District judge V V Bambarde rejected special public prosecutor Raja Thakre's plea seeking a five-day extension in police custody of the corporators who have been booked for abetment to suicide.
Thakre requested the court that police had to probe the trail of illicit funds allegedly received by the four and transactions executed by them including deposition of funds in their bank accounts.
He said police also needed to verify the claims of some people who have accused the four of harassment but the court rejected his demand for extension of police custody.
Parmar, a leading builder, had shot himself on October 7. His suicide note alleged that a nexus of corporators and officials was harassing him for bribes.
Thane Police had registered a case of abetment of suicide under IPC and criminal misconduct under Prevention of Corruption Act as the suicide note allegedly named these four corporators.
Arguing against police custody, defence counsel Sujit Pasbola submitted that the corporators had complied with the HC's order and co-operated with the investigating agency.