CBI and the state police told a bench headed by Justice A R Dave that Teesta was not cooperating with the investigation and the couple was also not supplying relevant documents relating to how the funds were spent.
The court turned down a plea by senior advocate Kapil Sibal, who recalled that the same two-judge bench had on September 11 extended their interim bail till October 15.
The two had approached the court after the Detection of Crime Branch (DCB), Ahmedabad city, froze their bank accounts for alleged embezzlement of funds.
On the allegations of receiving foreign funds, the court had said, “Prima facie, after going through the submission of the prosecution. it appears there may be some kind of misuse of the amount.”
The couple have denied all charges levelled by the Gujarat Police, which alleged that they had misappropriated funds meant for charity.
The Home Ministry said exercising the powers conferred under Foreign Contribution (Regulation) Act, the registration of Sabrang Trust has been suspended for a period of 180 days with effect from September 10, 2015.
The Bombay HC granted anticipatory bail to activist Teesta Setalvad and her husband Javed Anand booked by the CBI under the FCRA for allegedly collecting foreign funds.
The CJP is alleged to have violated various provisions of the Foreign Contribution Regulation Act (FCRA).
Teesta Setalvad and her husband were apprehending arrest by the Economic Offences Wing of the Central Bureau of Investigation (CBI) on allegations of embezzlement.
The statement was issued by Setalvad after Gujarat police filed an affidavit in the Supreme Court.
The courts must step in when governments persecute individuals like Setalvad.
The police said Teesta and her husband “misappropriated” funds meant for charity for personal expenses ranging from wine, earbuds to expensive mobile phone besides tampering with evidence.
The Gujarat-based activists have alleged that the BJP-led central government was misusing CBI to harass Teesta Setalvad.
Setalvad and her husband on Monday recorded their statement before CBI in connection with a case against their firm for allegedly receiving around $2.9 lakh in foreign donations in violation of FCRA.
On July 14 CBI had carried out raids at Teesta Setalvad’s office and residence in Mumbai.