Wani had on November 14 moved the court seeking bail saying a 2010 trial court judgement clearing him of terror funding charges in a 2005 case, based on which the money laundering case was lodged in 2007, was confirmed by the Delhi High Court on October 31.
However, Additional Sessions Judge Sidharth Sharman refused to grant relief to Wani who claimed that he was wrongly implicated in the case.
The Enforcement Directorate had in September filed a charge sheet against Wani and Shah, whose bail application in the case was also dismissed on August 22.
The ED action against the two was in pursuance of an August 2005 case in which the Delhi Police's Special Cell had arrested Wani, who is alleged to have claimed he had passed on Rs 2.25 crore to Shah.
In 2010, a Delhi court had cleared Wani of terror funding charges but convicted him under the Arms Act. The ED had registered a criminal case under the Prevention of Money Laundering Act against Shah and Wani.
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