High-resolution time of arrival (TOA) estimation techniques have great promise for the high range resolution required in recently developed radar systems.A widely known super-resolution TOA estimation algorithm for such applications, the multiple-signal classification (MUSIC) in the frequency domain, has been proposed, which exploits an orthogonal relationship between signal and noise eigenvectors obtained by the correlation matrix of the observed transfer function. However, this method suffers severely from a degraded resolution when a number of highly correlated interference signals are mixed in the same range gate. As a solution for this problem, this paper proposes a novel TOA estimation algorithm by introducing a maximum likelihood independent component analysis (MLICA) approach, in which multiple complex sinusoidal signals are efficiently separated by the likelihood criteria determined by the probability density function (PDF) of a complex sinusoid. This MLICA schemes can decompose highly correlated interference signals, and the proposed method then incorporates the MLICA into the MUSIC method, to enhance the range resolution in richly interfered situations. The results from numerical simulations and experimental investigation demonstrate that our proposed pre-processing method can enhance TOA estimation resolution compared with that obtained by the original MUSIC, particularly for lower signal-to-noise ratios.