The Enforcement Directorate ED arrested Shah on July 25 on charges of money laundering in a case dating back to 2005 where the Delhi Police Special Cell arrested hawala dealer Muhammad Aslam Wani.
Wani had reportedly confessed that he had passed on hawala money amounting to Rs 2.25 crore to Shah. The Enforcement Directorate had registered a criminal case against them under the Prevention of Money Laundering Act or PMLA.
The Enforcement Directorate arrested Wani, currently in judicial custody till August 31, on August 6.
In the 2005 case lodged by the Special Cell, the court acquitted co-accused Wani of the charges of criminal conspiracy and other offences but convicted him under the Arms Act.