Ismail was suffering from tuberculosis for over a year, sources close to the family said.
He was in the news when he allegedly slapped Azhar for refusing to give media interviews after his return from Los Angeles early this year.
Azhar, along with rest of the child actors, had attended the Academy awards where the film had swept the Oscars.
His family had shifted to a flat provided by the Jai Ho Trust, set up by the makers of “Slumdog Millionaire” couple of months ago, after civic authorities demolished their huts situated along the Bandra railway station during last monsoon.