ED raids jailed ex-minister’s Kathua house, five other locations in J&K over narco-terror funding probe

The case dates back to March 30, 2022, when one Mohammad Shareef Shah from Kashmir was detained in Jammu with Rs 6.9 lakh of what police claimed was hawala money.

According to sources, initial investigations revealed that the seized money was meant to be delivered to Babu Singh to “fund separatist and secessionist groups in Jammu for carrying out subversive activities”. The probe later exposed a narco-terror module allegedly run by Pakistan-based operatives who smuggled heroin into India between 2021 and 2022. Officials claimed that around Rs 2 crore from such sales were deposited in local bank accounts in Srinagar.

“Later, these funds were allegedly transferred to the bank accounts of Indian citizens working in Dubai who worked as ‘mules’ (illegal carriers of money) to obscure the origin of funds,” one source said. “These proceeds were withdrawn and accumulated in Dubai and further routed to Hizbul Mujahideen terrorists operating from Pakistan.”

The Special Investigation Agency (SIA) has already filed a chargesheet against 12 accused, including Babu Singh, in the money laundering case.

In 2024, two years after Babu Singh’s arrest, the SIA arrested two people, including a policeman, for allegedly being part of the cross-border narcotic syndicate involved in terror funding in Jammu. The agency also raided the houses of a policeman and a sarpanch in Jammu’s Belicharana area in connection with the case and seized electronic gadgets, sources said.

Babu Singh, a former minister and senior politician from Kathua, was once associated with the Jammu and Kashmir Democratic Party (Nationalist). He had earlier served as Minister of Power in the Jammu and Kashmir government.

Known for his outspoken views, Singh’s political career took a downturn after his name began to be linked un narco-terror case.