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Testifying during the trial of Tahawwur Hussain Rana, a Mumbai attack co-accused, Headley said that he made a video of the German Bakery which was bombed on February 13, 2010 killing at least 17 people and injuring 60 others.
Headley was under arrest by the Federal Bureau of Investigation, the German Bakery was attacked. Headley, who ended his testimony, said that he had made a list of Chabad houses in Delhi, Pushkar and Pune, which could be targeted.
The German Bakery is located near the Chabad House and an Osho Ashram in Pune. The German Bakery blast was a part of the Karachi Project -- an LeT project with the Indian Mujahideen.
Earlier Headley had told FBI that he did not carry out surveillance of the bakery, but later confessed to the Indian agents of National Investigation Agency that he had conducted its surveillance.Headley also said that he had plans to write a book and make a movie on the events in his life. Rana's lawyer Patrick Blegen said that Headley had told several people including his wife so. "If I write a book, I can make huge amounts of money," Headley said.
The Pakistani-American said that he made a "fool" of Rana by involving him in the 26/11 Mumbai attack conspiracy.
"I made a fool of him. Poor fellow was stuck in this for no fault of his. I made a fool of him in getting to assist me on what I did. I made a fool of him," Headley told Rana's lawyer.
While Headley has pleaded guilty, Rana has maintained that he is not guilty in the charge of "support to terrorism". The defence attorneys said Headley lied to the law enforcement agencies and implicated Rana in the plot in a bid to save his life.
Headley conceded that he was secretly researching on Internet at Rana's house. "As expected this guy has a very troubled history and past," Blegen said.
"It's my sense that he answered the questions affirmatively because we had a stack of papers to contradict him. He lied before in the past," Blegen said
Headley expressed remorse at the killing of Indian people at the trial.
"You are remorseful for what you have done," asked Blegen.
"Yes, I feel bad about my grievances and the way I went to address them," Headley said. "You've been converted from your previous ways," Blegen asked.
"Yes," Headley replied.
"When did you have the conversion," Blegen asked.
"I don't have an exact date, but I'm still in the process," Headley said.
"The true image of David Headley emerged over the last three days," Swift said. According to him, Headley gave Rana money to keep him in his trap.
"Headley has always manipulated people -- always does. He did it for years before he made friends with Rana not for today but for years," Swift said.
FBI agents and Rana's relatives will be the next witnesses in the trial.
Headley also had plans that he and his wife Shazia, with whom he has four kids, would do religious work and teach the world about Islam after his release from prison. He looks forward to a lighter sentence.
"I would like my kids to do the same. I believe there are a lot of wrong impressions about Islam in the media and would like to do that," Headley added.
Headley has asked his wife to read the Bible along with the Quran while he is in prison. He is testifying against alleged co-conspirator Rana in exchange for avoiding the death penalty and extradition to India, Pakistan or Denmark.
The trial is expected to last till June 15. If convicted Rana faces a possible life sentence.