as one of the fraudster but just this transaction was done by the other party who cheated the victim, you may explain it in the form of an affidavit to enable you to convince police to not to penalise you.

3. There is necessity to be panicked over the development.

4. If you have been served with notice under section 91 cr.p.c. then you are required to comply with it.

5. You can send the hard copy of the evidences in your possession to the police by post 

6. You wait for the next communication from police in this regard to take further steps.

7. The NCRP is a centralized platform for registering cybercrime complaints. Complaints are automatically assigned to the relevant state or union territory.