The National Investigation Agency (NIA) conducted raids at the residence of Syed Shahid Yousuf, son of Syed Salahudeen, the chief of the Hizb-ul-Mujahideen, in the Soibugh village of central Kashmir's Budgam district on 26 October.
The NIA team raided at about 4:30 a.m. and left the place at about 7 a.m.
A Delhi court yesterday sent Syed Shahid Yousuf to a seven-day NIA custody.
Shahid Yousuf was arrested on Tuesday pertaining to the terror funding of the Hizb-ul-Mujahideen.
"During his questioning, Shahid Yousuf admitted to have received the funds from the cadres of the Hizb-ul-Mujahideen on the direction of his father Syed Salahudeen, for fomenting terror activities in the valley," the NIA said.
The agency added that Shahid Yousuf had revealed the names of his associates abroad, who were involved in raising, collecting and transferring funds.
The same is being further verified and investigated.