The Enforcement Directorate claimed before the Delhi court on Monday that if released on bail, Congress leader D K Shivakumar may influence the persons who are in the knowledge of his "grave offence" of money laundering and are yet to be examined.
Opposing Shivakumar's bail application, ED told Special Judge Ajay Kumar Kuhar that the investigation was at a crucial stage and the release of the politician may destroy the important evidence.
The court is likely to hear arguments on the bail application tomorrow, when Shivakumar, arrested on September 3 by the ED, will be produced on expiry of his custodial interrogation.
The ED had in September last year registered the money laundering case against Shivakumar, Haumanthaiah, an employee at the Karnataka Bhavan in New Delhi, and others.
It had filed the PMLA case against him and others based on a charge sheet (prosecution complaint) filed by the Income Tax Department against them last year before a special court in Bengaluru on charges of tax evasion and hawala transactions worth crores of rupees.
The I-T department has accused Shivakumar and his alleged associate S K Sharma of transporting huge amount of unaccounted cash on a regular basis through 'hawala' channels with the help of three other accused.