Justice Ajit Bharihoke, after hearing detailed arguments on the bail applications of the accused, said the order on their pleas would be pronounced later.
Senior advocate Altaf Ahmed, appearing for 43-year-old DMK MP and Sharad Kumar, contended that the transaction of Rs 200 crore from DB Group to Kalaignar TV was a valid loan transaction and their was nothing "dubious" about it.
"All the documents are in the custody of CBI and hence there is no point in keeping us in jail," Ahmed said.
Senior advocate and Special Public Prosecutor U U Lalit opposed their bail pleas saying the accused have attempted to create "smoke screen" by projecting the bribe trail of Rs 200 crore as a loan transaction.
"No contemporaneous documents were executed by any of the companies which were part of the money transaction. It was nothing but the transaction of the bribe amount," Lalit said.
The court had earlier issued a notice to CBI on the bail pleas of both the accused and asked the probe agency to file a status report detailing the stage of investigation and the judicial proceedings in the case.
Kanimozhi and Sharad Kumar had approached the high court on May 23 after their bail applications were dismissed by a special CBI court on May 20.