Australian prosecutors made factual errors during investigations into the case of Indian doctor Mohamed Haneef, who was cleared of terror charges in connection with the failed car bombings in the United Kingdom.

There were "errors of fact" made during the Australian Federal Police (AFP)-led investigation into the case, an official review released on Friday said.

Haneef, 27, was charged on July 14 with providing reckless support to a terror group after his arrest at the Brisbane airport on July 2. But he was released when the Commonwealth Director of Public Prosecution (DPP) withdrew its charge on July 27.

The prosecution against Haneef was abandoned when it emerged that his mobile SIM card was not found at the scene of an attempted bombing in Britain as alleged.

"The information from overseas about where the SIM card was located changed during the course of the rapidly evolving investigation and that change was not appreciated by the prosecutor at the time," a statement from Commonwealth DPP Damien Bugg said.

"The position in relation to the residence of Dr Haneef in the UK was based on material provided to the DPP. The DPP has learnt from this matter and will take further steps to ensure that advice is provided in accordance with the role of the DPP in situations such as this," it said.