Sanjeev Pargal
JAMMU, July 5: Cross-LoC trade on Poonch-Rawlakote and Uri-Muzaffarabad routes, which has been dubbed as biggest Confidence Building Measure (CBM) by ruling PDP, has come under clout following a proposal mooted reportedly by the National Investigating Agency (NIA) to write to the Union Home Ministry seeking closure of the trade on the ground that huge funds generated by some traders illegally out of this trade, have been used for funding terrorism and separatism in the Kashmir valley.
Though such a move might not find any favour with the Centre as BJP’s ally in Jammu and Kashmir, the PDP, considers cross-LoC trade as one of the biggest CBM for people-to-people link between two parts of the divided State, sources said further expansion of the trade and inclusion of more items in the trade from present 21 could be stalled following the NIA investigations.
Sources told the Excelsior that the Central Government could prefer tough measures to check funding of terror and separatism through the cross-LoC trade instead of stopping it, which could deliver further setback to already strained Indo-Pak ties. Cross-LoC routes between J&K and PoK were opened after October 2005 earthquake to help people on two sides of divided State. Later, a fortnightly cross-LoC bus services was launched between Poonch-Rawlakote and Uri-Muzaffarabad routes, which was subsequently converted into weekly. The cross-LoC trade was started in 2008.
“A mechanism is being developed to check misuse of cross-LoC trade for terror funding and other illegal purposes, which could be put into place shortly,” sources disclosed.
The NIA has been investigating misuse of cross-LoC trade on Poonch-Rawlakote route in Jammu region and Uri-Muzaffarabad in the Kashmir valley after registering a Regular Enquiry and has already quizzed a number of traders engaged in cross-LoC trade on both the routes. The Agency was reported to have found glaring instances of “under-invoicing” and “over-invoicing” of products, which was directly aimed at funding separatists and terrorists in Kashmir.
The investigating agency was said to be of the view that “barter system of trade” has been exploited by some traders on both sides of divided Kashmir. This strategy had earlier also been detected by the State authorities but finally it was the NIA which was entrusted with regular investigations of the case after registration of a First Information Report (FIR) in the case.
During investigations, sources said, it has been established that certain traders had imported goods of much more value than what they exported. Part of the amount the traders gained from additional import of goods has reportedly landed into the hands of separatists and terrorists, to cause unrest in the Valley and sustain terrorism.
Sources said since cross-LoC trade between two parts of divided State has been dubbed as biggest ever CBM between two parts of divided State by ruling People’s Democratic Party (PDP), a coalition partner of the BJP in Jammu and Kashmir Government, it wouldn’t be an easy task for the Union Home Ministry to accept the NIA recommendation, whenever it is officially made on the basis of investigations made into the misuse of trade on both the routes by select group of businessmen.
However, the Centre Government could ask the NIA and other security agencies to suggest some other “fool proof mechanisms” to serve the twin purposes. One, the cross-LoC trade is not closed and Second, the funding of terrorists and separatists is also stopped through the trade route.
“For this, a comprehensive mechanism is required, which could be put in place if the Union Home Ministry chooses to ignore the NIA recommendation, one it is made officially, and goes ahead with the trade,” sources said, adding, for the purpose of curbing terror funding through the trade, the Government would have to ensure that equal amount of goods are imported and exported by the traders and their bills are regularly checked by the Trade Facilitation Authorities.
“The LoC barter trade of 21 items, which happens from Salamabad and Chakkan Da Bagh Trade Facilitation Centres (TFCs) in Kashmir and Jammu respectively, was started in 2008 as part of Confidence Building Measures but it is not serving that purpose,” sources pointed out and said “there has been massive “under-invoicing and over-invoicing” of products, which is hurting the business of traders in Jammu and Kashmir and several traders are just fronts for funding terrorists and separatists in the Kashmir valley.
Sources disclosed that “dubious transactions” of some traders raised suspicions about their close connections with outfits engaged in fanning terrorism and unrest in Kashmir.
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