Home Minister P Chidambaram and Pakistan High Commissioner Shahid Malik were engaged in an unusual exchange of words on Friday, with the minister stating that all militant outfits across the border are supported by ISI and the envoy rebutting any involvement of state actors in terror acts against India.

The ISI continues to maintain links with Lashkar-e-Taiba, the terrorist outfit responsible for 26/11, and Islamabad is reluctant to take action against its leaders and its network, several eminent US scholars and experts of South Asia have categorically told US lawmakers.

Dismissing Pakistan's allegation that India was involved in the Lahore blast, External Affairs Minister S M Krishna today said it was "most unthinkable" and a "falsehood" that was being spread.

Terming the 26/11 terror attack as Pakistan government sponsored one, the prosecution on Tuesday opened its final arguments in the case saying the neighbouring country's Army was also involved in the dastardly attack.

A Pakistani provincial minister today alleged that India's RAW was involved in the suspected suicide car bomb attack in Lahore, even as federal Interior Minister Rehman Malik claimed "signatures of India" were there in weapons seized from militants in the tribal areas.

Pakistan wants to establish friendly relations with all its neighbours, including India, but New Delhi needs to change its policies towards Islamabad, Foreign Minister Shah Mahmood Qureshi said on Sunday.

India expressed "surprise" over Pakistan's claim that the issue of arrest of Hafiz Saeed, one of the 26/11 masterminds, was not taken up during Foreign Secretary-level talks in New Delhi.

Two mine blasts have rocked Indo-Pak border in Hiranagar and Akhnoor sub-sectors in Jammu and Kathua districts, police said.

Contending that dialogue was the only way forward with Pakistan, Prime Minister Manmohan Singh on Friday said the decision to hold foreign-secretary level talks was a "calculated" one but there can be no meaningful discussion till terror from there is ended.

Senior BJP leader L K Advani today said the Prime Minister had breached Parliamentary propriety by making "false" claims that enhanced pension announced for army personnel had been met.

Premier Yousuf Raza Gilani has said dialogue is the only way forward for resolving all issues between India and Pakistan despite a perceived lack of progress during the recent Foreign Secretary-level talks.

Amidst indications emerging of Pakistan-based LeT's involvement in the attack on Indians in Kabul, the top US envoy for the region today cautioned against jumping to conclusions, saying Indian facility was not the target.

India is willing to walk the "extra mile" to open a new chapter in relations with Pakistan but it must act decisively against terrorism, Prime Minister Manmohan Singh asserted on Monday.

Notwithstanding the recent Indo-Pak Foreign Secretary-level meeting for which India took initiative, JuD chief Hafiz Mohd Saeed has said Pakistan will have to "fight a war at all costs" if New Delhi is not prepared to hold talks.

Saudi Arabia can be a "valuable interlocutor" between India and Pakistan, Minister of State for External Affairs Shashi Tharoor said today and subsequently clarified that he did not mean that Riyadh should be a mediator.

Seeking resumption of the stalled composite dialogue, Pakistan on Friday insisted that talks are the only way forward as "wars are not the solution" and said it has presented to India some proposals for high-level parleys and a roadmap to move ahead the process.

Claiming that the foreign secretary level talks between India and Pakistan produced nothing, BJP today said the outcome has substantiated the party's stand that "terror and talks just cannot go together."

India and Pakistan have realised that only they can resolve the differences between them and United States will encourage the two nations to do so, US Secretary of State Hillary Clinton has said.

Pakistan Foreign Secretary Salman Bashir on Friday called on External Affairs Minister S M Krishna and discussed bilateral relations.

In a retort to Pakistan's contention that it was "not desperate" for dialogue, India tonight said neither was it desperate for talks and indicated unhappiness over the attempts at "point-scoring" by Pakistan.

After a 14-month hiatus, Foreign Secretaries of India and Pakistan met here today for structured talks with an aim of ending the chill in the relations caused by Mumbai attacks.

Pakistan Foreign Secretary Salman Bashir arrived in New Delhi for talks on Thursday affirming that he was hopeful of a "positive outcome" but it was clear that India was not expecting any breakthrough given the "trust-deficit" post Mumbai terror attacks.

The resurgence of Jamaat-ud-Dawa could chill the first round of peace talks between Pakistan and India since the Mumbai terror attack.

In yet another ceasefire violation, Pakistani troops fired on a forward post along the Indo-Pak border in Samba sector early today, leaving a BSF jawan injured.

Pakistan said on Tuesday that it wants all bilateral issues, including Kashmir, to be discussed at the Foreign Secretary-level talks on Thursday, and feels much progress would not be made if India restricts the dialogue to a "narrow agenda" of terrorism.