Ministry of Home Affairs has issued orders to suspend the LoC trade in Jammu & Kashmir starting tomorrow. This action has been taken as the Government of India has been receiving reports that the Cross LoC trade routes are being misused by Pakistan based elements for funnelling illegal weapons, narcotics and fake currency etc.
The trade has changed its character to mostly third party trade and products from other regions, including foreign countries, are finding their way through this route. Unscrupulous and anti national elements are using the route as a conduit for Hawala money, drugs and weapons, under the garb of this trade.
During the ongoing investigations of certain cases by NIA, it has been brought out that a significant number of trading concerns engaged in LoC trade are being operated by persons closely associated with banned terrorist organizations involved in fuelling terrorism and separatism.
Investigations have further revealed that some individuals, who have crossed over to Pakistan, and joined militant organizations have opened trading firms in Pakistan. These trading firms are under the control of terrorist organizations and are engaged in LoC trade.