‘Violent Extremist Organisation’ In India Collected Funds To Procure Arms, Says FATF

The Financial Action Task Force (FATF) has said a “violent extremist organisation under investigation” in India collected funds through “well-structured networks” including offline and online mechanisms. This comprised circulating QR codes and account details, the latest report by the FATF said. It said the body resorted to the solicitation for funds at mosques and public places, which were ultimately used to procure arms and ammunition and for training the cadres of the violent organistaion, the report titled ‘Crowdfunding for Terrorism Financing’ added. 

The FATF is an independent inter-governmental body that develops and promotes policies to protect the global financial system against money laundering, terrorist financing and the financing of proliferation of weapons of mass destruction.

According to an Indian Express report, India’s onsite assessment by FATF is scheduled for November, while the assessment is likely to be taken up for discussion in the plenary discussion in June 2024. The mutual evaluation of India was last carried out in 2010, and was postponed to 2023 due to COVID and after the FATF paused its.

“Indian officials reported that a violent extremist organisation under investigation collected funds through well-structured networks spanning the entire country. Resorting to solicitation at mosques and public places, the group’s fundraising tactics included offline and online mechanisms, such as circulating QR codes and account details through which donors were asked to send money. Over 3,000 bank accounts and informal value transfer systems were used,” the FATF said.

It further mentioned that the accounts involved were both domestic and foreign transactions, making this case extremely difficult to investigate. FATF said the funds were used to procure arms and ammunition and for training the cadres of the violent extremist organisation, among other purposes.

“A portion of the funds raised through crowdfunding was also invested and parked in businesses and real estate projects to generate regular income for terrorism activities,” it said.

The FATF said “eight individuals in leadership roles within the violent organisation have been arrested” on terrorist financing (TF) charges and prosecution complaints have been filed. “As a result of the investigation, Rs 3.5 crore in assets are being sought for confiscation,” it added.

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