Sri Vijaya Puram, July 30: In a significant development in the Enforcement Directorate’s (ED) money laundering case linked to the alleged financial irregularities at the Andaman and Nicobar State Cooperative Bank (ANSCB), former Member of Parliament Kuldeep Rai Sharma on Monday withdrew his bail application before the Circuit Bench of the Calcutta High Court at Sri Vijaya Puram, with the Court granting him liberty to file a fresh plea after the supplementary chargesheet is submitted.
The matter, registered as CRM (SB)/7/2026, came up before Justice Partha Sarathi Sen on July 27.
Appearing for the petitioner, advocate Mohammed Tabraiz submitted that Sharma wished to withdraw the present bail application and sought permission to file a fresh application after the investigating agency files its supplementary chargesheet.
Counsel for the Enforcement Directorate, advocate V.D. Sivabalan, did not oppose the prayer.
Accepting the request, the Court disposed of the bail application as withdrawn and granted liberty to the petitioner to approach the Court afresh after the supplementary chargesheet is filed. Justice Partha Sarathi Sen also clarified that the Court had not made any observations on the merits of the case while allowing the withdrawal.
The latest order marks a change in legal strategy after Sharma’s earlier bail plea was rejected by the High Court in February this year in connection with the ED investigation under the Prevention of Money Laundering Act (PMLA).
At the time, the High Court had held that the stringent twin conditions for grant of bail under Section 45 of the PMLA were not satisfied. The Court had observed that the prosecution had placed prima facie documentary material supporting the allegations and had also taken note of concerns that Sharma, owing to his political position, could influence witnesses if released on bail.
The Enforcement Directorate has alleged that loans worth nearly ₹11.60 crore were fraudulently sanctioned through shell companies during Sharma’s tenure as Vice Chairman of ANSCB and that multilayered fund transfers amounting to several crores, including around ₹41 crore allegedly routed to him or his associates, formed part of the money laundering investigation. Sharma has consistently denied the allegations, maintaining that he has been falsely implicated and that he had no independent authority to sanction loans.
Earlier proceedings in the case had also seen the High Court grant medical bail to former ANSCB Managing Director K. Murugan after considering his deteriorating health condition, while Sharma’s case continued to remain under judicial scrutiny.
With the withdrawal of the present bail application, Sharma is now expected to move a fresh bail plea after the Enforcement Directorate files its supplementary chargesheet, which is expected to form the next significant stage in the ongoing investigation into the alleged ANSCB financial irregularities.
