Shiva, seeded fifth in the lightweight 60kg category, was to take on Georgia's Otar Eranosyan in his second-round bout after being given a first-round bye.
However, weakened by food poisoning and high fever, he was for forced to give a walkover in what would have been his opening bout.
"He was throwing up last night and this morning, he was running high fever as well. He couldn't have fought, his body was not holding up. We tried to do everything but he was very weak," an Indian team official told PTI.
Also making an exit from the tournament was Manoj Kumar (69kg). The former Commonwealth Games gold-medallist went down in a split verdict to fourth-seeded Venezuelan Gabriel Maestre Perez.
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Perez had won a bronze in the 2013 World Championships and he is also a Pan-American Games gold-medallist.
The 31-year-old Manoj gave it his all and matched up to his higher-ranked rival quite well but could not get the judges' nod.
However, Gaurav ensured that India had something to celebrate. He got the better of Ukrainian Mykola Butsenko in an exhausting pre-quarterfinal bout late last night.
The two boxers attacked each other relentlessly and expectedly the judges came out with a split verdict in favour of the Indian.
However, third seed and 2011 World Championships bronze-medallist Vikas Krishan (75kg) was ousted after a second-round loss. He bowed out after being bested by England's Benjamin Whittaker.
Also making an early exit was Asian silver-medallist Sumit Sangwan (91kg) who lost to Australia's Jason Whateley in a split decision.
Krishan, the two-time Asian Games medallist looked sluggish against his 19-year-old rival, who has been nicknamed 'The Future' in his country for the potential he has shown.
Whittaker's stronger legs helped him glide smoothly inside the ring, even as Vikas struggled to keep his balance after every attempted attack at the Englishman.
The Haryana-boxer did manage to hold his own in the first two rounds but Whittaker out-punched him comprehensively in the final three minutes to clinch a unanimous verdict in his favour.