THE new report of Financial Action Task Force (FATF) on terrorist organisations abusing e-commerce platforms for terror funding must become a serious priority for the member-nations due to the high security risk in it for every country in the world. The report has cited the February 2019 Pulwama attack, where the key component used in the explosive device was reportedly procured from EPOM Amazon. The suicide bombing in Jammu and Kashmir, carried out by Pakistan-based Jaish-e-Mohammed (JeM), had killed 40 CRPF personnel. It also has named the 2022 incident at Gorakhnath temple where digital technology was exploited to finance the attacks. All these concerns were already flagged by India as it named Pakistan as the sponsor of these attacks. Yet, the world and the FATF are still taking their own time to act against the rogue nation. The latest report should help the international community realise the dangers of shielding a terror-sponsor State.

 

The FATF in its ‘Comprehensive Update on Terrorist Financing Risks’ has warned that terrorist organisations are becoming tech-savvy and exploiting various digital avenues like e-commerce platforms and online payment services to finance and carry out attacks. The terror financing watchdog has cited case studies that expose how terrorists used Amazon and PayPal to move money and acquire materials while evading detection. These payment services are coming handy for terrorist organisations for the low-cost involved and fast money transfer mechanisms. It lays bare how terror groups are adapting to modern financial tools which grant them anonymity, access to global networks and an opportunity to exploit digital loopholes. Though not actually named, the FATF report has indirectly indicted Pakistan saying, “Certain terrorist organisations have been and continue to receive financial and other forms of support from several national governments.”

 

India has always maintained that JeM and Lashkar-e-Taiba (LeT) are proxy armies of the Pakistani State and remain a threat to global peace. The FATF, too, has mentioned these groups as global threat but has stopped short of taking action against Pakistan. With the new findings, New Delhi should expect some activity during the next plenary of the terror finance watchdog as it pushes to put Pakistan back in the ‘grey list’. One positive development from the latest FATF report is its mention of State-sponsored terrorism. It is for the first time the agency has defined the term long flagged by India. The FATF has stated that this label would apply to any nation actively funding terror activities as part of its official policy.

 

This should add weight to India’s case as it has been exposing Pakistan government’s direct role in nurturing terror groups and sheltering individuals proscribed as extremists by the United Nations. Role of such individuals was evident in the recent April 22 terror attack in Pahalgam which killed 26 Hindu tourists. India has built a case to be presented in the FATF meeting and now with the latest report mentioning the role of nations in terror funding, it should convince the member-nations about its concerns and Pakistan’s nefarious designs. The FATF has also flagged the use of cryptocurrency to carry out secret transactions. Crypto transactions, often anonymous and fast, have become a key tool for terror financing. Terrorist outfits allegedly use crypto wallets to launder money under the radar. This finding should help start a fresh investigation against Pakistan which has formed its own Cryptocurrency Council linked to the Trump family. The ball is now in the FATF members’ court to wake up to the reality and quell the threats that can play havoc even in their own backyards. The dark side of digital revolution will spare none, the world must understand.