Raut was arrested on August 1 by the Enforcement Directorate in connection with the money laundering case related to a housing project in suburban Goregaon.

Raut was arrested on August 1 by the Enforcement Directorate in connection with the money laundering case related to a housing project in suburban Goregaon.

Raut was arrested on August 1 by the Enforcement Directorate in connection with the money laundering case related to a housing project in suburban Goregaon.

Mumbai: Shiv Sena (Uddhav Balasaheb Thackeray) Rajya Sabha MP Sanjay Raut walked out of Mumbai's Arthur Road jail on Wednesday evening, hours after a special court granted him bail in a money laundering case.

He was arrested on August 1 by the Enforcement Directorate (ED) in connection with the money laundering case related to a housing project in suburban Goregaon. At around 5 pm, Raut's legal team dropped his bail order into the Arthur Road jail box and at about 6.50 pm, the Shiv Sena (UBT) leader stepped out of the prison, where he had spent more than three months.

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A large number of supporters of the Rajya Sabha member, who had assembled outside the jail, burst into celebration as soon as he walked out of the jail and raised slogans hailing him. Firecrackers were set off near the jail in central Mumbai by Raut's supporters.

The arrest of Shiv Sena MP Sanjay Raut in a money laundering case by the Enforcement Directorate (ED) was illegal and a "witch-hunt, a special court here said on Wednesday while granting him bail in the Patra Chawl redevelopment matter.

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It also questioned why the main accused in the case, Rakesh and Sarang Wadhawan of real estate firm HDIL, were never arrested by the ED.

Further, the reason the agency did not arrest concerned officials of MHADA and other government departments was "nothing, but conveying a message to then Union agriculture minister and then (Maharashtra) chief minister, creating a fear psyche in their mind that they are the next in this queue," the judge said.

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The Wadhawans were arrested and could not secure bail to date in many other cases filed by the ED.

However, in the instant case considering the major role attributed to them which they have also admitted, yet ED has not arrested and allowed them to be scot free, for the reason best known to them(probe agency), the judge said.

The ED arrested Pravin Raut purely for a "civil dispute" and Sanjay Raut for "no reasons", it said.

The court referred to the statement of a witness Chandan Kelekar who alleged there were two meetings regarding the redevelopment which were attended by then Union Agriculture Minister (Sharad Pawar) and then Maharashtra Chief Minister; and this formed the basis for a supplementary complaint.

In 2008, MHADA, a government agency, assigned a redevelopment contract for the Chawl to Guru Ashish Construction Private Limited (GACPL), a sister company of the Housing Development and Infrastructure Ltd (HDIL). The GACPL was supposed to build 672 flats for the tenants and also give some flats to MHADA. It was free to sell the remaining land to private developers.

But the tenants did not get a single flat in the last 14 years as the company did not redevelop the Patra Chawl and sold land parcels and Floor Space Index (FSI) to other builders for Rs 1,034 crore, as per the ED.