A Central Bureau of Investigation court on Thursday denied interim anticipatory bail to Kadapa MP Y S Jagan Mohan Reddy in connection with the alleged disproportionate assets case pending against him.

In view of the investigating agency summoning him to appear before it on Friday, Jagan moved the court seeking anticipatory bail through his counsel, while expressing apprehensions that the CBI's move is solely aimed at arresting him and smacked of "ulterior motive". He alleged that the probe agency was "misusing" its power.

Jagan's counsel Sushil Kumar argued that the FIR in the case was lodged in August last year and his client was never summoned in over nine months since then.

"What is the urgency when he (Jagan) is going to appear before the court on May 28 in connection with the summons issued against him by the CBI court after the chargesheet was filed against him in the case. They (CBI) issued notices only yesterday (Wednesday) to appear before them. My apprehension is that I may be arrested by the CBI. It appears that the CBI has an ulterior motive as the campaigning for the by-elections is at its peak and my client is a politician of high standard," Jagan's counsel said in the petition.

The petition further said that the "17 MLAs were disqualified for supporting me and by-elections are necessitated on account of disqualification".

"There is no need for interim anticipatory bail if the CBI gives an undertaking that Jagan will not be arrested. Let them call me after June 15 and I sought time in this regard but the CBI has not accepted the same and there seems to be some mischief," the defence counsel submitted.

Opposing the bail plea, the CBI said that the interrogation of industrialist Nimmagadda Prasad has brought to fore some "new facts" in connection with the Vanpic project and Andhra Pradesh Excise Minister Mopidevi Ventata Ramana has also been questioned in this regard.

"We need to confront Jagan on the same issue," said the CBI Deputy Legal Advisor B Ravindranath, while seeking dismissal of Jagan's plea for anticipatory bail. He further said that the presence of an accused was necessary during argument for anticipatory bail.

After hearing the arguments from both sides, the court dismissed Jagan's interim anticipatory bail plea and called for a counter from the CBI and posted the matter for May 28.