Al-Masri has been accused of inciting extremism through his sermons [AFP]

Al-Masri, who is currently serving a seven-year sentence in Britain for inciting his followers to murder non Muslims, has been indicted in the US on 11 charges.

Justice Igor Judge and Justice Jeremy Sullivan, who heard al-Masri's appeal at a lower court ruling, gave his lawyers two weeks to apply to the House of Lords for a further appeal.

Al-Masri, 51, who says he lost his hands and the sight of one eye in Afghanistan, once led Finsbury Park mosque in London.

British counter-terrorism officials say the mosque has attracted extremists.

Its worshippers have included Zacarias Moussaoui, a September 11 conspirator, and the 'shoe bomber' Richard Reid.

The Egyptian-born al-Masri, listed in court documents under the name Mustafa Kamel Mustafa, was arrested in Britain on an extradition warrant in 2004, but the process was put on hold while he stood trial in Britain.

If convicted in the United States, Al-Masri would serve out his sentence in Britain first.

US officials allege he conspired to establish a militant training camp in Oregon and sent two supporters to view facilities there.

They also say al-Masri took part in a hostage-taking incident in Yemen in 1998 involving 16 tourists.

Three British tourists and one Australian visitor were killed in a shootout between Yemeni security forces and the captors.

Al-Masri also is accused of facilitating terrorist training in Afghanistan.

After he was expelled from the mosque by administrators in 2003, he led Friday prayers on the street outside until his arrest the next year.

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