Leavitt, 32, faced Melbourne Magistrates Court on Wednesday as he sought to have more freedom while on bail for outstanding extortion offences.
But prosecutors pushed for further restrictions, asking the court to ban Leavitt from associating with Codee Staff - a man believed to be the new Melbourne chapter president of the Bandidos.
Leavitt had been allowed to communicate with Mr Staff because he was purportedly a worker at Leavitt's business, TCB Demolition and Construction.
But in documents filed with the court on Wednesday, police alleged Leavitt was only in contact with Mr Staff as a way to pass on messages to members of the Bandidos.
It was alleged Mr Staff's pay slips provided to the court were illegitimate, with police seeking further confirmation from the Australian Taxation Office.
Detectives have also raised "serious concerns" over a $30,000 payment which was flagged going from Mr Staff to the business and back out again within 24 hours.
"The funds moving in and out of both Mr Staff and TCB's accounts only indicate money laundering-type activity on face value," a police summary provided to media states.
The TCB business does not have a Victorian labour hire licence nor any authority to operate in the labour hire space, the court was told.
Yet the TCB business website outlined its services and the work it purportedly had conducted at hospitals and universities, court documents state.
Police also allege the purported Sunshine North address of the TCB business could instead be used as the clubhouse for the Melbourne chapter of the Bandidos.
Magistrate Malcolm Thomas said he had very real concerns over the allegations as he weighed up the two bail variation applications.
Defence barrister Christopher Terry ultimately withdrew his client's application, noting it was not a concession that Leavitt's business was illegitimate.
"We intend to come back to counter the allegations," he told the court.
Mr Thomas, who did did not make any findings in relation to the fresh allegations, granted the prosecution's application to prohibit Leavitt from associating with Mr Staff.
Leavitt is due to return to court on the extortion offences in June.
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