Goody, 27, passed away in her sleep at 3.14 a.m. in her Upshire, Essex, home in London after suffering from terminal cervical cancer.
"I am deeply saddened by the news but in hindsight glad she (Jade) is out of pain and passed away peacefully in her sleep. Words cannot express how I feel but my heartfelt condolences to the family, " Shilpa told in e-mail from London.
Shilpa rushed to London March 15 to meet her ailing ex-housemate but could not because of Goody's deteriorating and grave condition that allowed no visitors.
Goody became controversial in the "Celebrity Big Brother" show in 2007 when Channel 4 network expelled her after thousands of viewers complained she had racially bullied Bollywood star Shilpa, who was on the same show.
In one incident, Jade also referred to her as "Shilpa Poppadom". However, following her eviction from the show, Jade admitted her actions had been wrong and subsequently made many public apologies. The two made peace soon after.
The two then came face-to-face in the second season of the Indian version of the show, "Bigg Boss 2", hosted by Shilpa, where Jade participated as the only non-Indian housemate.
It was during the "Bigg Boss 2" that Jade dramatically learned that she had cancer.