KATHMANDU: The Supreme Court on Friday has ordered the Commission for Investigation of Abuse of Authority to release the suspended Director General of Inland Revenue Department Chuda Mani Sharma from its custody on general date.

A full bench of justices Deepak Raj Joshi, Deepak Kumar Karki, Kedar Prasad Chalise, Sharada Prasad Ghimire and Anil Kumar Sinha made the decision today responding to a habeas corpus writ petition filed by Kalpana Upreti Sharma, wife of suspended IRD chief.

Kalpana has argued that Chudamani Sharma's detention was illegal and the bail amount sought by the CIAA was too high.

However, the further hearing on the writ will continue at the Special Court after his release.

CIAA had arrested Chuda Mani Sharma on June 2, accusing him of embezzling revenue by exempting huge taxes to big business houses for mutual benefits as a member secretary of erstwhile Tax Clearance Commission.

The anti-graft body then filed a case against the controversial Tax Settlement Commission chairman Lumbadhwaj Mahat, Umesh Dhakal and Chuda Mani Sharma as its members at the Special Court on July 16 accusing them of embezzling more than Rs 11 billion. Meanwhile, Mahat and Dhakal are at large.

Earlier, the CIAA had asked Sharma to post Rs 3 billion in bail.