A bench comprising justices P C Ghose and Amitava Roy set aside the order and observed that since charge sheet has been filed in the case, accused are at liberty to move the trial court for grant of regular bail.
"The High Court order is set aside and liberty granted to the accused persons to move to trial court for regular bail. The trial court without taking into account any observations made in the present case by the court shall look into the matter," the bench said.
The apex court had on September 16, 2015, stayed the execution of the order of the Karnataka High Court granting bail to the accused.
The four accused includes former state Lokayukta PRO Syed Riyazatullah, who was granted bail on September 8 by the High Court. Karnataka Special Investigation Team (SIT) which is investigating the case had moved the apex court seeking cancellation of bail.
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The SIT had filed charge sheet against six persons, including former Lokayukta Y Bhaskar Rao's son Ashwin Rao alias Ashwin Yarabatti.
According to the chargesheet, Syed Riyazatullah, who was suspended from his post of PRO of Lokayukta soon after his arrest, is the main accused while a mediator Ashok Kumar is the second accused and Ashwin Rao is the third.
Other accused includes V Bhaskar, Shankare Gowda and Srinivasa Gowda.