The suspension was preempted to stop him flying to New York for an event where he was likely to have spoken against India, official sources said on Tuesday.
Jammu and Kashmir Chief Minister Ghulam Nabi Azad has defended his decision to allow the pro-Pakistani hardline separatist leader Syed Ali Shah Geelani to perform Haj saying the piligrimage is necessary for all Muslims.
Geelani termed as 'futile' the Centre's move to open three rehabilitation points along the LoC.
Saeed called Geelani in Jammu and Kashmir and "expressed his concern" over the health of the Hurriyat leader, the Jamaat-ud-Dawa, an organisation founded by Saeed and seen as the parent of the LeT, said in a release from Lahore.
Most of the shops, business establishments, petrol pumps and offices were shut in and around the Lal Chowk city centre and in many areas elsewhere in the city, while government offices witnessed thin attendance, officials said.
Chairman of the hardline faction of Hurriyat Conference Syed Ali Shah Geelani was placed under house arrest on Wednesday morning, official sources said.\n
The meeting is seen as a rebuff to Jamaat leader and chairman of the breakaway Hurriyat Conference faction Syed Ali Shah Geelani, who has been asking Pakistan to stay away from the Hurriyat's moderate leadership.
They will be here on an invitation of SAFMA's Indian Chapter.
A joint contingent of police and paramilitary forces laid a cordon around Geelani's Hyderpora house early in the morning.
Geelani, who Islamabad's backing, is understood to have impressed upon Kasuri to do more on involving Kashmiris in the dialogue process.
A letter was sent to Geelani late on Wednesday night informing him about his 'replacement' and directions to vacate his residence, Amir-e-Jamaat Nazir Ahmed Kashiani told PTI.
The separatist leader was scheduled to attend the funeral prayers of militant commander Manzoor-ul-Islam, who was killed in an encounter with security forces on Wednesday night, his spokesman said.
Shops, business and educational institutions in the Kashmir valley remained closed, official sources said.
Kashmir observed a complete shutdown on Friday against the alleged desecration of holy Quran by the US troops\nin Guantanamo Bay detention centre, official sources said.
Posters printed in Urdu, seen pasted in several villages of Anantnag and Pulwama districts of South Kashmir, have asked people to boycott the polls.
He is suspected to be suffering from cancer in the kidney.
"There is [a] strong difference of opinion with Geelani. If he cooperates and removes this difference it would be fine. Otherwise, he will slowly be isolated."
Geelani also condemned Pakistan government for accepting moderates as representatives of the Kashmiris.
Among them are Syed Ali Shah Geelani and Shabir Ahmed Shah.
The two factions of the All Parties Hurriyat Conference on Tuesday reacted cautiously to Pakistan President Pervez Musharraf's proposal to demilitarise some regions of Kashmir on both sides of the Line of Control and grant them automomy.
Leader of the breakaway faction of the Hurriyat Conference refused to meet Union Textiles Secretary Wajahat Habibullah.
The joint separatist camp, including Hurriyat Conference factions led by Syed Ali Shah Geelani and Mirwaiz Umar Farooq and Yasin Malik-led Jammu-Kashmir Liberation Front, has asked the people to march to Tral to pay tributes to Wani, who was killed in an encounter with security forces on this day last year.
Chairman of the hard line faction of the Hurriyat Conference Syed Ali Shah Geelani, on Tuesday, called for a Kashmir bandh on Wednesday to protest the killing of three boys by the army.
The team of Pakistani journalists called on separatist leader Syed Ali Shah Geelani.
The pro-Pakistan Peoples League criticised Mirwaiz Umer Farooq for holding talks with the Centre.
If granted permission, he would be travelling by the June 15 bus along with the visiting Kashmiri separatist leaders, who are scheduled to return the same day after their visit to Pakistan.
'The THJK's agenda is that J&K shall achieve its objectives by pursuing the tenets of Islam, which say that a Muslim has to choose a Muslim as a friend and not a non-Muslim,' says separatist leader Syed Ali Shah Geelani.
"I got the invitation from the Pakistan High Commission on Tuesday," Geelani said.