The bail was granted upon a bond of Tk 1 lakh with two guarantors. Dhaka Metropolitan Sessions Judge Matiur Rahman also relieved the AL chief of the obligation of court appearance during hearings.

Recently elected President of the Federation of Bangladesh Chamber of Commerce and Industries (FBCCI) Abdul Awal Mintoo, one of six people accused in the case, was also granted bail. Mintoo's Trans World Engineering and Trading Company Limited assisted in the DW 2000H frigate purchase from South Korea's Daewoo Corporation.

Four other accused had already been granted bail. They are former chief of staff of Bangladesh Navy Rear Admiral (retd) Nurul Islam, former assistant chief of staff (Operations) of Bangladesh Navy Commodore (retd) AKM Azad, former director (Naval Plan) Commodore (retd) Haroon-or-Rashid and Commodore (retd) M Shahabuddin. Their bails were extended until the next hearing on September 22.

The Bureau of Anti-Corruption (Bac) filed the case against the accused with Tejgaon Police Station on August 7 last year on charges of misappropriation of public money and misuse of power in sealing the deal at a price higher than quoted by the lowest bidder. Bac Inspector Mir Mohammad Joynal Abedin Shiblee filed the case.

Daewoo, which was the fourth lowest bidder quoting $99.97 million, was awarded the contract that resulted in a loss of Tk 511.17 crore of public money, the case alleged.

After a yearlong investigation, Bac submitted the charge sheet to the Chief Metropolitan Magistrate (CMM)'s Court, Dhaka on August 3.

Barrister Rokanuddin Mahmud moved the bail petition for Sheikh Hasina, aided by Barrister Shawkat Ali Khan, senior advocates Rahmat Ali MP, Shahara Khatun, Rezaur Rahman, Mokhlesur Rahman Badal, Abdur Rahman Howladar and former law minister advocate Abdul Matin Khasru.

Rokanuddin told the court that the decision to buy the frigate had been taken in an inter-ministerial committee meeting, presided over by former prime minister Sheikh Hasina.

"There was no allegation against her (Sheikh Hasina), either in the first information report (FIR) or the charge sheet, of making any personal gain or taking the decision herself."

Metropolitan Public Prosecutor Abdullah Mahmud Hasan did not object to the bail petition for Hasina.

Advocate ABM Sharfuddin Khan Mukul moved the bail petition for Abdul Awal Mintoo.

After obtaining bail, Hasina told a gathering at the court premises that the government had framed her in the graft case to malign her before the public and to thwart the AL's anti-government movement.

She also dismissed the allegation of loss of public money due to the frigate purchase deal. "We were right in the buying the frigate to safeguard the country's maritime territory and there was no lack of transparency in the purchase. Rather, we saved public money," she claimed and urged all to unite against the "corrupt" and "tyrant" government.

Senior AL leaders Zillur Rahman, Tofail Ahmed, Abdur Razzak, Obaidul Quader, Saber Hossain Chowdhury, Mohammad Nasim, Sultan Mohammad Mansur, Ashim Kumar Ukil and AL General Secretary Abdul Jalil were present.