The decision was taken under Prime Minister Narendra Modi's "zero-tolerance policy against" terror, Union home minister Amit Shah said, announcing the move on X, formerly Twitter.
"The Tehreek-e-Hurriyat, J&K (TeH) has been declared an 'Unlawful Association' under Unlawful Activities (Prevention) Act. The outfit is involved in forbidden activities to separate J&K from India and establish Islamic rule," Shah said.
"Under Prime Minister Narendra Modi Ji's zero-tolerance policy against terrorism, any individual or organisation found involved in anti-India activities will be thwarted forthwith," he added.
The pro-Pakistan group was formed by separatist leader Syed Ali Shah Geelani in 2004. It is a constituent of the hardline Hurriyat Conference which consists of 24 smaller outfits.
In its statement, MHA said the outfit's objective was to separate Jammu and Kashmir from India, and "establish Islamic rule" in the Union territory.
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