To resolve, go to settings for "email, contacts.." and select your email account. Turn the slide to off for contacts. Then it will stop showing up those contacts.
However, I have one another problem related to ios5 upgrade on iphone 4 and contacts . Below is the problem described.
As Megan said, I used to see groups in my contacts application. Now (after upgrade), I can't see any groups (which is fine) and moreover when click on "groups" on contacts app (or phone app's contact), I can't came back to the list of my contacts list. It just stays in groups page with no groups in it. How can I switch back to regular contact list?
In this case, I had no option other than killing application.
I noticed that I can't add/edit contacts either.
Do I nee dot synch with iclouds? is it mandatory?
Provide me solution.