The police team investigating the case, last month questioned a few Catholic priests and based on their statements, arrested Aditiyan, an engineer.
It was after Aditiyan's custodial interrogation that the police turned towards the two priests for questioning. The police was pushing for the custody but on Tuesday, the Ernakulam Sessions Court granted them bail.
The prosecution now plans to approach the Kerala High Court against the Sessions court decision.
The Cardinal has not yet commented on the case.