An Indian hospital that mistakenly declared that a newborn baby dead has lost its license.

Last week, the Max Super Speciality Hospital in Shalimar Bagh, New Delhi, wrongly pronounced a newborn baby dead, two hours after he was born. His twin sister was declared stillborn.

On the way to the cremation, the family discovered that the baby boy was still breathing.

The boy's shocked grandfather Praveen Malik told CNN that they noticed "some movements" inside the bag containing the babies' bodies.

"When we opened the bag, we found the boy breathing. I was shocked. I couldn't believe my eyes," Malik said.

The boy was moved to the Delhi New Born Center but could not be saved. He died from multiple organ failure on Wednesday morning (6 December).

Malik said the entire family was devastated and called for the hospital to be held accountable for the boy's death.

"Our final demand with the government, with the world, is that we need justice," he said.

On Friday (8 December), the Delhi government withdrew the private hospital's license.

"Delhi is India's capital and as the capital, we have to be exemplary. What happened in this case is unacceptable," health minister Satyendar Jain said at a press conference.

Jain said current patients would be offered further treatment but that the hospital would not be accepting new patients.

Max Healthcare, the company that owns the hospital, criticised the ruling. "We believe that even if there is an individual error of judgment, holding the hospital responsible is unfair and will severely limit the ability for patients to access treatment," the company said in a statement. "This will compound the shortage of hospital facilities in the National Capital."