Terrorism has assumed various forms in modern India. Many groups, ranging from extreme left to conservative right and from those seeking secession to those wanting to spread Islamic Jihad, are operating within Indian territory. These groups have murdered, assaulted, and raped citizens to terrorize the population. In the State of Bihar, terrorism has stemmed from the Communist insurgency begun in the early part of the 19th century and evolving to a virulent form beginning in the 1970's. Left-wing extremism is fueled by the feudal nature of Bihar society, which is segregated into thousands of castes. Caste considerations dominate issues of economic policies, agricultural production, education, health, and shelter. Impoverished laborers and small peasants see little option for improving their lives except by violent struggle against their exploitation. Left-wing cadres are heavily armed; many work for money and have been accused of robberies, kidnapping, and rape. On the other hand, the upper castes have also reacted violently to the attempts of the Communists to challenge their authority. They have funded armed men to protect their interests and to combat the armed squads of the Communists. This paper argues that victimization was coming both from the brutalities of the terrorist squads and the illegal actions of the police agencies; however, underlying terrorist actions were government policies that have failed to address the democratic and economic concerns of citizens. The author argues that in combating the violence of terrorists, state agencies must not go beyond the parameters of legal boundaries. Otherwise, those who need protection will be victimized by those entrusted with their protection. 27 references