A Special National Investigation Agency (NIA) court in New Delhi on Saturday, 24 October 2026, ordered the commencement of trial against separatist leader Yasin Malik and six others in a money laundering case involving alleged foreign funding from Pakistan through hawala channels. The case centres on the alleged laundering of proceeds of crime worth ₹8.94 crore, which the Enforcement Directorate (ED) claims were generated through illegal financial transactions linked to separatist activities in Jammu and Kashmir.

Background of the Case

The ED initiated its investigation on the basis of an FIR registered by the NIA in 2017, under relevant provisions of the Indian Penal Code (IPC) and the Unlawful Activities (Prevention) Act (UAPA). Investigators allegedly traced the movement of foreign funds originating from Pakistan through hawala networks and other clandestine channels into Jammu and Kashmir. The money, according to the prosecution, was allegedly used to support separatist activities and related unlawful operations in the Union Territory.

Key Legal Developments

The NIA court had framed charges in the case last month, paving the way for the current trial order. Saturday's directive marks a significant escalation in the legal proceedings, as the accused will now formally face trial over allegations of money laundering and the alleged receipt and utilisation of foreign funds. The prosecution is expected to present its case through documentary evidence, financial records, and other material collected during the multi-year investigation.

What the Trial Will Examine

The trial is set to scrutinise the alleged funding network, the source of the money, and the specific role attributed to each of the seven accused in the suspected laundering operation. Notably, this case is part of a broader probe into alleged financial networks used to channel funds from Pakistan into Jammu and Kashmir — a pattern that investigators claim has been in operation for several years. This is among the most high-profile cases emerging from the post-2019 reorganisation of the region as a Union Territory, reflecting heightened federal scrutiny of separatist financing.

Important Legal Caveat

It is critical to note that all allegations against the accused are yet to be proved during the trial. The court's order to commence proceedings does not amount to a finding of guilt. Each accused will have a full opportunity to contest the charges before the court. The burden of proof rests with the prosecution to establish its case beyond reasonable doubt.

The trial's commencement moves the case into its next legal phase, and its progress will be closely watched given the political and security dimensions surrounding the accused and the allegations.