Justices V M Kanade and P D Kode were hearing a petition filed by CBI seeking to take over the probe in the land grab case on the ground that it could be related to the activist's murder.
CBI, which is probing the murder of the RTI activist, had approached the government in March this year saying they should be allowed to take over the probe in Shetty's complaint against Mhaiskar.
"CBI has sought permission to conduct a fresh probe, saying that the investigation by the local police is faulty," argued CBI counsel Hiten Venegaonkar.
The government has been informing the high court that they would soon decide whether the case should be handed over to the central agency. The government pleader today sought some more time as the government has still not decided whether to hand over the probe to CBI.
Not satisfied with this, the judges said they are asking CBI to re-investigate the case.
Shetty had alleged land acquired by the government for the Mumbai-Pune expressway, for which compensation was paid, was re-sold by the original owners to Aryan Infrastructure and Investment -an IRB Group company.
However, the local police filed a closure report in September 2011 saying the police did not find any evidence to substantiate Shetty's allegations.
The high vourt had set aside the closure report and asked the Judicial Magistrate First Class to consider the same afresh. The JMFC set aside the closure report in March and asked the local police to conduct a fresh investigation. However, once again the police closed the case.
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