Quoting intelligence inputs, the official said leader of the hardline faction of ULFA Paresh Baruah had convinced NSCN-K leader S S Khaplang to snap the ceasefire agreement with Indian government in March last.
Baruah was acting following instructions from some senior officials of China's PLA, the official said, indicating that had the peace pact not been abrogated, the killing of 18 armymen in Manipur on June 4 would not have taken place.
The intelligence inputs also suggested that a former officer of China's PLA has set up a factory of assault rifles in Kachin province of Myanmar and majority of the arms produced in it are being supplied to militants of the Northeast, including NSCN-K.
The official said the arms manufacturing unit is located at Pangwa, along Sino-Myanmarese border, and set up by former PLA officer Muk Yan Pau Huan along with former leader of Burmese Communist Party Tin Ying.
There are at least two dozen insurgent groups operating in the Northeast and most of them have bases and training camps in Kachin province of Myanmar.
Both Khaplang and Baruah help the insurgent groups procuring arms and ammunitions.
In the worst such attack in two decades, insurgents had on Thursday ambushed a military convoy in Manipur's Chandel district killing at least 18 army personnel and injuring 11 others.
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