Acting chief metropolitan magistrate Abhranil Niyogi at Bankshall Court granted bail to Nandi after the prosecution lawyers said they did not need his custody anymore.
Nandi, whose arrest had led to a hue and cry, expressed happiness and relief after being released from custody.
"Prima facie we are suspecting that someone or a group was trying to set the Writers' Building on fire," state Home Secretary Basudeb Banerjee had told reporters on November 29, when kerosene oil was found on some files in the Home (Publication) department office at Writers' Buildings.
Nandi was arrested from his home at Serampore in Hooghly district on December 2 and was charged under sections 436 (mischief by fire or explosive substance with intent to destroy a house) which invites a punishment of upto life imprisonment if found guilty, 511 (attempting to commit offences punishable with imprisonment for life) and 34 (common intention) of IPC.
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Nandi had been remanded by the Chief Metropolitan Magistrate's Court to police custody till December 6.
He had no intention to set the building on fire, Nandi had pleaded before the interrogators.
Appearing for Nandi, counsel Shahid Imam told the court today that section 436 of IPC cannot apply against him as there was no arson or fire at the Writers' Buildings.
The public prosecutor submitted before the court that no more interrogation of Nandi was needed and so did not require his custody anymore.