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Hafiz Saeed, the head of Islamic organization Jamaat-ud-Dawa speaks to gathering during an anti-American and Indian rally on the grounds of the Minar-e-Pakistan in Lahore December 18, 2011. Credit: Reuters/Mohsin Raza By Frank Jack Daniel NEW DELHI | Tue Apr 3, 2012 7:49am EDT NEW DELHI (Reuters) - The United States has posted a $10 million reward for help in the arrest of a Pakistani Islamist leader, Hafiz Mohammad Saeed, suspected of masterminding attacks on India's financial capital and its parliament. The reward comes at a time of heightened tension between the United States and Pakistan and is likely to increases pressure on Pakistan to take action against the former Arabic scholar, who has recently addressed rallies in Pakistan despite an Interpol warrant for him. Released from house arrest in 2009, Saeed is a free man in Pakistan. India has long called for Saeed's capture and said the bounty - one of the highest on offer - was a sign the United States understood its security concerns. Last week, Saeed evaded police to address an anti-U.S. rally in the Pakistani capital. "India welcomes this new initiative of the government of the United States," Indian External Affairs Minister S.M. Krishna said on Tuesday of the bounty announced on the U.S. Rewards for Justice website. "In recent years, India and the United States have moved much closer than ever before in our common endeavor of fighting terrorists." The United States only offers a $10 million reward for three other people it suspects of terrorism, with a single reward of up to $25 million for Egyptian-born Al Qaeda leader Ayman al-Zawahiri. There was previously no U.S. bounty for Saeed. In the 1990s, Saeed founded Lashkar-e-Taiba (LeT), one of the largest and best-funded Islamist militant organizations in South Asia. He abandoned its leadership after India accused it and another militant group of being behind an attack on the Indian parliament in December 2001. Saeed's freedom of movement in Pakistan has angered India, which says it has given its neighbor a dossier of evidence to arrest the bespectacled firebrand. "There is enough material to detain him and we feel the Pakistan government is not doing its duty," Home Minister P. Chidambaram told Reuters. Pakistan's President Asif Ali Zadari is due to visit India on Sunday and is expected to meet Prime Minister Manmohan Singh. CHARITY A FRONT? Saeed heads the Jamaat-ud-Dawa (JuD) charity, described by the United Nations as a front for the LeT, which is banned in Pakistan. He denies any connection to the LeT. Yahya Mujahid, the JuD's spokesman, said the reward was a reaction to his group's campaign against attacks in Pakistan by U.S. drone aircraft and its opposition to supplies being transported through Pakistan to NATO forces in Afghanistan. "This inappropriate American behavior will not cause any problems for Hafiz Mohammad Saeed, but it will definitely intensify anti-American sentiments in the hearts of millions of Muslims," Mujahid said in a statement. Saeed, 61, is suspected of masterminding numerous attacks, including the November 2008 militant assault on Mumbai in which 166 people, including six U.S. citizens, were killed. Ten Pakistani gunmen killed commuters, foreigners and some of India's wealthy business elite in the three-day rampage in the city, which included attacks on two luxury hotels, a Jewish centre and a train station. This year, Saeed has made appearances in support of the Defense Council of Pakistan, an alliance of groups campaigning for a break in ties with the United States and India. The LeT was nurtured by Pakistan's Inter-Services Intelligence (ISI) spy agency to fight Indian forces in disputed Kashmir and analysts say it is still unofficially tolerated by Pakistan, though it was banned there in 2002. Admiral Robert Willard, the head of the U.S. military's Pacific Command, last year expressed concern over the expanding reach of LeT, saying it was no longer solely focused on India, or even in South Asia. (Reporting By Frank Jack Daniel; Additional reporting by Sheree Sardar in ISLAMABAD; Editing by Qasim Nauman and Robert Birsel) World United Nations Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (4) rmkraussr wrote: Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Connect with Reuters Twitter Facebook LinkedIn RSS Podcast Newsletters Mobile About Privacy Policy Terms of Use AdChoices Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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