diff --git a/asterix-app/src/test/resources/metadata/queries/exception/issue_272_create_index_error/issue_272_create_index_error.1.ddl.aql b/asterix-app/src/test/resources/metadata/queries/exception/issue_272_create_index_error/issue_272_create_index_error.1.ddl.aql
new file mode 100644
index 0000000..f35a83e
--- /dev/null
+++ b/asterix-app/src/test/resources/metadata/queries/exception/issue_272_create_index_error/issue_272_create_index_error.1.ddl.aql
@@ -0,0 +1,21 @@
+/*
+ * Description  : create an index on a non-existent dataset
+ * Expected Res : Failure
+ * Date         : 14 April 2013
+ * Issue        : 272
+ */
+
+drop dataverse test if exists;
+create dataverse test;
+
+use dataverse test;
+
+create type TestType as open {
+  id: int32,
+  name: string,
+  loc: point
+}
+
+create dataset TestDS(TestType) primary key id;
+create index loc_index on Foo(name);
+
diff --git a/asterix-app/src/test/resources/metadata/testsuite.xml b/asterix-app/src/test/resources/metadata/testsuite.xml
index d4fb915..a2aac74 100644
--- a/asterix-app/src/test/resources/metadata/testsuite.xml
+++ b/asterix-app/src/test/resources/metadata/testsuite.xml
@@ -212,6 +212,12 @@
         <expected-error>AsterixException</expected-error>
       </compilation-unit>
     </test-case>
+    <test-case FilePath="exception">
+      <compilation-unit name="issue_272_create_index_error">
+        <output-dir compare="Text">none</output-dir>
+        <expected-error>AlgebricksException</expected-error>
+      </compilation-unit>
+    </test-case>
   </test-group>
   <test-group name="transaction">
     <test-case FilePath="transaction">