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The court in London issued the ruling Thursday.
Al-Masri is currently serving a seven-year prison sentence in Britain, after his 2006 conviction for inciting murder and racial hatred.
He was originally arrested in Britain on an extradition warrant from U.S. authorities in 2004. But that process was put on hold until his London trial ended and his appeals were exhausted.
U.S. officials accuse the cleric of aiding a 1998 hostage-taking in Yemen and of trying to set up a terrorist training camp in the northwestern U.S. state of Oregon. - VOA News