Supporters of Golden Dawn gather for a protest outside a court in Athens on Oct. 2, as four lawmakers from Greece's Golden Dawn party were indicted for belonging to a criminal organization. ARIS MESSINIS/AFP?Getty Images

Greek politicians voted to cut off state funding to the far-right Golden Dawn party, the latest effort by the government to clamp down on a party it has branded a "neo-Nazi criminal gang."

The provision passed by 235 votes in the 300-seat parliament suspends state funding to political parties if their leaders, or a tenth of its members, are charged with involvement in a "criminal organization" or "acts of terrorism."

The move could deprive Golden Dawn of up to $1.2 million next year.

Golden Dawn's popularity had steadily risen on the back of an anti-austerity and anti-immigrant sentiment to become Greece's third-most popular party, until the killing of a left-wing musician by a party supporter last month triggered the government crackdown.

After entering parliament last year, the party appeared virtually immune to frequent accusations of violence against immigrants and leftists. But it has been on the defensive since the fatal stabbing of 34-year-old Pavlos Fissas, a hip-hop singer identified by friends as an anti-fascist campaigner.

The killing prompted prosecutors to investigate party MPs over a series of allegations.

Prime Minister Antonis Samaras, slated to probe the police force, has vowed to wipe out the party and described it as a "gang of neo-Nazis" that threatens democracy.

Golden Dawn's leader, Nikolaos Mihaloliakos, and two senior MPs have been jailed pending a trial on charges of participation in a criminal group.

This is the first time elected politicians have been jailed in Greece since a military coup in 1967. Three other Golden Dawn politicians have been freed pending trial.

The party's leaders were ordered to stay in the country. Parliament has stripped four more MPs of their immunity to allow a deeper investigation into accusations against them.

If convicted, the politicians face a prison sentence of up to 10 years. If they are acquitted, the party will receive the state funds it is owed.

Golden Dawn, with a red-and-black swastika-like emblem, has tapped into Greeks' anger at the political class and won support with promises like ridding Greece of immigrants and sealing its borders with landmines.

But since Fissas's killing, the party's support has fallen by about a third.

Al Jazeera and wire services