He was 83.
Khan, a hero of 1965 Indo-Pakistan War, was MoS Agriculturein the P V Narasimha Rao government. He is survived by his wife and two daughters, family sources said.
He was awarded Vir Chakra for his efforts during the 1965 war.
Leader of Opposition Rameshwar Dudi and former Chief Minister Ashok Gehlot condoled Khan's death.
"Famous for his valour in the 1965 Indo-Pak war also served as a Central minister. His services as a soldier and as a public representative will always be remembered," Gehlot said in his condolence message.
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