Awhad said the money was transferred not from Mulla's personal account as reported by media, but from a construction firm in which he, Mulla and two others are business partners.
Mulla and three other corporators from Thane are accused of abetting suicide of Parmar who had shot himself on October 7. His suicide note alleged that a nexus of corporators and officials was harassing him for bribes.
Public prosecutor Raja Thakare, while opposing the bail pleas, told the HC that one of the accused had transferred over Rs one crore to the account of an NCP MLA and all financial transactions need to be probed.
"The transactions were official and there was nothing wrong in them," Awhad stated in a release.
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"The company got the contract to develop a property in Kalyan after complying with all conditions. However, it took four years for us to obtain occupation certificate for the said work. As a partner of M/s Dream Home, I received certain amount which I am not denying," Awhad stated.
However, he did not disclose the exact amount he received as a business partner.
"The money was given to me by Dream Home company and not from the personal account of Najeeb Mulla. Even Income Tax department is aware of it (transaction)," he claimed.
"There have been monetary transactions but only through the business house and there is not a single personal transaction (with Mulla)," he added.