Terror funds in bourses tops agenda of police chiefs' meet

Terror funding through financial institutions and stock markets remained on top on the agenda at the three-day conference of state director generals (DGPs) and inspector generals (IGs) of police here.

The DGPs and IGs were informed that international anti-crime bodies like the Interpol have sent a list of around 100 people with criminal backgrounds to Indian agencies like the Research and Analysis Wing (RAW) and the CBI.

These people are suspected to be using Indian financial institutions such as banks and stock markets to divert funds for terror acts.

Officers who attended the conference said the Financial Intelligence Unit (FIU), which had been given the charge of monitoring money laundering through financial institutions, had forwarded around 300 cases to law enforcement agencies, including the Enforcement Directorate.

Around 100 cases had also been forwarded to intelligence agencies, besides the RBI, Sebi and IRDA (insurance regulator) for investigation and action, they said.

Some cases relating to suspected financing of terrorism have also been forwarded to the Ministry of Home Affairs, the IB and the CBI.

"During 2006-07, FIU analysed 646 suspect transacted reports (STRs) on the basis of information from banks and other financial institutions. Of this, 391 cases have been forwarded to various agencies," said an official source.

National Security Advisor M K Narayanan had, at a Munich conference on security policy in February, raised concern over the use of Indian bourses and financial institutions by terrorists. Finance ministry officials, however, say no concrete case has come to light.