Washington: The United States has said it has indicted a leader of an Islamic "charity", based in Chicago, for alleged links to al-Qaeda and other terrorist organisations.

Leader of 'Benevolence International Foundation', Enam Arnaout, "is charged with conspiracy to obtain fraudulently charitable donations in order to provide financial assistance to al-Qaeda and other organisations engaged in violence and terrorism," Attorney General John Ashcroft told reporters in Washington on October 9.

Arnout, 40, is charged with one count of conspiracy to engage in a racketeering enterprise, one count of conspiracy to provide material support to terrorists, two counts of money laundering, two counts of mail fraud and one count of wire fraud.

He has been in Federal custody since April and if convicted, he could be sentenced to 90 years in prison without parole, Ashcroft said.

"It is chilling that the origins of al-Qaeda were discovered in a charity claiming to do good," he said.

"There is no moral distinction between those who carry out terrorist attacks and those who knowingly finance terrorist attacks," Ashcroft said.

"And what is perhaps most disturbing about this case is that Enaam Arnaout is charged with using a purportedly charitable organisation to deceive Muslim-American charitable givers, who are obliged by the principles of their religion to donate to legitimate charity," he said.

PTI