The Conservative government has outlawed the Liberation Tigers of Tamil Eelam, making it illegal for anyone in Canada to support or participate in the group's activities.

The separatist Sri Lankan group, commonly known as the Tamil Tigers, is the first organization to be banned by the Conservatives, but the 39th group outlawed under Canada's Anti-Terrorism Act.

The change became effective April 8, and was announced Monday by Public Safety Minister Stockwell Day, who is said to have spearheaded the move by the Conservatives.

He said that the change was partly motivated by reports of the Tamil Tigers raising funds through alleged coercion in this country.

"Human rights watch and other groups have reported very clearly that there has been intimidation going on within the Tamil community in Canada," Day told reporters Monday afternoon.

Listing the Tamil Tigers under the Criminal Code means that any groups or individuals associated with them are also vulnerable to prosecution. It also means it is a criminal offence to participate in the activities of the Tigers, with a punishment of up to 10 years in prison.

"The decision to list the LTTE is long overdue and something the previous government did not take seriously enough to act upon," Day said in a release.

"Our government is clearly determined to take decisive steps to ensure the safety of Canadians against terrorism."

Foreign Affairs Minister Peter MacKay said that this decision will not affect Canada's participation in next week's peace talks in Switzerland about the Sri Lankan situation.

"We continue to support all efforts to bring theses two parties together because of the large diaspora in Canada. We have a vested interest in seeing the talks continue and this is not us taking sides," MacKay told reporters.

The former Liberal government barred Tamil Tigers from raising cash in Canada as part of anti-terrorism efforts after Sept. 11, but did not take the step of outlawing membership in the organization.

The upgrade from banning funding to listing the group under the Criminal Code means that institutions are now required to report any activity.

Furthermore, having the group listed under section 83 of the Criminal Code "will give cases extra weight in a court of law in terms of following through with prosecution for those involved in terrorist activities or supporting terrorist activities," Day said.

The group has been fighting for an independent Tamil state in Sri Lanka for the past 23 years. More than 64,000 deaths are attributed to the conflict, which has often involved suicide bombers.

Between 600,000 and 800,000 Tamils have relocated worldwide. They number about 300,000 in Canada.

Both MacKay and Day were clear on the fact that this change is meant to affect only individuals involved in terrorist activity and not regular citizens.

"This is not going to affect peace-loving, law-abiding Tamils living in Canada and their ability to support their families, to visit their families to have their families come here -- that is not going to change their status," MacKay said.

Last month, Human Rights Watch claimed the LTTE continues funding its terrorist activities by extorting cash from expatriate Tamils in Canada, Britain and elsewhere.

Vincent Veerasuntharam, a Tamil businessman from Toronto who ran unsuccessfully as a Tory candidate in the January election, said Tamils are concerned about the impact the terrorist designation will have on their ability to see their loved ones in their homeland.

"They're Canadians first, law-abiding citizens, hard-working people, paying their taxes, raising families," Veerasuntharam told The Canadian Press.

"But they have a lot of families left there (in Sri Lanka). They just want justice and peace for their folks."

With files from The Canadian Press