Washington: India has achieved major successes last year in countering terrorism by effecting numerous arrests and confiscation of explosives despite challenges associated with its law enforcement and judicial systems, a U.S. report on terrorism has said.

"Terrorists staged numerous attacks in India, including a series of commuter train bomb attacks in Mumbai which killed over 200 people and injured more than 700," Country Terrorism Reports prepared by the U.S. State Department said.

"Despite challenges associated with its law enforcement and judicial systems, India achieved major successes this year, including numerous arrests and the confiscation of explosives and firearms."

The report said that as in previous years, terrorists staged hundreds of attacks on people and property.

Prominent groups

"The most prominent terrorist groups were extremists operating in Jammu and Kashmir, Maoists operating in the `Naxalite belt' in eastern, southern and central India and ethno-linguistic nationalists in India's north-eastern States," it said.

The report said the federal and State Governments tried various strategies to address some of these grievances within the context of Indian democracy.

Government firm

"But the Government was firm: groups must cease violence before negotiations can begin, and the Government will not entertain territorial concessions," the State Department said.

Lending weight to India's stand that terrorists were infiltrating into businesses, the report said pro-Pakistan Jaish-e-Mohammed (JeM) was investing in commodity market and real estate to raise funds for its terrorist activities.

It said the JeM, led by Maulana Masood Azhar, who was released by India in exchange of hijacked passengers in 1999, had withdrawn funds from bank accounts in anticipation of asset seizures by the Pakistan Government.

The funds were invested "in legal business such as commodity market, real estate and production of consumer goods," the report said.

The report also said that Al-Qaeda was also suspected to be providing funds to Jaish.

The report said Pakistan remains a "major source of Islamic extremism and a safe haven for some top terrorist leaders" despite being a frontline partner in the war on terror.

President Pervez Musharraf "remained a forceful advocate for his vision of `enlightened moderation,' calling on Pakistanis to reject extremism and terrorist violence. The Government's crackdown on banned organisations, hate material and incitement by religious leaders continued unevenly."— PTI

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