The United States has announced a $10 million bounty for the arrest of Hafiz Mohammad Saeed, founder of the Pakistani group blamed for the terrorist attacks on Mumbai in 2008, the Washington Post said.
In a surprising development, India was pleased but Pakistan was agitated and strain was added to already shaky alliance.
The reward was approved by U.S. Secretary of State Hilary Clinton, who appeared to tilt the United States toward India at a rather delicate time.
India is the historical antagonist of Pakistan, and both nuclear-armed rivals have a large stake in the future of Afghanistan.
Saeed, 61, has long been designated as an international terrorist, yet he continues to preach jihad and operates a large campus for religious training in the easter city of Lahore.