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Linda Wenzel was part of a group of 20 female IS supporters believed to have barricaded themselves in a tunnel underneath Mosul, before the city was liberated by Iraqi troops.
A video released on Youtube last weekend shows the girl covered in dust and screaming, apparently racked with pain.
It is reported the 16-year-old sustained a gunshot wound on her left thigh and an injury on her right knee.
A group of men who are believed to be Iraqi soldiers surround her in the mobile phone footage:
Chanting soldiers surrounding the German girl label her "the beauty of Mosul."
The men in the footage can be heard saying. "Get out of the way. She's Christian, she's blond and German, she´s injured."
Linda Wenzel is hoping to avoid lawsuit in Iraq
Linda Wenzel remains in custody and receives support from German diplomats.
She told German media she wanted to be extradited and would cooperate with authorities, "I just want to go home."
"I want to leave this, the war, the noise, the weapons."
"I just want to go home. I want to leave this, the war, the noise, the weapons."
If the 16-year-old stays in Iraq she could face the death penalty for belonging to the militant group.
However, according to the German government, there seems to be no reference of a potential involvement in murder or combat actions until now.
The German is believed to have been fighting for IS in Iraq, while her exact involvement remains unclear.
According to reports from German newspaper Der Spiegel, she might have served the "caliphate" as part of their "Khansa Brigade" as a "morals enforcer" making sure clothing had been worn conforming to IS standards for women.
Searched by her parents for more than a year
Linda Wenzel disappeared from her parent's home in Pulsnitz, a town of 8,000 near Dresden in Germany's East, one year ago.
She reportedly converted to Islam and had been hired by IS supporters through social media.
Her mother Katharina told German media: "We didn’t think anything of it, and even bought her a copy of the Qur’an."
After the girl had travelled to Turkey last July with the apparent goal of reaching Iraq or Syria security officials had lost her trail.
German media report how Linda got married to a IS militant of Chechen descent, who had died in the meantime.
It's believed by Germany's domestic intelligence agency that up to 1,000 people had left the country to join IS. Some have been killed while others have returned to Germany.
Related - from SBS Dateline: Can extremists be rehabilitated? In Denmark, a controversial new program is trying to change the minds of radicalised young people, by supporting rather than outcasting them – but does it work? Stream the full episode now below and at SBS On Demand.