New Delhi, Feb 6 (IANS): A special National Investigation Agency (NIA) court in Delhi dismissed a bail application filed by former Jammu & Kashmir independent legislator Engineer Rashid in a terror funding case.

Rashid, an MLA from North Kashmir's Langate Assembly, is currently lodged in Tihar jail for allegedly funding terror activities in the Kashmir valley. He was arrested on August 9 last year in connection with this.

While rejecting his bail application, special judge Praveen Singh observed that the prosecution has successfully established that there are reasonable grounds to believe the accusations against the accused are prima facie "true".

According to the National Investigation Agency, Rashid received unaccounted funds from another co-accused named Zahoor Ahmad Watali, against whom there are reasonable grounds of existence of prima facie case under Unlawful Activities (Prevention) Act.

"The applicant had incited, encouraged and helped stone pelters. Accused, through his video, as discussed above, had tried to foment dissatisfaction in Jammu & Kashmir Police against the Army," the agency said.

NIA further submitted that the former legislator had also issued veiled threats to police personnel.