Overview[1]
- The Hamas movement needs enormous sums of money to finance its terrorist activities. Because Hamas is designated as a terrorist organization by many countries, and because the conventional global banking system does not operate in the Gaza Strip and is monitored by security bodies and state and international enforcement agencies, Hamas and the other terrorist organizations in the Gaza Strip (and Iran) are forced to look for alternative methods to transfer funds to its coffers.
- The Hamas leadership, in collaboration with the Iranians, employ several channels to transfer the funds. They rely on traditional money changers, use Offset methods between Palestinian laborers and merchants for money changers, and use digital means such as virtually unregulated cryptocurrencies, which are transferred according to agreement by a mostly confidential network.
- Hamas currently has five main sources of funding: Qatar, Iran, Hamas-owned investment companies, “charitable associations” and sources from within the Gaza Strip and the Palestinian Authority (PA).
- Even as Operation Iron Swords, which began on October 7, 2023, progresses, Hamas continues operating through the various channels to transfer funds to finance its activities.
The Main Currency Exchangers Serving Hamas
- Transferring funds to finance its terrorist activities in the Gaza Strip, Judea and Samaria led Hamas to develop a currency exchange system that would be able to receive the funds, the vast majority in cash, and, directed by the Hamas leadership, especially the leadership “abroad,” transfer them to Hamas elements on the ground. The system operated from three main centers: the UAE, Turkey and Lebanon. The following exchange offices and central money changers were found to be operating in the service of Hamas:
- Marwan Mahadi Salih al-Rawi:
- Al-Rawi’s name and details of his activities are on a list of sanctioned terrorist operatives and terrorism-supporting entities which was published by the United States Treasury Department in 2019. The Americans listed him as the CEO of Redin Exchange, whose headquarters are in Turkey and whose official name is Redin Danışmanlık İç ve Dış Ticaret Limited Şirketi. Both he and the company were sanctioned (United States Treasury Department website, September 10, 2019).[2] Al-Rawi was born in Iraq on November 6, 1984, holds Turkish citizenship (ID number 13269139206) and has a Turkish name, Polat Devecioğlu. In the official documents of the Redin company from 2015, he is not represented as a Turkish citizen and apparently acquired citizenship at a later date, between 2019 and 2020, when Turkish citizenship was granted to people with assets in Turkey worth more than $250,000 (Nordic Monitor website, November 9, 2021 and June 6, 2022).[3]
Al-Rawi’s details, line 3. HIs Turkish Social Security number is 13269139206; his name; his mother’s name is Fadheelaha Jubair; his father’s name is Mehdi; his date of birth; his country of birth is Iraq; (Nordic Monitor website, November 9, 2021)
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- For several years al-Rawi has been personally involved in money transfers on behalf of Hamas. In recent years he worked with Hamed Khudri, a key figure in the transfer of Iranian funds to Hamas, especially to its military-terrorist wing. He worked with both private money changers and currency-exchange companies operating from Lebanon, and was personally involved in the transfers of tens of millions of dollars to Hamas, and was therefore designated by the United States Treasury Department as supporting terrorist activity. That means that anyone who currently does business with him may be exposed to sanctions. Redin was dissolved immediately after the sanctions were announced, but al-Rawi owns other companies which continue to operate.
- On November 5, 2021, the Turkish government announced the confiscation of the assets of several people in accordance with the law to prevent terrorism financing. Among those whose assets were seized were people suspected of supplying goods, money or technology to extremist jihadist organizations in the Middle East. Al-Rawi’s name was on the list published in the official newspaper of the Turkish government (T.C. Resmî Gazete, on November 6, 2021). According to the official announcement he aided ISIS. However, there was no mention of his support for Hamas because in Turkey Hamas is not considered a terrorist organization.
- On September 10, 2019, the United States imposed sanctions on Redin for transferring funds to Hamas. According to American sources, the connection between Redin and Hamas was identified after information was received in January 2018 from the overseer of ISIS’s foreign assets, Walid Talib Zughair al-Rawi, regarding a deal of half a million dollars made by al-Rawi in favor of Hamas. Redin was accused of aiding, sponsoring and providing material, technological and financial support to Hamas and its military-terrorist wing, the Izz al-Din Qassam Brigades. The money transfers made by Redin were detailed in the official announcement of the United States Treasury Department published in 2019. Two of the transfers, totaling $6 million, were from the Iranian Revolutionary Guards Corps’ (IRGC) Qods Force on behalf of Hamas and Hezbollah.
