New Delhi, October 24: A Special NIA Court in New Delhi has ordered the commencement of trial against Kashmiri separatist leader Yasin Malik and six other accused in a money laundering case involving alleged foreign funding routed through hawala channels.
Special Judge Prashant Sharma, on Friday, directed that the recording of prosecution evidence begin on November 19. The proceedings were held in a closed courtroom.
Malik, who is lodged in Tihar Jail, appeared before the court through video conferencing and denied the charges, stating that he would contest the case.
The Enforcement Directorate (ED) case stems from a National Investigation Agency (NIA) investigation registered in 2017. The allegations concern the purported receipt of funds from the Pakistani establishment and other sources through hawala networks to finance secessionist and unlawful activities in Jammu and Kashmir.
According to the ED, the alleged proceeds of crime amounted to ₹8,94,87,639. Investigators claim that the money was received, transferred, concealed, possessed and used by the accused through various channels.
The agency has alleged that funds were collected through intermediaries, including cash couriers who purportedly obtained money from the Pakistan High Commission in New Delhi and delivered it to Hurriyat leaders, including Malik, for alleged subversive activities.
In September, the Special NIA Court directed that charges be framed against all seven accused under Section 3 of the Prevention of Money Laundering Act (PMLA), punishable under Section 4 of the Act. The court observed that the material on record raised a strong prima facie suspicion against the accused.
The other accused are Zahoor Ahmad Shah Watali, Abdul Rashid Sheikh, Shabir Ahmad Shah, Naval Kishore Kapoor, Trison Farms and Construction Pvt. Ltd., and Masarat Alam Bhat.
The ED has alleged that Malik, who headed the Jammu and Kashmir Liberation Front (JKLF), established a network to raise funds internationally for activities described by the agency as terrorist, secessionist and unlawful.
According to the investigation, documents recovered from the residence of Ghulam Mohd. Bhat, who worked as a cashier-cum-accountant for Watali, allegedly indicated that foreign contributions were received by Malik, Shabir Ahmad Shah and Masarat Alam through Watali during the 2015–16 financial year.
The agency has also cited emails allegedly linked to Malik that it claims point to a network for raising funds to support the JKLF and related activities in Jammu and Kashmir.
The NIA’s supplementary chargesheet reportedly referred to funds received by Malik from Saudi Arabia, which investigators have treated as part of the alleged proceeds of crime.
The allegations are yet to be established at trial. Malik has denied the charges and stated that he intends to contest the case.
