I guess I need to make things a little simpler for you to understand so I'll give an example.
This is an example a little bit closer to my home.
During the 80s the IRA (Irish Republican Army) were committing terrorist attacks against british targets, killing a lot of innocent people. It may come as a surprise to you (if you are American it certainly will) that the VAST majority of Irish people did not support the IRA. That didn't stop a large number of the British public from labelling Irish people terrorist scum. Now, among those normal people there were (and are) a large proportion who believe that the north of Ireland shouldn't be under british rule. The difference is that they weren't blowing people up and were not supporting the actions of the IRA.
Before you jump all over me and make an illogical connection in the above example I AM NOT saying that the IRA and the "Irish Problem" is the same as the current terrorist problem. I am just showing an example of how your flow of logic would justify the british demonising the Irish, even though that is ridiculous.
Fascinating. And which verses from the New Testament were they shouting out as their bombs went off?