Pro-Taliban militants have strengthened their hold on the Swat valley in northwestern Pakistan by seizing several key towns after outnumbered security forces laid down their arms and fled their posts.

Militants are now controlling key towns like Matta, Khwazakhela, Madyan and Charbagh, all located near Imamdheri, the stronghold of radical cleric Maulana Fazlullah.

Hundreds of militants have taken over the police stations in these towns, have established their own check posts and are patrolling the streets. On November 6, it was reported that in Matta, militants had replaced the Pakistani flag with their own at the police station after over 120 security personnel surrendered.

President Pervez Musharraf [Images] cited the growing threat from militants and extremists as one of the main reasons behind his decision to impose emergency on November 3. His move, however, has not been translated into a stepped up drive against militants in tribal areas bordering Afghanistan, described by the US as a 'safe haven' for Al Qaeda [Images] and Taliban elements.

Fazlullah, nicknamed 'Mullah Radio' for his calls for jihad broadcast from an illegal FM station, is moving around Swat like 'a ruler with full protocol,' The News reported.

He appointed 'governors' in Kabal, Matta and Khwazakhela and ordered the setting up of Islamic courts in areas under his control. He has also opened a register for complaints in his headquarters at Imamdheri, the report said.

Security experts have pointed out that the capture of several towns in Swat in the North West Frontier Province reflects how the militants have penetrated deeper into Pakistan from their strongholds on the Afghan border.

The government rushed over 2,500 paramilitary forces to Swat last month to quell the activities of the 34-year-old Fazlullah and his armed Shaheen Commando Force. But the troops backed by artillery and helicopter gunships have apparently made few gains against the rebels.

A day after the emergency was imposed, the government freed 25 militants, including some convicted by anti-terror courts, for 213 soldiers captured in South Waziristan in August by Taliban commander Baitullah Mehsud.

Among the militants was Sohail Zeb, 24, who was sentenced to 24 years in jail for planning a suicide attack. Security experts also believe the military regime's pre-occupation with the political crisis in Islamabad has diverted its attention from the anti-terror drive in the restive Federally Administered Tribal Areas and the Swat valley.

The tension in Swat has prompted over 50,000 people to flee from the scenic valley, once a popular tourist destination, to other parts of the NWFP. Hundreds of hotels and restaurants have closed down in the past two months and most schools in areas controlled by Fazlullah's men are currently shut.

Taliban commanders in Bajaur and North and South Waziristan have warned that they will come to Fazlullah's aid if the government steps up its operation against the cleric.