That's Dutchman Mirin Dajo, the Human Pincushion, which confounded doctors because he could have a fencing foil plunged right through his body (passing through vital organs) with no apparent harm. He even allowed doctors to pierce him themselves and then take x-rays to prove that it was no trick.
The Human Marvel's got more on this medical marvel: Link | YouTube Link
http://youtube.com/watch?v=xvEH64F6Upk
Basically, he did go to india to learn the "science" of fakirs. On a scientific point of view, it's simple: Poke through the skin around 1/4", wait for it to cauterize, repeat. If you hit a bone or start punching through a vital organ? Try another point of entry. Very creepy result, but simple science.
The guy probably had some sort of armor shaped like his body and the sword just curved and deviated on the other side.
The x-rays were probably taken at angles that proved nothing.
I would love to see those x-rays tho.