Ottawa – For the first time, Canada has officially admitted that Khalistani terrorist groups are operating from its soil and receiving financial support.
A new report by Canada’s Finance Department on money laundering and terrorist financing risks flagged groups such as Babbar Khalsa International, International Sikh Youth Federation, and Sikhs for Justice as beneficiaries of funds raised in Canada.
The assessment said these groups, listed under Canada’s Criminal Code as terrorist entities, fall under the Politically Motivated Violent Extremism (PMVE) category. It also highlighted financial links between Canadian networks and groups like Hamas and Hezbollah.
Law enforcement and intelligence agencies observed that extremist groups are capitalising on a mix of charitable donations, drug trafficking, auto thefts, and crowdfunding, including cryptocurrency transactions, to sustain operations. The misuse of the non-profit sector by Khalistani extremists and funding from the diaspora community were specifically flagged.
The report noted that while the once-extensive fundraising networks in Canada have shrunk, “smaller pockets of individuals with allegiance to the cause” remain active.
The findings put renewed pressure on Ottawa, which has long been accused of turning a blind eye to Khalistani extremism. Former Prime Minister Justin Trudeau faced criticism for inaction, and attention now shifts to his successor, Mark Carney, on whether he will take corrective measures against terror financing networks.
