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Laloo Yadav had been imprisoned in connection with a conspiracy angle case of the multi-crore fodder scam.
The court of designated CBI judge H C Mishra ordered his release in case no Rc 47 (a) of the fodder scam.
The Supreme Court had granted bail to both Laloo and another former Bihar chief minister, Jagannath Mishra, in this case on December 14.
The special CBI court ordered the release of Yadav as there was no custody warrant against him in any other case of the fodder scam, Laloo's counsel Chittaranjan Prasad Sinha said.
The Rashtriya Janata Dal (RJD) chief had been sent to judicial custody by the special CBI court on November 26 after rejection of his bail plea.
Laloo Yadav, meanwhile, arrived in Ranchi to make a personal appearance in the court of designated CBI judge P R Das on Thursday in yet another conspiracy angle case of the fodder scam.
The case Rc 20 (a) is related to fraudulent withdrawal of over Rs 320 million from Jharkhand's Chaibasa treasury.
A total of 54 people, including Laloo, have been named accused in the case out of which three have died and one has turned approver, Sinha said.
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