diff --git a/drivers/char/pcmcia/ipwireless/hardware.c b/drivers/char/pcmcia/ipwireless/hardware.c
index ba6340ae98afa1f7a5f80bb33360270aa4cc7cc8..929101ecbae29c180889a1d10e8c7f0549bcd713 100644
--- a/drivers/char/pcmcia/ipwireless/hardware.c
+++ b/drivers/char/pcmcia/ipwireless/hardware.c
@@ -590,8 +590,10 @@ static struct ipw_rx_packet *pool_allocate(struct ipw_hardware *hw,
 		packet = kmalloc(sizeof(struct ipw_rx_packet) +
 				old_packet->length + minimum_free_space,
 				GFP_ATOMIC);
-		if (!packet)
+		if (!packet) {
+			kfree(old_packet);
 			return NULL;
+		}
 		memcpy(packet, old_packet,
 				sizeof(struct ipw_rx_packet)
 					+ old_packet->length);