Hamas terrorists are allegedly looting cash assistance programs administered by the United Nations for Gaza civilians, abusing their control of Gaza markets to skim up to 30 percent off every donor-financed transaction.
Eyal Ofer, an expert on Hamas’ economic operations, told Fox News Digital on Sunday that the “de facto rulers” of Gaza grab the money after civilians obtain it from U.N. support programs using smartphone apps.
“The aid system is being manipulated by Hamas and affiliated traders. Hamas does this largely behind the scenes, leveraging their control over large merchants, crime families, and using cash to establish a shadow banking system within Gaza,” Ofer said.
“People who receive money via mobile apps must convert it into cash to use in local markets, but this involves hefty fees, with many money changers tied to Hamas or its allies,” he explained.
U.N. agencies like the World Food Program (WFP), the U.N. Population Fund (UNFPA), and children’s charity UNICEF are pumping tens of millions of dollars into Gaza each month. Some of the aid is managed digitally, but for small everyday purchases from local markets, Gazans need cash — and that is where Hamas steps in to take its “cut.”
Gaza residents told reporters from Israel’s TPS-IL news agency that Hamas has taken over distributing this money to civilians — and officials from the terror gang claim 20 to 30 percent of each transaction as a “fee” for their “services.”
“These people are charging 30 percent just to give you cash. I just want to take care of my family, but everything costs me more because of this. Prices are insane,” said Gaza resident Nidal Qawasmeh.
“In videos from Gaza, you can see traders refusing to accept app funds and forcing customers to convert them into cash, knowing they will lose at least 20% in the process,” Ofer noted.
Critics of the U.N. operation in Gaza said this extortion racket is blatantly obvious, but humanitarian cash keeps flowing into the hands of Hamas. A UNICEF spokesperson admitted to Fox News Digital that the organization is “aware” of the problem, but seemed more inclined to blame it on “the banking system’s inability to function amid the ongoing conflict” than the predatory activities of Hamas gangsters.
“No external party, actor, or agency — not even the beneficiaries themselves — has any role or influence in the design or implementation of the program, including the composition of the beneficiary list, payment schedule, frequency and amounts,” the UNICEF spokesperson said, seemingly missing the point that Hamas is bypassing all of those safeguards to squeeze cash out of suffering Gazans.
Israeli Ambassador to the United Nations Danny Danon said it was “not acceptable” for the U.N. to turn a “blind eye” to Hamas racketeering.
“This is yet another example of Hamas showing a complete disregard for the people of Gaza — and exploiting systems and infrastructure to sustain their murderous terror machine,” Danon said.
The Times of London pointed out last month that Hamas also makes money by seizing humanitarian deliveries, replenishing its own private stockpiles, and reselling the rest of the food to desperate civilians. This tactic brought Hamas over half a billion dollars in profits since the Gaza war began.
Gaza importers told Le Monde in January that a common Hamas tactic involved seizing up to 80 percent of relief supplies imported from Egypt and diverting them to a “black market” where the supplies are sold for exorbitant prices. This tactic allows Hamas to pretend it is worried about the high cost of food and essential goods, ostentatiously setting price controls to make them appear affordable — even as it sends most of the goods to black market profiteers, who resell the supplies to desperate civilians for several times the “controlled” price.
Another major profit center for Hamas was the U.N. Relief Works Agency (UNRWA), the controversial Palestinian relief agency that reports indicate was thoroughly penetrated and manipulated by terrorists. Israeli plaintiffs, including former hostages, have filed suit against UNRWA for its role in funding Hamas activities.
On Sunday, the Trump Department of Justice (DOJ) reversed a decision by the Biden administration to allow the Israeli lawsuit to proceed in Manhattan. The Biden administration argued that UNRWA enjoyed diplomatic immunity, while the Trump DOJ said the charges of financing Hamas terror tunnels and weapons were so “atrocious” that UNRWA must “answer these allegations in American courts.”
One of those allegations is that UNRWA paid its Gaza employees with U.S. dollars, knowing they would have to turn to the infamous Hamas moneychangers to convert those dollars into local currency. Thanks to the 20 to 30 percent “skim,” this had the entirely predictable effect of putting millions of dollars into Hamas’ pockets every month.