An open secret, but Pakistan has been using US funds to aid Taliban, Al Qaeda and every other terror group known to operate or have operated out of Pakistan. India is their closest target and destabilization of the Indian nation is one of their prime objectives. Of course, objective analysis of the situation adds to the fact that this keeps Indian intelligence and forces very busy – trying to untie all the knots from ISI, another terror group working against India, although officially unofficial. It is but a fact that a pauper Pakistan and its terror groups will free up a lot of Indian resources to become creative. This might have been a source of concern for many countries – China being at the top of the list – hence it did make sense to keep Pakistan busy in keeping India busy.
A lot of friendly fire makes US army more than just wounded. The US economy cannot keep on spending more and more of its money on an unstable nation like Pakistan, which has kept to its prime objective of destabilizing India. It is not an easy task to do that, and tiddly pricks in the butt will have absolutely no effect on India, which has been known to absorb much mightier attacks per history.
Update (May/29/2012): ..and there’s more good news here, another senator proposing to stop all aid to Pak.