Kerala High Court Lifts Suspension Of Website Of Lending Service Provider 'Olyv'

The High Court of Kerala has lifted the blocking of the website 'olyv.in', which is a Lending Service Provider (LSP). 

The website was deactivated following a communication issued by the Kerala Cyber Crime Coordination Centre (Kerala Police) invoking powers under Section 79(3)(b) of the Information Technology Act, 2000 to the domain service provider. The Kerala Police issued the communication based on complaints received at various police stations regarding unethical practices of digital loan lending apps and cheating of individuals using personal data. An FIR was also registered against Smartcoin Financials Pvt Ltd, the company running "Olyv", under Sections 84C r/w 66D, 85 of IT Act, alleging the offence of advertising through online media for granting loans with the intention to do unfair practices.

Challenging the blocking order and the FIR, Smartcoin filed a writ petition in the Kerala High Court, contending that they are running a lawful business as permitted under the Digital Lending Guidelines issued by the Reserve Bank of India.

The High Court noted from the statement of the Kerala Police that there was no specific allegation against the petitioner.  

On February 27, Dr.Justice Kauser Edappagath passed an interim order that the suspension of the website 'olyv.in' be lifted. However, the Court clarified that the lifting order will not affect the pending investigation in the FIR.

Appearances: Advocates Amar Rajendra Gahlot, Sanyam Aggarwal and Ammu Charles for the petitioner.

P Narayanan, Special Government Pleader for the State; Achuth Krishnan, Central Government Counsel; Senior Advocate Sumathi Dandapani and Advocate Millu Dandapani for the RBI.  

Case : Smartcoin Financials Pvt Ltd vs Union of India and others | WP(CRL.) NO. 669 OF 2024(S)

Click here to read the order