MUMBAI: India has withdrawn a list of “most-wanted” fugitives being sheltered in Pakistan after the government was embarrassed to learn that at least two were in India - one of them in prison.

Feroz Abdul Khan, whose name featured on the list of 50 top criminals said to be living across the border, has been in custody in India's financial capital Mumbai for the last 15 months, his lawyer Farhana Shah told AFP.

Khan was arrested in connection with a shipment of arms and ammunition allegedly organised by underworld don Dawood Ibrahim before a series of deadly blasts in the city in 1993 that killed more than 250 people.

He is currently in the high-security Arthur Road jail awaiting trial, Shah added.

“It's criminal negligence and lack of co-ordination between the agencies,”the lawyer said of his client's appearance on the most-wanted list.

Shah said his client was arrested on February 5, 2010 and appeared in court on February 15. He was given police custody for 15 days then remanded in prison.

Mumbai Police “have not co-ordinated” with the federal Central Bureau of Investigation (CBI), Shah said.

The list was handed to Pakistan earlier this year but only made public last week as India sought to increase pressure on Islamabad in the wake of the death of al Qaeda chief Osama Bin Laden.

The latest error comes after it was revealed earlier this week that another man on the list, Wazhur Qamar Khan, was actually living on the outskirts of Mumbai.

He is currently on bail after being arrested in connection with the 2003 blasts in Mumbai's Zaveri Bazaar jewellery quarter and at the Gateway of India monument that killed 52 people.

The CBI has now taken down the list from its website pending revision.

India's Home Minister P. Chidambaram apologised and said he was satisfied that the mistake was a “genuine oversight”.

But the error could weaken India's claim that its neighbour and rival has become a haven for extremists plotting cross-border strikes.

The list includes the founder of the banned Islamist group Lashkar-e-Taiba, which India blames for the deadly 2008 Mumbai attacks, and Dawood Ibrahim, who is also on Interpol's “most wanted” list.