One of India's most wanted men, Abu Salem, has been jailed for four and a half years in Portugal for using false documents and resisting arrest.
India is seeking Salem and Bedi's extradition
Salem's companion, actress Monica Bedi, was also sentenced to two years in prison for using forged papers.
Authorities in India want to question Salem in connection with a series of bombings in Bombay (Mumbai) in 1993 and are seeking his extradition.
A Portuguese court is considering a request for Salem's deportation.
Kidnap and murder
Salem fled India after the bombings, in which more than 250 people died.
Authorities in India say Salem, an Indian Muslim, is a key associate of Indian crime lord Dawood Ibrahim, the country's most wanted man.
Salem is wanted for bombings in Bombay
Mr Ibrahim is also suspected of involvement in the bombings, believed to have been carried out in revenge for the deaths of hundreds of Muslims in riots the previous year.
Salem has denied any part in the attacks.
Indian investigators want to question Salem in connection with more than 60 murders and cases of extortion and kidnapping involving Bombay film producers and actors.
India's Central Bureau of Investigation has welcomed the convictions and has vowed to continue seeking the couple's extradition.
Portugal and India do not have an extradition treaty, although India has assured Portugal Salem and Bedi will not be executed if they are returned to India.