The ministry recommended that the Election Commission of Pakistan reject the newly formed Milli Muslim League's (MML) application to become an official party as it is affiliated with the LeT, in reportedly a letter dated September 22.
Saeed is currently under house arrest.
Pakistan has been reluctant to press charges against Saeed, which has been the bone of contention as far as its relations with Washington and India are concerned.
The MML had earlier won 5 per cent of votes in a parliamentary by-election in Lahore on September 17. (ANI)