Read: Dr Haneef elated at "substantial compensation"
"The AFP (Australian Federal Police) acknowledges that it was mistaken and that Dr Haneef was innocent of the offence of which he was suspected," the apology read.
"The Commonwealth apologises and hopes that the compensation to be paid to Dr Haneef will mark the end of an unfortunate chapter and allow Dr Haneef to move forward with his life and career," it said, according to AAP report.
Citing the apology, Haneef's lawyer stated, "We congratulate the government for recognising an injustice done on the watch of the previous government and for this public apology and declaration of innocence."
"The apology means a lot to our client," added the lawyer.
Haneef was detained in Australia in 2007 for bomb scare in UK. The case had got a lot of media-attention after Haneef's work visa was cancelled and he was deported out of Australia.
(With input of PTI)