They used structured networks, like non-profit organisations (NPOs), charities or community organisations, to collect and transfer money. However, recent assessments state that these networks have diminished over time, the report added.
“Khalistani extremist groups supporting violent means to establish an independent state within Punjab, India, are suspected of raising funds in a number of countries, including Canada. These groups previously had an extensive fundraising network in Canada, but now appear to consist of smaller pockets of individuals with allegiance to the cause but seemingly no particular affiliation to a specific group,” the report said.The report titled, 2025 Assessment of Money Laundering and Terrorist Financing Risks in Canada, states that Babbar Khalsa International, International Sikh Youth Federation and Sikhs for Justice have been active in Canada and are raising funds that may support politically motivated violence abroad.
Along with Khalistani groups, Canada has also listed other terrorist organisations, including Hamas and Hezbollah, under the Politically Motivated Violent Extremism (PMVE) category.
“Several terrorist entities listed under the Criminal Code in Canada that fall under the PMVE category, such as Hamas, Hezbollah, and the Khalistani violent extremist groups Babbar Khalsa International and the International Sikh Youth Federation, have been observed by law enforcement and intelligence agencies to receive financial support originating from Canada,” the report said.
The PMVE category includes those groups who are looking to achieve political objectives, either by creating a new political system or by changing existing systems and structures through violent means.
Earlier in January, Canada admitted that acts of terrorism targeting India are being planned and funded from within its borders.
The seven-volume report revealed that Khalistani extremists continue to use Canada as a base for promoting, fundraising and planning violence, primarily aimed at India.
