Knowing fully well how the "law of the jungle" applies in Pakistan, India did well not to bet on anti-Musharaff forces. But I think the decision deport him was taken long before his interview on Kargil mess.
Another important point is the US did not favor the return of Sharif because of his Al Qaida connections.
You can say whatever you want about Pakis, but there is never a dull moment in that land of pure. It would have been funny and entertaining had we not been their neighbor.