The order, that came as a blow to the 66-year-old AIADMK chief and shocked her supporters outside, was delivered by Justice A V Chandrashekhara despite the Special Public Prosecutor Bhavani Singh saying he had no objections to grant of conditional bail to her.
There "are no grounds" to give bail to Jayalalithaa. Corruption amounts to "violation of human rights" and leads to economic imbalance, the judge observed in his order delivered in a packed court room amidst tight security in the court complex.
The judge said corruption had become a "serious malady in human history" and noted that the Supreme Court has repeatedly directed that graft cases should be disposed of on top priority basis.
He also held that there is no reason to extend the benefit of suspension of sentence to the four accused, including Jayalalithaa.
The SPP had earlier filed objections to suspension of the sentence and bail in writing but today told the court during hearing that conditional bail could be granted to Jayalalithaa and three others.
As word of the SPP's stance spread, celebrations broke out among delirious AIADMK supporters near the jail and the court as they burst crackers and danced in joy. But the celebrations were shortlived, giving way to a state of shock when the verdict was out. Women supporters wailed while some men laid themselves flat on the road.
"My client will take a call," senior counsel Ram Jethmalani, who appeared for Jayalalithaa, told PTI, after the verdict when asked whether they will approach the Supreme Court.
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