Kashmiri businessman arrested in terror funding case

A day after conducting fresh raids in Kashmir, the National Investigation Agency on Thursday arrested businessman Zahoor Ahmad Shah Watali in connection with the terror funding case.

The arrest came a day after searches at multiple locations in Srinagar, Handwara, Kupwara and Baramulla belonging to the relatives and employees of Watali.

The NIA claimed the searches have unearthed "highly incriminating material pertaining to receipt of funds" by Watali from foreign sources and its further distribution to terrorists and separatists in Kashmir valley for anti-India activities.

Watali was arrested following his questioning by the NIA investigators in Delhi after the seizure of "incriminating financial transaction details and property-related records" during the searches. Watali, who belongs to Srinagar, is accused of routing funds sourced from Pakistan to top Kashmiri separatists.

The NIA had on June 3 also searched Watali's house in Srinagar and seized documents pertaining to several financial transactions and land deals. The property documents seized have shown a huge amount of cash transactions in sale and purchase, an NIA statement said.

Watali is "suspected of acting as a conduit for illegally remitting funds to the secessionists, terrorists and stone-pelters", it said.

He was earlier arrested in 1990 by the Jammu and Kashmir Police when some anti-India elements activists were found present in his house at Bagat Barzulla in Srinagar. "He was taken into custody along with Yaseen Malik, Sajjad Gani Lone, Bilal Lone and others and was jailed for eight months at Jammu," the statement said.

In 2009, he was accused of illegal encroachment of land and assault and a case was registered against him. However, as per the orders of the Jammu and Kashmir High Court last June, the investigation of the case has been stayed.

Watali was also accused of travelling on an invalid passport "despite having full knowledge of its being invalid/cancelled".

The NIA said instead of surrendering the cancelled passport, he travelled abroad using it in March last year in violation of the law. When he tried to do so again, his invalid passport was seized in Delhi by the authorities.

The agency had registered a case on May 30 against the separatist and secessionist leaders, including members of the Hurriyat Conference, who have been acting in connivance with active militants of proscribed terrorist organisations HM, Dukhtaran-e-Millat, Lashkar-e-Toiba (LeT) and other outfits and gangs.