Nearly 20 delegations representing cross-section of the society also met with the group, which included former union ministers P Chidambaram, Ghulam Nabi Azad and Ambika Soni, that arrived here today on a maiden two-day visit.
State Congress unit president G A Mir, former MP Tariq Hameed Karra and former minister Nawang Rigzin Jora are also members of the group.
The former PM arrived nearly an hour after Chidambaram, Azad and Soni drove to the convention centre here around noon and immediately chaired the executive meeting of the party leaders, including MLAs and MLCs.
He said the party leaders highlighted the deteriorating security situation and sought political engagement to address the issues confronting the state for restoration of peace and normalcy in the state.
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The group was set up by the Congress in April after the situation worsened in the valley due to widespread violence by protesters following the death of eight persons in firing by security forces during bypolls to the Srinagar Lok Sabha constituency.
Several delegations also expressed their views about Article 35A and Article 370 of the Constitution, which give special status to J-K.
While the National Conference, the CPI(M) and some other delegations favoured continuation of the constitutional provisions, some others sought the support of the party in abrogation of the provisions and immediate deportation of illegally-settled foreign nationals, including Rohingyas and Bangladeshis.
"We told the Congress leadership that National Conference is for the betterment of the people of the state and is desirous of peace and prosperity in the state," he told reporters after the meeting.
Suggesting the Congress to take a stand on J-K, Rana said the onus lies with the present leadership of the party to emerge and cooperate, coordinate and implement together an agenda at the national level by developing a consensus to ensure that normalcy is restored in the state.
He also termed as "unfortunate" the "failure" of the previous UPA government to implement the recommendations of the working groups on Kashmir and the interlocutors' report and said the party should extend its support to the ruling NDA at the Centre to work out a solution to the Kashmir imbroglio.
Rana said the NC would go all out to preserve Article 35A of the Constitution as it is of paramount importance for the people of the state.
"The Congress panel has basically come to seek a solution to the prevailing situation in the state... We suggested dialogue on internal and external fronts to resolve the Kashmir issue instead of using military power," he said.
Prasad said he favoured dialogue with all stakeholders, especially separatists, in the state and Pakistan as well.
The Jammu Bar Association, led by president B S Slathia, submitted a five-page memorandum to the Congress panel, demanding among other things abrogation of the Article 35A.
It said the Article has deprived nearly two lakh refugees from Pakistan all citizenship rights in the state and makes unjust distinction between male and female residents of the state.
It also raised the issue of Rohingyas and Bangladeshi nationals in Jammu and Samba districts and claimed their presence tantamount to demographic change in the region and advocated for their early deportation.
"The Dogri language, which is our identity, must get its due at par with Kashmiri as both the languages enjoy equal status in the Constitution of the country and the state," he said.
The panel would visit Kashmir Valley on September 16 and 17 and the Ladakh region on a later date.
A Kashmiri Pandit delegation raised the issue of their return to the valley.