The UK government has used its Domestic Counter-Terrorism Regime for the first time to disrupt funding for the pro-Khalistan militant group Babbar Khalsa, targeting British Sikh businessman Gurpreet Singh Rehal and an associated organisation.
Rehal, linked to the Panjab Warriors sports investment firm, faces an asset freeze and director disqualification after being suspected of involvement in terrorist activities in India, the UK Treasury said. Alongside him, Babbar Akali Lehar was also sanctioned for promoting and supporting the group.
Lucy Rigby, Economic Secretary to the Treasury, said, “We will not stand by while terrorists exploit Britain’s financial system. This landmark action shows we are prepared to use every tool at our disposal to choke off funding for terrorism, wherever it occurs and whoever is responsible.”
HM Treasury assessed that Rehal supported Babbar Khalsa and Babbar Akali Lehar through recruitment, financial assistance, and procurement of weapons and other military materials. The sanctions freeze all UK-held funds and economic resources linked to Rehal or Babbar Akali Lehar, and prevent any dealings with them without a licence. Rehal is also barred from acting as a director or taking part in company management.
The action follows collaboration between the Treasury and policing partners under the Counter-Terrorism (Sanctions) (EU Exit) Regulations 2019, which allows asset freezes and restrictions on individuals or entities suspected of terrorism. Violations carry penalties of up to seven years’ imprisonment or civil fines up to £1 million or 50% of the breach value.
The sanctions extend to Rehal-owned organisations, including Saving Punjab, Whitehawk Consultations Ltd, and the unincorporated Loha Designs.
Panjab Warriors, which recently acquired Morecambe FC, issued a joint statement clarifying that Rehal only held a consultancy role and is no longer associated with either organisation. The firm said it had strengthened internal governance and compliance procedures in response.
The Indian government has welcomed the UK’s decision. External Affairs Ministry spokesperson Randhir Jaiswal, during a weekly media briefing, said, “Such individuals and entities pose a threat not only to India and the UK but to people around the world.
“We look forward to continuing close cooperation with the UK in further strengthening our counter-terrorism and security efforts.”
