Minister of State for Home R P N Singh described "extremely unfortunate" the arrest of nine Muslim youth by Mumbai police and CBI initially in connection with the terror attack outside a mosque in the Maharashtra town.
Later, the government handed over the probe to the National Investigation Agency which found the alleged links of right wing groups.
"Malegaon investigation shows that the government's decision to hand over the case to NIA was correct. It was extremely unfortunate that innocent people were arrested and charged. We will take all necessary action to ensure this is not repeated," he told reporters here.
The youth, who were behind bars for five years, were released after NIA did not oppose their bail pleas.