New Delhi: The government today decided to declare an NGO promoted by controversial Islamic preacher Zakir Naik as an outlawed organisation under the anti-terror law for five years for its alleged terror activities.

The decision has been taken at a meeting of the Union Cabinet presided over by Prime Minister Narendra Modi.

The Cabinet approved a proposal to declare Islamic Research Foundation (IRF) as an 'unlawful association' under the Unlawful Activities Prevention Act for five years, a Home Ministry official said.

A formal notification will be issued by the Home Ministry soon.

The move comes after investigation by the Home Ministry found the NGO was allegedly having dubious links with Peace TV, an international Islamic channel, accused of propagating terrorism, the official said.

According to the Home Ministry, Naik, who heads the IRF, has allegedly made many provocative speeches and engaged in terror propaganda.

Maharashtra Police has also registered criminal cases against Naik for his alleged involvement in radicalisation of youths and luring them into terror activities, officials said.

Naik also transferred IRF's foreign funds to Peace TV for making "objectionable" programmes. Most of the programmes, which were made in India, contained alleged hate speeches of Naik, who had reportedly "urged all Muslims to be terrorists" through Peace TV, they claimed.

An educational trust run by Naik have already been prevented from receiving foreign funds and agencies are looking into their activities.

He came under the scanner of the security agencies after Bangladeshi newspaper 'Daily Star' reported that one of the perpetrators of the July 1 terror attack in Dhaka, Rohan Imtiaz, ran propaganda on Facebook last year quoting Naik.

The Islamic orator is banned in the UK and Canada for his hate speech aimed against other religions. He is among 16 banned Islamic scholars in Malaysia.

He is popular in Bangladesh through his Peace TV, although his preachings often demean other religions and even other Muslim sects. The Mumbai-based preacher who is abroad, has not returned to India ever since the controversy came to light.