KUWAIT/TRIVANDRUM, 28 August 2004 — Kuwait and Gulf Link Transport Co (KGL) said yesterday it would halt its operations in Iraq after a group holding seven of its drivers hostage said they would release them if the firm ended its work in the country.

“KGL welcomes the statement by the... (group) on its willingness to release the seven drivers. And so the company has agreed to stop its operations in Iraq and would like to say it has no presence currently in Iraq,” a company statement said.

A group calling itself the Black Banners Division of the Islamic Secret Army said in a video statement on Thursday it would free the three Kenyans, three Indians and one Egyptian and that it only demanded that KGL end its work in Iraq first — forsaking other conditions the kidnappers had made earlier.

In addition to leaving Iraq, the group had earlier demanded that KGL pay compensation to families who had suffered in air strikes on the Iraqi city of Fallujah. The company statement said nothing about any compensation.

Talks between KGL and the group to free the seven men captured in July had been mediated by Iraqi tribal leader Sheikh Hisham Al-Dulaymi. India yesterday welcomed the statement broadcast by an Arab television channel that its citizens would be released.

“I have been told that a statement has been issued. I welcome that. I hope things will take a positive turn soon,” E. Ahamed, minister of state for external affairs, said.

However, Ahamed, who is also heading the Crisis Management Group, that was formed to deal with the situation after the kidnapping of the three Indians on July 21, said he would prefer to wait patiently for the release.

“Let’s be patient. I would prefer to wait patiently as it is a sensitive issue and cannot be any time frame in these kind of developments,” he said.

Though away from national capital for attending his official engagements, Ahamed has been constantly in touch with the Indian missions in Baghdad and Kuwait. “I have been closely monitoring all developments,” he said.

Three Indian truckers — Antaryami, Tilak Raj and Sukhdeo — were abducted by the militant group. — Additional input from IANS.