Salem moved the bail application before the court of Chief Metropolitan Magistrate Vinod Yadav.
Salem's counsel M S Khan told the court that he (Salem) should be granted bail as he has already spent over five years in jail even as the law provides for a maximum punishment of seven years for the offence of extortion.
Public Prosecutor Rajiv Mohan, however, opposed his bail plea on the ground that Salem played a major role in the extortion nexus even while being outside the counrty.
The court has asked the Special Cell of Delhi Police to file a reply to Salem's bail application.
Meanwhile, the prosecution witnesses to be examined today did not turn up in the court.
Salem was extradited from Portugal in 2005 to face trial in eight cases, including the 1993 Mumbai serial blasts.
He is currently lodged in Taloja jail in Mumbai.