  We have carried out ab initio electronic structure calculations on graphane
(hydrogenated graphene) with single and double vacancy defects. Our analysis of
the density of states reveal that such vacancies induce the mid gap states and
modify the band gap. The induced states are due to the unpaired electrons on
carbon atoms. Interestingly the placement and the number of such states is
found to be sensitive to the distance between the vacancies. Furthermore we
also found that in most of the cases the vacancies induce a local magnetic
moment.
