Mumbai, March 3: Special PMLA court on Thursday extended the Enforcement Directorate (ED) custody of Maharashtra minister and NCP leader Nawab Malik till March 7 in connection with Dawood Ibrahim money laundering case.

Defence lawyer Amit Desai hitting out at the ED, argued in the court that the agency has said today that the "terror funding" by the Minister to Haseena Parkar was Rs 5 lakh as against Rs 55 lakh in the first application, which was due to a "typing error". Nawab Malik Arrested: West Bengal CM Mamata Banerjee Speaks to NCP Chief Sharad Pawar.

"On the front page of today's remand application, it is written that it is a continuation of the previous remand application. The last time the ED told the court that there was a connection between Nawab Malik and the underworld gang. It was said that he had an active involvement in terror funding," he said.

"It was called a terror fund by accusing him of funding Haseena Parkar Rs 55 lakh. But today ED says that last time Rs 55 lakh was a typing mistake and it is only Rs 5 lakh, but on the basis of this application, he was sent to ED's custody," the lawyer said.

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He said that the matter has been challenged in the High Court and it is only in the hand of the court to decide if Malik should be granted bail or not.

Notably, High Court would hear Malik's plea on March 7, the day on which his ED remand comes to an end and he would be produced again in the PMLA court.

"We have challenged this matter in the High Court also. On reading the remand application, what I had said at the time of the last hearing is proving to be true. Now it is only in the hands of the court whether he should be granted bail or not," he said.

Prosecution lawyer, Anil Singh, putting forward his arguments in the court said that due to Malik's deteriorating health and his hospitalization, the ED was unable to conduct the inquiry and custody was needed.

"Nawab Malik had to be hospitalized for some time due to deteriorating health amid ED custody, due to which a complete inquiry could not be done. Six days remand was sought by ED. No inquiry could be held till February 28. There are statements of many people in this matter who have connections with Dawood's sister, brother and other people. One accused is also in jail. We have recorded the statements of some other people in this matter," he said.

He said the statement of Haseena Parkar's son and an accused currently in jail has been submitted to the court.

"We have submitted the statement of Haseena Parkar's son to the court. Besides this, the statements of the accused, who is in jail, have also been submitted. In the money laundering case, along with the interrogation of many people, the information and investigation of the transactions are yet to be done," Singh said.

"Due to ill health, the entire inquiry could not be done. The new information that has come further has to be investigated. So six days of custody are needed," the lawyer added.

Earlier in February, the ED conducted raids at the residence of Dawood Ibrahim's sister Haseena Parkar in Mumbai in connection with the money laundering case.

Searches were carried out by the ED at several places linked to people associated with the underworld in Mumbai, informed sources said.

Meanwhile, Bharatiya Janata Party has demanded the resignation of the Malik but the Maha Vikas Agadhi (MVA-- comprising Shiv Sena, Congress and NCP) government has rejected the demand.

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