Do Indian citizens need a transit visa for Malaysia?
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According to Timatic:
TWOV (Transit Without Visa):
Nationals of India residing in Viet Nam transiting through Kuala Lumpur (KUL) with a confirmed onward ticket for a flight to a third country on Malaysia Airlines (MH) or Air Asia (AK) within 120 hours. They must:
- have a visa issued by Australia, China (People's Rep.), Chinese Taipei, Japan, Korea (Rep.), New Zealand or USA, and
- arrive at and depart from the same terminal, and
- stay in the international transit area of the airport, and
- have documents required for the next destination.
This TWOV facility does not apply to passengers with a Bridging visa E (BVE) issued by Australia.
Therefore it seems to me that you're out of luck. Your onwards flight is with Indigo airlines and you will need to leave the sterile transit area if you want to re-check luggage. Luckily for you, Indian citizens can apply for a Malaysian eVisa online. As a bonus, that would also let you do some sightseeing in Kuala Lumpur during your layover.
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Source: stackoverflow.com
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