The High Court was approached last week by the Enforcement Directorate - which arrested Mr Kejriwal in the liquor policy case and sought to challenge a lower court's bail order for the Chief Minister. New Delhi: Arvind Kejriwal will remain in jail after the Delhi High Court, on Tuesday afternoon, upheld its interim stay on a lower court granting the Chief Minister regular bail in the alleged liquor policy case. The High Court argued that the lower court - Delhi's Rouse Avenue Court - "didn't apply its mind" when granting bail and pointed to what it said were lapses in judgement. These included not giving the prosecution enough time to argue the application and failing to properly discuss conditions for release in the Prevention of Money Laundering Act, under which Mr Kejriwal was charged. "Averments and allegations made in the main petition (in which the prosecution challenged Mr Kejriwal's bail order) require due consideration...," the High Court said, declaring the lower court had also failed to "discuss the vicarious liability of Arvind Kejriwal under Section 70 of the PMLA". Arvind Kejriwal Bail Hearing Live Updates | AAP Boss To Stay In Jail "This court has (therefore) decided that the vacation judge (in the Rouse Avenue Court, Niyay Bindu) did not appropriately appreciate material on record and the averments of ED," the High Court said. "Accordingly, the application is allowed and operation of the impugned order is stayed." The focus now shifts to the Supreme Court and a hearing scheduled for Wednesday. ED Had Moved High Court On Bail The High Court had been approached last week by the Enforcement Directorate - the federal agency that arrested the AAP leader in March in connection with the liquor policy case. The ED filed a last-gasp petition challenging a city court's regular bail order, which it called "perverse" and "flawed". The High Court heard both sides and then directed an interim stay on Mr Kejriwal's release pending its full verdict today. On Monday Mr Kejriwal moved the Supreme Court against that interim stay. The Supreme Court refused immediate relief to the Delhi Chief Minister, noting it would be improper for it to intervene when the High Court had reserved its judgement.