U.S. grand jury indicts key suspect in Pearl case

Police cover Ahmed Omar Saeed Sheikh's head as they lead him into court Tuesday in Pakistan.

WASHINGTON (CNN) -- A federal grand jury in New Jersey handed up an indictment Thursday against the lead suspect in the kidnapping and murder of Wall Street Journal reporter Daniel Pearl.

Ahmed Omar Saeed Sheikh is charged with hostage taking and conspiracy to commit hostage-taking resulting in Pearl's death.

Attorney General John Ashcroft announced the indictment in Washington.

"The story that Daniel Pearl died trying to tell will be told, and justice will be done," Ashcroft said. He said he had met Thursday with Pearl's widow, Mariane, whom he called "an eloquent and forceful reminder to all of us that what is at stake in the fight against terrorism is nothing less than the values of free speech and open inquiry that Daniel cherished, the values that protect and undergird the freedom we enjoy."

The indictment was returned in New Jersey because the Wall Street Journal has offices there, and FBI agents from New Jersey have been working the case.

The family of Daniel Pearl has established a charity "to support the causes to which he dedicated his life." Donations can be sent to: Daniel Pearl Family Foundation c/o The Wall Street Journal P.O. Box 300 Princeton, N.J. 08543 U.S.A.  CNN NewsPass Video    •  Four found guilty in Pearl killing   MORE STORIES   •  Pearl family welcomes verdict   •  UK urges leniency for Pearl killer   •  Tom Mintier: Backlash a fear in Pearl verdicts   •  TIME.com: A casualty of the war on terror  EXTRA INFORMATION   •  Messages of sorrow, shock after Pearl's killing  RESOURCES   •  Obituary: Daniel Pearl   •  Timeline: Key dates in the Pearl kidnapping   •  Gallery: The life of Daniel Pearl

Ashcroft also announced a previously sealed indictment returned last November by a separate grand jury in Washington against Saeed for his alleged role in the 1994 kidnapping of four Western tourists, including one American.

Pakistani prosecution gets extension

A Pakistani judge Tuesday for a third time extended the deadline for prosecutors in Karachi to file charges against Saeed and three other suspects in Pearl's kidnapping and murder, but warned them there will be no more extensions -- and that charges must be filed by March 22.

Saeed was taken into custody February 5.

The head prosecutor, Advocate General Raja Qureshi, told the court he needed more time because there were still other suspects who need to be arrested and tracking them is difficult because false names are being used.

"I would not say that we don't have ample evidence. We do have ample evidence, but given the nature of the case further time is required," Qureshi said outside the courtroom.

Three likely to face charges

Saeed, along with Salman Saquib, Saquib's brother, Fahad Naseem, and Sheikh Adil are all expected to face charges in Pearl's kidnapping and death.

Saeed made a threat as he was led from the court after the hearing.

"American will suffer if I am killed in a false encounter at their behest," Saeed said, referring to a high court decision that said he could be extradited to the United States as long as it was according to Pakistani law.

Saeed has admitted in court that he orchestrated the plot against Pearl, although his statement was not made under oath, so it cannot be used as evidence.

On February 21, the U.S. State Department confirmed The Wall Street Journal reporter was killed, based on a videotape showing his body, which has not yet been found.

CNN Correspondent Susan Candiotti contributed to this report.