In interest of low cost, low power consumption, and compact size, most digital cameras adopt a design of single sensor array coupled with a color filter array. This design inevitably suffers, due to physical characteristics of the optical and semiconductor components and the imperfection of manufacturing, from the problem of crosstalk between different color channels. Channel crosstalk can desaturate colors and blur image details, but the problem was seemingly overlooked by existing color demosaicking algorithms.To rectify this deficiency we propose a new joint demosaicking and decrosstalk technique that counters the effects of channel crosstalks by adaptive least-squares inverse filtering. The new technique integrates the operations of deconvolution for crosstalk removal and interpolation for color demosaicking, and it introduces a general framework in which any spatially varying crosstalks and varying spatial-spectral correlations can be modeled and factored into the color reproduction. Simulation results show that the proposed technique is highly effective and capable to obtain both high color fidelity and sharp, clean spatial details.