65-year-old Prasad, who was elected from Saran in Bihar, stands disqualified for a total of 11 years - five years of jail term and six years subsequent to his release, according to a notification issued by Lok Sabha Secretary General S Bal Shekar.
Prasad, former Bihar Chief Minister and Union Railways Minister, was sentenced by a Jharkhand court earlier this month to five years in prison with a fine of Rs 25 lakh.
He too was sentenced to four years imprisonment in the fodder scam case.
The Election Commission has also been intimated about the disqualification and the subsequent creation of vacancies in the Lok Sabha.
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The disqualification of Prasad and Sharma is the second case of MPs losing their membership since the Supreme Court struck down on July 10 a provision that protects a convicted lawmaker from disqualification on the ground of pendency of appeal in higher courts.
The first disqualification from Parliament came yesterday when 66-year-old Masood, a Congress member of the Rajya Sabha, was held guilty in a case of corruption and other offences in September.