Katherin Shuffield, who was five months pregnant, was critically wounded when a masked gunman shot her in the abdomen Tuesday morning at a Huntington Bank branch. Authorities and the family had said the bullets had not hit the twins.
But complications had set in, and one twin was born dead and the other died after birth, said Marion County's chief deputy coroner, Alfarena Ballew.
Shuffield's husband, Jason, said in a statement that the twins died late Thursday night and that his 30-year-old wife remained in critical but stable condition at Methodist Hospital.
"Katherin's recovery is our top priority," he said.
Ballew said that she will examine both of the fetuses to determine the cause of death.
Earlier Friday, authorities said they planned to release three men arrested in connection with the robbery because a story told to them by a suspect turned out to be untrue.
Marion County chief trial prosecutor David Wyser said several details that 25-year-old Shed James Jr. told police were inaccurate.
"He flat-out lied," he said.
Wyser said James would be charged with false reporting, and police will release three other men held on preliminary charges of conspiracy to commit robbery based on James' account.
Prosecutors would examine what additional charges could be filed if the gunman is caught now that the fetuses have died. The gunman would be eligible for feticide or other charges, he said without specifying.
In order for manslaughter charges to be filed in Indiana, Shuffield would have had to have been at least seven months pregnant, Wyser said.
Authorities also are looking for new leads after James' account was discredited. According to a police report, an anonymous caller told authorities Tuesday evening that James had been talking about the robbery. Located by police, James said he helped plan the crime and identified other suspects. But he said he changed his mind about taking part while helping check out the bank and asked to be let out of the car.
In his account, James had described actions of the supposed gunman but said he did not know the man's full name.
Police Lt. Jeff Duhamell called the false report a "bump in the road" of the investigation.
"We've got to keep on going until we know we've got the right people," he said.