"It is a living example of lawlessness and state terrorism, a slap in the face of the Kashmiri people whose lives have no value for the Indian army," Hurriyet leader Syed Ali Geelani said in a statement.
The five local civilians were killed in Pathribal village days after the massacre of 35 Sikhs in a remote village of Chattisinghpora in May 2000.
The army claimed the victims were "foreign militants", accusing them of being responsible for the massacre.
But a subsequent probe by India's top investigating agency, the Central Bureau of Investigation, described the killings as "cold blooded murder", paving the way for a trial in a military court held behind closed doors.
The five were however cleared on Thursday as "the evidence recorded could not establish a prime facie case against any of the accused persons", according to an army statement.
In its verdict, the tribunal did not dispute the CBI's findings that the victims were civilians but it added that they were killed during an operation "based on specific intelligence".
Scores of activists from the Jammu Kashmir Liberation Front staged a protest in the state's main city Srinagar on Friday to denounce the verdict, chanting slogans such as "Punish the Murderers!"
The London-based rights watchdog Amnesty International said the verdict was an example of the culture of "impunity" in Kashmir, a picturesque Himalayan region, divided between India and Pakistan and claimed by both.
"Perhaps it isn't surprising that the army, after deciding to investigate its own alleged abuses, has given itself a clean chit," said Amnesty's Christine Mehta.
Pervez Imroz, a Kashmir-based rights lawyer, said it was "yet another display of absolute impunity the Indian army continues to enjoy".
Under an emergency military law known as the Armed Forces Special Powers Act (AFSPA), soldiers deployed in Kashmir cannot stand trial in civilian courts without express permission of the federal government in New Delhi.
Omar Abdullah, the chief minister of what is India's only Muslim-majority state, renewed his calls after the verdict for a change in the law which would remove the blanket immunity.
Abdullah said he was "extremely disappointed" by the verdict, especially as "the findings of the CBI (were) so self evident".
About a dozen rebel groups have been fighting Indian forces since 1989 for Kashmir's independence or for its merger with Pakistan. The fighting has left tens of thousands of people, mostly civilians, dead.
COMMENTS (7)
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@lol: Then what are you doing here troll go to TOI. @ Arijit Sharma: Typical ranting then why did your glorious forefathers serve first the Mughals then the British? While you are at it why are you Indians serving the Arabs in the middle east get out since you hate the Muslims so much. @ Mc: We don't gloat over these incidents our Supreme court takes notice of these incidents not like yours civil society.
@Jahangir: Just in the past they were hiding when Babur was invading them
And you might also want to reflect on the fact that the English began their occupation of India - while India was under the illegal occupation of Muslim invaders.
@Jahangir: killing innocent pepole Look whis talking .. look at your contry man
@Jahangir: " ... Just in the past they were hiding when Babur was invading them ... "
It is strange that you say so. Because the current inhabitants of Pakistan are the ones whose forefathers did not stand up to the invaders. And the woe, the same invaders are national heros.
Coward Indian soldiers killing innocent defenseless people of Kashmir. Just in the past they were hiding when Babur was invading them and now showing the world how hard and tough they are by using their newly get independence and force on poor defenseless innocent Kashmir people. We strongly condemn the mockery of this judicial system in so called biggest democracy of world.
punish the army men if they killed the innocent... son of an indian army officer here....