- The al-Rawi family was known to the Americans from its activities in Iraq. In the 1990s, the family was accused of aiding Saddam Hussein by enabling him to evade international sanctions by buying and selling without recourse to formal banking systems. It is assumed that at that point many of the family members and associates fled to Turkey. In 2019, six members of the global al-Rawi network were blacklisted by the United States Treasury Department. In addition helping finance Hamas, they were accused of providing aid to extremist Islamist groups in Iraq and Syria.[4]
- Despite the sanctions, and despite the closure of Redin and other companies owned by the family, there are companies associated with al-Rawi which continue to operate in the Laleli district of Istanbul. In January 2023, it was announced that illegal money transfers were taking place in 12 out of 15 stores in the district, especially in small hotels belonging to the al-Rawi family. Sources in Lelali indicate that people often arrive with large amounts of United States dollars, apparently to carry illegal money transfers. According to sources who did not reveal their names or the names of the stores, almost every store in the district is involved in that sort of activity (T24, January 6, 2023).[5]
- According to T24, the family uses assets of Brukan al-Khatuni, a sponsor of ISIS. He also has Iraqi citizenship and currently lives in Turkey. Before July 2021, Abdurrahman al-Rawi, from the al-Rawi family, established financial channels with Russia, Europe, China and Africa for the efficient transfer of funds for ISIS and to generate additional income for it. To that end he worked with a company owned by al-Khatuni called Sham Express, located in Istanbul’s Lelali district at the former address of Redin Exchange. Sham Express was also designated the United States Treasury Department as supporting terrorism.
- All of the above show the family has not stopped its activities and is using other assets and infrastructure at its disposal and at the disposal of its relatives to continue financing Islamist elements around the globe.
- Tamer Midhat Baroud, aka Abu Midhat
- Baroud is the owner and CEO of the Geneva Exchange and Transfers Company, located in Gaza City (al-Monitor website, November 3, 2016; Geneva Exchange and Transfers Company Facebook page, September 30, 2022).[6] According to the authorization Baroud received from the Palestinian Financial Authority to engage in currency exchange, the company is called the Tamer Baroud and Associates Exchange and Transfers Company. The same name appears on the sign at the company’s front door (Facebook page of the Geneva Exchange and Transfers Company, August 22, 2017 and November 25, 2017).[7]
- On June 28, 2018, Baroud opened a store called Khdamati Geneva Company for Electronic Services under joint management with Mehdi Ajour. The company was located in the same building as Geneva Exchange (Facebook page of Geneva Exchange and Transfers, June 27, 2018; Facebook page of Baroud’s wife, Dalia Mhmoud Baroud, June 28, 2018).[8]
- Baroud’s wife shared a post that the company had moved its headquarters to a nearby building, again at the company’s Geneva address, and had changed its name to APAC International Financial and Electronic Services Company. The original post appeared on the Facebook page of the APAC Company, whose full name is the APAC International Company for Exchange, Money Transfers and Electronic Services (APAC Facebook page, September 27, 2022).[9]
- The APAC Facebook page has been in existence since April 2018, advertising its services with the hashtag #Khadmati_Jinif, until the name of the company was officially changed to APAC. In many posts about its services the email address of the Geneva company, info@genev.ps,[10] was given in the contact details (APAC Facebook page, June 26, 2022).[11]
- In August 2021 the opening of a new branch was announced (the fourth, according to the announcement) of the Khadmati Jinif company in Istanbul, in addition to the company’s branches in Gaza City and Khan Yunis. The branch address is Yusufpaşa. Tramway. Karsisinda, Bina:26. Kat:2, Dayrs 4, Istanbul, Turkey. You can call Baroud on WhatsApp using the following numbers, 009055159190000 and 00905456602334 (APAC Facebook page, August 16, 2021).[12] The post was also shared by Tamer Baroud’s wife.
