The Centre today said it is keeping a close watch on illegal flow of funds to fuel militancy in Jammu and Kashmir and action is being taken by security agencies in such instances.
"All terror related incidents, including terror funding, are being monitored by the agencies. Appropriate action is also being taken," spokesperson in the Home Ministry Ashok Prasad told reporters here.
He was replying to a question on Pakistan's continuous attempts to fund militancy in Jammu and Kashmir.
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"All efforts are being made to bring back normalcy. The central government is providing all help to the state government," he said.
According to an estimate of the National Investigation Agency (NIA), Pakistan-based terror groups finance terrorism in Jammu and Kashmir by generating millions in donations through their charity organisations.
Falah-e-Insaniat Foundation (FIF), a charity run by terror outfits Jamaat-ud-Dawa (JuD) and Lashkar-e-Taiba (LeT), and Al Rehmat Trust, backed by another terrorists group Jaish-e- Mohammed (JeM), have been supporting terrorists and funding terrorism in Kashmir.
These outfits collect donations from people in Pakistan and then pass on the money to finance terrorism in Kashmir through their over ground workers, an NIA official has said.
'Al Rehmat Trust' distributes pamphlets to raise funds for sacrificing animals during Eid and after collecting the money, they finance terrorism.
FIF, one of the major and fastest growing Non-Government Organisations (NGOs) in Pakistan, also collects money from people and uses them to fund terrorists.
The groups collect millions of dollars in donations through crowd funding in the name of social service, the officer said.
According to a 2012 report of an intelligence agency, 780 million Pakistani rupees were collected for funding terrorism in Kashmir.
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