Wandsworth prison in London has admitted that two inmates were wrongly released in the last week.
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One of them, Algerian national Brahim Kaddour Cherif, is a registered sex offender and had previously been held at a secure immigration removal centre.
MPs said news of another mistaken release was "utterly unacceptable".
While the Conservatives accused Deputy Prime Minister David Lammy of hiding the truth as he appeared to dodge questions about it in the Commons.
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