Anti-immigrant sentiment is fueling nationwide increases in the number of hate groups and the number of hate crimes targeting Latinos, a watchdog group said Monday.

The Southern Poverty Law Center, in a report titled "The Year in Hate," said it counted 888 hate groups in its latest tally, up from 844 in 2006 and 602 in 2000.

The most prominent of the organizations newly added to the list, the Federation for American Immigration Reform, or FAIR, vehemently rejected the "hate group" label, and questioned the law center's motives. FAIR said the center was using smear tactics to boost donations and stifle legitimate debate on immigration.

"Their banner may be 'Stop the hate' but it's really 'Stop the debate,'" said FAIR's president, Dan Stein. "Apparently you can't even articulate an argument for immigration reform without being smeared."

The law center's report contends there is a link between anti-immigrant activism and the significant rise in hate crimes against Latinos in recent years. According to the latest FBI statistics, 819 people were victimized by anti-Latino hate crimes in 2006, compared with 595 in 2003.

"The immigration debate has turned ugly and the result has been a growth in white supremacist hate groups and anti-Latino hate crime," said Mark Potok, director of the law center's Intelligence Project. "The majority of anti-Latino hate crimes are carried out by people who think they're attacking immigrants, and very likely undocumented immigrants."

Potok said hate groups were proliferating because a growing number of Americans were agitated by the immigration debate. He said many new groups had appeared in the border states of California, Texas and Arizona where illegal immigration has been a particularly volatile issue.

Critics of the law center, including FAIR, contend that the periodic reports on hate groups exaggerate the threat to public safety and inflate the total by including entities that are little more than Web sites or online chatrooms.