Roadmap for Answer Writing
1. Introduction
- Briefly define terror funding and its implications for national security in India.
- Mention recent developments highlighting the severity of terror financing (e.g., ED arrests in Kerala).
- State the purpose of the response: to outline sources of terror funding, curtailment efforts, and the significance of the NMFT Conference.
2. Major Sources of Terror Funding in India
- Hawala Transactions:
- Fact: Hawala networks played a crucial role in the 1993 Bombay bombings (Source: Investigative reports).
- Drug Trafficking:
- Fact: Opium from the Golden Crescent is often smuggled into India, funding groups like the Taliban (Source: Narcotics Control Bureau).
- Fake Currency:
- Fact: Counterfeit currency operations funded terrorist activities, with fake notes printed abroad (Source: NIA reports).
- Cybercrime:
- Fact: Digital transactions were linked to funding for the Uri attack in 2016 (Source: Intelligence investigations).
- Charities and NGOs:
- Fact: Organizations like Jamaat-ud-Dawa use charitable appearances to fund militant activities (Source: Security agency findings).
- Kidnapping and Extortion:
- Fact: Groups like the Indian Mujahideen finance operations through ransom (Source: Law enforcement reports).
- Crowdfunding and Online Donations:
- Fact: Extremist groups exploit the internet for anonymous fundraising (Source: Cybersecurity investigations).
- Local Taxes:
- Fact: Naxal groups impose “revolutionary taxes” in controlled areas (Source: Government reports).
- Foreign Funding:
- Fact: Allegations of ISI involvement in the 26/11 Mumbai attacks highlight external funding sources (Source: Intelligence agency reports).
3. Efforts to Curtail These Sources
- Strong Legal Framework:
- Fact: India has enacted laws like UAPA and PMLA to empower authorities against terror financing (Source: Legal documents).
- Comprehensive Monitoring Framework:
- Fact: Institutions like the FIU and NIA monitor terror funding and coordinate with other agencies (Source: Ministry of Home Affairs).
- Actionable Intelligence Sharing:
- Fact: Enhanced cooperation through platforms like FATF supports international intelligence sharing (Source: Government reports).
- Property Confiscation:
- Fact: Provisions for confiscating properties linked to terror financing exist under UAPA and PMLA (Source: NIA actions).
- Prevent Misuse of Legal Entities:
- Fact: NGOs are required to register and disclose funding sources, reducing misuse (Source: FCRA regulations).
- International Cooperation:
- Fact: India has signed agreements with multiple countries to enhance information exchange (Source: Foreign Ministry publications).
4. No Money for Terror (NMFT) Conference
- Overview:
- The NMFT Conference was held in New Delhi in November 2022, with participation from 78 countries.
- Aims and Objectives:
- Global Collaboration: Foster international cooperation against terror financing, emphasizing FATF guidelines (Source: Conference statements).
- Policy Harmonization: Promote synchronized anti-terror financing policies across nations (Source: Conference outcomes).
- Capacity Building: Equip developing countries with tools and knowledge to combat terror financing (Source: Training program proposals).
- Transparency and Information Sharing: Improve financial system transparency and enhance tracking of illicit funds (Source: Conference discussions).
5. Conclusion
- Summarize the importance of addressing terror funding as a national and global imperative.
- Highlight the role of initiatives like the NMFT Conference in enhancing collaborative efforts to combat terror financing.
Model Answer
Introduction
Terror funding in India poses a significant threat to national security, involving both domestic and foreign sources that support terrorist activities through various channels such as hawala, NGOs, and counterfeit currency. Recent actions by the Enforcement Directorate (ED) have highlighted the severity of this issue, with arrests made in Kerala for hawala dealings worth ₹300 crore linked to terror financing. The National Investigation Agency (NIA) has registered 105 cases related to terror funding, resulting in 796 arrests and 100 convictions [1].
Major Sources of Terror Funding in India
Efforts to Curtail These Sources
India has implemented several measures to combat terror financing:
No Money for Terror (NMFT) Conference
The ‘No Money for Terror (NMFT)’ Conference, hosted by India in November 2022, aimed to foster global collaboration against terror financing. Key objectives included:
Conclusion
Combating terror financing is a global imperative. Initiatives like the NMFT Conference represent significant steps toward pooling resources and knowledge to disrupt the financial lifelines of terrorist organizations, ultimately enhancing national and international security.
Major Sources of Terror Funding in India and Efforts to Curtail Them
1. Major Sources of Terror Funding:
2. Efforts to Curtail Terror Funding:
3. ‘No Money for Terror (NMFT)’ Conference:
Aim and Objective: The ‘No Money for Terror (NMFT)’ Conference held in New Delhi in November 2022 aimed to address the global challenge of terrorism financing and enhance international cooperation.
In summary, terror funding in India primarily stems from cross-border sources, hawala transactions, charitable fronts, and criminal activities. Efforts to combat these sources include regulatory measures, intelligence sharing, and asset seizures. The ‘No Money for Terror (NMFT)’ Conference in New Delhi aimed to enhance international cooperation and strengthen global frameworks to combat terror financing effectively.