The 32-year-old was banned for his part in a 2009 spot-fixing scandal, in which he lured his Essex team-mate Mervyn Westfield to concede an agreed number of runs in an over in return for money.
An disciplinary committee of the England and Wales Cricket Board (ECB) banned Kaneria for life in June last year. His first appeal was rejected in April.
On Tuesday, an ECB appeal panel rejected his second appeal, which asked for the ban to be reduced.
A disgusted Kaneria accused the Pakistan Cricket Board (PCB) of not helping him, but the organisation rejected his claim.
"Kaneria was duly represented in the proceedings through a legal counsel of his choice and no question with regard to jurisdiction, composition, procedure or fairness of the appeal panel was raised by Kaneria's counsel," the PCB said.
The ban effectively prevents Kaneria from playing any form of the game anywhere in the world as boards under the International Cricket Council (ICC) have to enforce bans imposed by any country.
The PCB said Kaneria would remain banned from all cricket in Pakistan as per ICC rules.
"Therefore, Kaneria is suspended for life from any involvement in the playing, organisation or administration of cricket in any form or manner under the jurisdiction of PCB," it said.
The body added: "The PCB hopes Kaneria will reflect on his past conduct and will now initiate efforts towards redemption and rehabilitation."
Kaneria took 261 wickets in 61 Tests, the highest by any Pakistani spinner.
Three other Pakistani players - Salman Butt, Mohammad Asif and Mohammad Aamer - were banned in 2011 after being found guilty of spot-fixing in a Test in England in 2010.
Butt and Aamer have confessed and are due to start rehabilitation under PCB guidance.
The PCB last week asked the ICC to look into the possibility of reducing Aamer's five-year ban.
COMMENTS (14)
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No evidence for police to pursue case, just a mere accusation and there you go have life ban Danish Kaneria. Truly feeling sad for him
@a Hindu:
No bro, they all got 5 years or MORE, not less. You are overwhelmed with your opinion and twisting facts.
Let me ask you, who sent Salman to Jail? and who gave life sentence to Danish?
Those 3 loosers who were involved in spot fixing while playing for Pakistan are getting off easy compared to this loser who was involved in 1st class match
@Desi: Well. Salman Butt got jailed which Danish didn't. But only Danish has a life ban and you say it is only because of ECB?! Salman and others got away with 5 years or less! Definaately a conspiracy against poor Hindu mirnotys!
@1984: Maybe Kaneria should take Yousuf Youhana’s route to reduce his band
He should actually take Salim Malik route, who was banned for life as well. STOP SPREADING RACISM!
@a Hindu: How come only a Hindu gets a life ban in Pakistan?
Dude! This sentence was given by ECB (English Board!) and ICC terms dictate that PCB must follow similar ban on him. The 5 year ban on Salmab Butt was also given by ICC, not PCB. You need to divert your rant somewhere else, this is Pakistan and minorities are treated better than in India.
Strangely,the same PCB is appealing to reduce the ban of a certain cricketer.....
Maybe Kaneria should take Yousuf Youhana's route to reduce his band
How come only a Hindu gets a life ban in Pakistan? Need I remind everyone of a certain captain who was caught red-handed and is now trying to reduce his already low 5-year sentence? Definitely this is a conspiracy.
I wish it were as easy to ban politicians who are guilty of far more heinous crimes like murder and extortion as compared to spot fixing.
I really hope that his punishment will serve as a lesson to the new players. We cannot afford to lose any more players to match fixing. We've already lost enough talent!
Ali khan
Majority or minority...everyone is busy destroying this country. Pakistan hardly needs external enemies.
@ahmed: ET wake up that can not be a top story. at this time this may be the only newsworthy item. If you are so concerned about ET standard, please google for ET "a news item worthy of top story" yourself.
Correct move...................our cricketers are a disgrace.
ET wake up that can not be a top story.