Are Khalistani Elements Raising Funds Under the Guise of Charity for Extremist Causes?

Ottawa, Sep 16 (NationPress) Khalistani extremist groups that resort to violence are increasingly depending on diaspora communities for financial backing. According to a recent report, these organizations solicit donations from the Sikh diaspora under the pretext of charitable or religious activities, subsequently redirecting those funds to extremist objectives.

"Groups promoting violent agendas have historically sought support from diaspora communities. During the 1980s and 1990s, Canada became a focal point for fundraising networks associated with organizations like Babbar Khalsa International and the International Sikh Youth Federation. Although these large networks have fragmented over time, smaller clusters of supporters continue to exist. These groups remain committed to the Khalistan movement, raising funds through informal networks that are more challenging to detect and monitor," noted Antrariksh Singh in an opinion piece for Khalsa Vox.

"One prevalent method involves the exploitation of Non-Profit Organizations (NPOs). These entities solicit donations under the guise of charitable or religious work, funneling money from the Sikh diaspora into extremist initiatives. Intelligence agencies have documented the use of such organizations not only for fundraising but also for transferring money across borders under the cover of legitimate community support. Although the overall contribution from NPO misuse may represent a small fraction of total extremist budgets, it provides necessary cover and credibility, making it particularly difficult for regulators to intervene," the report stated.

The findings revealed that money laundering techniques are intertwined with terrorist financing. Khalistani networks, akin to groups such as Hezbollah, have utilized hawalas and unregulated Money Service Businesses (MSBs) to discreetly send funds overseas. Supporters often make structured deposits that fall below reporting thresholds, then channel funds through layered transfers.

"While less documented for Khalistani groups than for others, Canadian authorities caution that similar trade manipulation tactics — including over- and under-invoicing and fake imports/exports — may be relevant here. Cryptocurrency is another area of concern: although primarily linked with Hamas and Hezbollah, actors within the diaspora sympathetic to Khalistan have shown growing interest in small-scale digital donations. This emerging avenue could potentially bypass formal banking scrutiny," the Khalsa Vox report indicated.

Canada's multicultural landscape and robust remittance connections serve as a double-edged sword. While the majority of funds sent abroad are legitimate and helpful, extremist factions exploit this infrastructure to mask illicit flows. According to the assessment, funds originating from Canada are either handed to domestic sympathizers who rely on self-financing for propaganda or sent to foreign jurisdictions where extremist factions remain active. The report concluded, "These remittances are indistinguishable from regular diaspora support until forensic financial intelligence identifies irregularities."