Indian bourses being used to finance terror, admits government
16 December 2011
The financial intelligence unit of the finance ministry has received information on 10 suspected instances of terrorist financing using Indian stock exchanges in the last three financial years, minister of state for finance Namo Narain Meena told the Lok Sabha in a written reply.
The FIU received five suspicious transaction reports (STRs) during fiscal 2009-10, four during 2010-11 and a single case in the current fiscal up to November.
The STRs, ''suspected to be linked to terrorist financing, (have been) received from intermediaries of stock market such as stockbrokers, asset management companies, etc, and disseminated to intelligence agencies by the FIU,'' Meena said.
He also said the STRs have been linked to money laundering; and such cases would be investigated by the intelligence agencies.
The FIU is the national agency responsible for receiving, analysing and disseminating information related to suspect financial transactions.