New Delhi: In the latest development, Delhi’s Rouse Avenue Court on Wednesday rejected bail plea of Karnataka Congress leader DK Shivakumar who was arrested in connection with a money laundering case by the ED.

Special Judge Ajay Kumar Kuhar refused to grant any relief to Shivakumar who is currently lodged in Tihar jail and is under judicial custody of the Enforcement Directorate.

The development comes after the ED during a hearing on Saturday alleged that Shivakumar is in the practice of influencing the witness. While opposing the bail plea filed by Shivakumar, the ED said he was in the practice of influencing the witness, looking at the past conducts in the I-T probe.

The ED said being an influential and powerful person, Kumar has in the whole likelihood to hamper the investigation. Appearing for the ED, ASG KM Natraj said that there are many documents and material during both IT and PMLA probe which have been recovered and it draws a strong inference of commission of an offence.

“We need to take the investigation to a logical end. The source of laundered money and the proceeds of crime is being investigated,” the ED said in a statement.

“The probe is underway and it is at a crucial stage. He was non-cooperative and evasive during the interrogation. Article 20 and 21 grants right to silence but it cannot be done for non-cooperation,” the ED was quoted as saying by news agency ANI.

Shivakumar was on September 19 arrested as soon as he was discharged from Ram Manohar Lohia Hospital in Delhi. Prior to that, a Delhi court on Tuesday had remanded him to judicial custody for 14 days till October 1.

He was arrested on September 3 by the Enforcement Directorate in a money laundering case. The ED had in September last year registered a case against Shivakumar, Haumanthaiah, an employee at the Karnataka Bhavan in New Delhi, and others, in connection with a money laundering case.

The case by the ED was based on a charge sheet (prosecution complaint) filed by the Income Tax Department against them last year before a special court in Bengaluru.

The I-T department had accused Shivakumar and his alleged associate S K Sharma of transporting a huge amount of unaccounted cash on a regular basis through ‘hawala’ channels with the help of three other accused.

(With inputs from agencies)