From The Times of India this story.

NEW DELHI: Shahid Bilal, accused of masterminding the twin blasts in Hyderabad, was reportedly killed by ISI in Karachi on August 30.

According to Indian intelligence sources, Bilal was shot dead primarily because he had overstepped his brief. By acquiring a strong media profile, Bilal's actions, particularly in masterminding terror operations, was slowly squeezing the deniability argument ISI has maintained for years while overseeing terror activities in India.


In other words, killed by Pakistanis not because he was a terrorist, but because he had become too high profile and therefore had to be eliminated by the Pakistani intelligence service before his connections to them became obvious. This is the Indian take. The truth . . .hard to tell in this shadowy world, but certainly plausible.