Harare Magistrate, Mr. Donald Ndirowei deferred the ruling yesterday.
Mukandi through his lawyer, Mr. Nickel Mushangwe, had argued that the warrant of arrest was not issued properly.
However, the state indicated that the warrant was given in terms of the law and urged the court to dismiss the application.
It is the state case that between 1996 and 1998, Mukandi connived with his workmates Rick Mubvumbi, former Chief Transport Officer, David Nyabando former Chief Administration Officer and a businessman Mohamed Ahmed Meman to defraud the CIO of millions of Zimbabwe dollars which were meant to build 5 low density houses for the organisation.
Mukandi has been on the run for more than a decade before he was deported by Canadian authorities.
He was arrested at the Harare International Airport soon after arrival.