"The court has rejected anticipatory bail applications of Mehul Shah, Sanjay Shah and Atul Shah," public prosecutor Kalpana Chavan said.
A case was registered against them in September last year after a complaint was lodged by Indur Chaudhary, owner of Art Advertising and Marketing Private Ltd and father of Bollywood actor Ashish Chaudhary.
In the complaint, Chaudhary had alleged that some of his former employees diverted funds and hijacked some of his clients to their own advertisement firm.
According to Chaudhary, his former employees signed a memorandum of understanding to compensate him for losses incurred because of them but subsequently, they refused to honour the commitment.
Immediately after their bail was rejected, the trio was arrested and the local magistrate's court remanded them in police custody until February 25.
Those arrested have moved a bail application saying that it was a civil transaction and criminal proceedings cannot be initiated against them.