India has ordered a senior Pakistani diplomat to leave the country within 48 hours.
It comes a day after authorities accused him of funnelling money to separatists in Kashmir, an official says.
Sarna Navtej, a spokesman for the Ministry of External Affairs, says New Delhi has called on Pakistan to recall acting High Commissioner Jalil Abbas Jilani and four other High Commission officials.
Police in New Delhi accused Jilani of giving cash to two separatist politicians for subversive activities in Indian-controlled Kashmir.
The move is set to worsen relations between India and Pakistan.
Sarna told reporters the other three High Commission officials who were being asked to leave were Habibur Rehman, Aftab Ahmed, Abdul Razak and Mohammad Nazir. He adds the four are not diplomats.
Jilani has denied the accusation and Pakistan has called the allegations part of the "ongoing campaign of vilification against Pakistan."
AP