The special CBI Court at Nampally in Hyderabad today dismissed the bail applications of the mining mafia don Gali Janardhan reddy and his brother-in-law BV Srinvasa Reddy.

This is third time the special judge Mr Naga Maruthi Sarma has dismissed their bail petitions. There are indications that both of them may again appeal for bail in the next few days. Arguments ran for hours today on behalf of the accused while the CBI counsel opposed the bail petitions.

The court has adjourned till Nov 28 hearing on the petition filed by the Income Tax officials seeking to hand over to them the cash seized by the CBI during the raids on the premises of Gali Janardhan reddy and Srinivasa reddy.

IT officials argued that Janardhan reddy owed to them income tax arrears and hence, the seized cash should be given to them.