Muhammad Usman Ghani, who is linked to the Lashkar-e- Taiba (LeT) and Lashkar-e-Jhangvi terror groups, is being held in Austria on charges of participating in a terrorist organisation, The Sunday Times said.
Read more from our special coverage on "ISIS"
The ISIS "strike team" sent to Europe before last November's Paris attacks included Usman, the veteran bomb-maker from Pakistan.
LeT was behind the Mumbai attack that left 166 people dead.
The disclosure comes from sources close to a multinational investigation who warn more "large-scale" assaults on European countries, including Britain, are "imminent". Dozens of the ISIS operatives are still at large, the report said.
Usman, 34, and a suspected Algerian ISIS fighter named as Adel Haddadi, 28, have been questioned by Austrian and French authorities after being linked to the terrorist gang that killed 130 people in Paris last November.
Investigators believe both men are part of an unknown number of Isis "strike teams" that used the migrant flow to infiltrate Europe last year. A network of jihadists based on the Continent has provided extensive logistic support, from fake identity documents to safe houses.
Usman and Haddadi arrived on the Greek island of Leros on October 3 on the same boat as two of the Paris suicide bombers, known only by the fake names Ahmad al- Mohammed and Mohammad al-Mahmod. The pair blew themselves up in front of the Stade de France stadium on November 13.
All four men had obtained Syrian passports and travelled on a boat carrying 198 people, according to a Greek police report.
Adel Haddadi has been linked to the Paris attacks Usman and Haddadi were travelling under the names Faycal Alaifan and Fozi Brahi.
They were arrested by Greek police soon after arriving because their documents showed up on the EU's database of nearly 4,000 passports that had been stolen by Isis.
Greek police released both men on October 28 and allowed them to continue the journey across Europe.
Shortly after the Paris attacks, Usman and Haddadi resurfaced in Austria, applying for asylum at the Asfinag refugee shelter, near Salzburg, in late November.
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