While rejecting Masood's bail application, Justice R C Chavan accepted the Enforcement Directorate's (ED) contention that it was a Rs 500 crore scam and that Masood had not appeared before the agency for questioning despite being issued summons.
The court held that prima facie a case was made out against the accused and that investigation was still on and the accused could not be granted bail.
Masood was arrested by ED on December 16 last year.
Masood's companies - City Limousines and City Realcom - had floated various schemes luring investors across the country by promising 48 per cent return on their investments.
In 2009, the company shut operations and more than 42,000 cheques issued by the company to investors were dishonoured. Over 20 FIRs have been registered against the company in Mumbai, Karnataka, Rajasthan, Andhra Pradesh and Delhi for criminal conspiracy, cheating and breach of trust.
Masood was booked by ED under Prevention of Money Laundering Act as he was found to have invested the proceeds of crime in properties in India and abroad.