- Baroud’s wife has visited Istanbul several times since May 2021, and in December 2021 she shared several posts of the al-Quds Schools, which are schools in Istanbul that teach the Palestinian curriculum.[13] It can therefore be assumed that Tamer Baroud and his family moved to Istanbul.
- Tamer Baroud has a Facebook page which is only visible to friends (Tamer Baroud’s Facebook page).[14] The following photos were posted to the various accounts:
Right: Tamer Baroud’s business card. Left: A “social bonding” meeting of the employees of the Geneva company, led by the CEO (Geneva Exchange and Transfers Company Facebook page, November 13, 2017)[15]
Tamer Baroud (Geneva Exchange and Transfers Company Facebook page, August 29, 2022)[16]
- The al-Wafaq Company
- The al-Wafaq Company in Gaza is an important currency exchange company serving Hamas, despite the fact that it was outlawed by the State of Israel and was put on the lists of companies involved in terrorist activity in 2018.
- Hamed al-Khudri, the founder of the company, was financier to Yahya al-Sinwar and died in a targeted killing on May 4, 2019. After his death, his brother Said al-Khudri took over (The Marker, August 30, 2021). Khudri transferred large amounts of cash to the military-terrorist wings of Hamas, the PIJ and other terrorist organizations in the Gaza Strip. The transfer was carried out with the help of money changers from abroad and business owners who were aware that the company had been outlawed and declared a terrorist organization. The financial activities of Khudri, who served as Iran’s representative in the Gaza Strip, contributed significantly to the promotion of terrorist activities and the military buildup of the terrorist organizations in the Gaza Strip.
- Zaher Jabarin
- Zaher Jabarin is a Hamas terrorist who lives in Turkey and serves as the head of Hamas’s financial department. He manages Hamas’ annual budget, which amounts to tens of millions of dollars, is responsible for all of Hamas’ income from various sources around the world, and works to find additional sources of funding. He developed a financial network in Turkey that would allow Hamas to raise, invest and launder funds before transferring them to the Gaza Strip, Judea and Samaria. In recent years, he transferred hundreds of thousands of dollars to finance the organization’s terrorist activities. He also promotes business activity and investments to generate income for Hamas (counterextremism.com).[17]
- Zaher Jabarin served as the main liaison between Hamas and the IRGC. Since 2017 there has been a growing relationship between the IRGC and senior Hamas terrorists that focused on increasing funding from Iran. Jabarin was involved in transferring millions of dollars to Hamas through the Redin company (Wilson Center, September 11, 2019).[18]
- Isma’il Tash is the deputy CEO of Redin Exchange and is responsible for the company’s foreign relations. As of January 2019, he has played a key role in money transfers from Iran to Hamas.[19] Since at least 2017 he has been in continuous contact with a money transfer channel run by Muhammad Srour, the financial facilitator designated by the Iranian ministry of finance. The channel transferred funds from the IRGC to Hamas in general and to its military-terrorist wing in the Gaza Strip in particular.[20]
- The Smart Import Export Foreign Trade Limited Company is owned or controlled by Ismail Tash. It is an import/export LLC company and a possible straw company associated with Redin Exchange. Both Smart and Redin Exchange share the same address in Istanbul (Intelligence and Terrorism Information Center, September 23, 2019).[21]
- Redin transferred its operations to the Kuwaiti-controlled Burgan Bank, which is controlled by Kuwait, which also owns Tekfenbank in Turkish Cyprus. In 2021 Hamas activity was traced through another bank in Turkish Cyprus, called Mondial Bank, as well as money transfers from Malaysia (Süddeutsche Zeitung), November 8, 2021). Until 2019, the Redin Exchange in Turkey was a central part of the network used to transfer money to Hamas. According to the United States Treasury Department, the company transferred tens of millions of dollars from the IRGC in Iran and Hezbollah for Hamas. According to the Treasury Department website, the transfer of funds from Iran was carried out through Muhammad Sayid Izadi, a senior IRGC official who operates from Lebanon and is the head of the Palestinian office of the Lebanese Revolutionary Guards (United States Treasury Department, September 10, 2019).[22]
- Burgan Bank[23]
- The bank was founded on December 27, 1975 in Kuwait City. In terms of assets it is the second largest bank in Kuwait, is defined as a subsidiary of Kuwait Projects Company Holding (KIPCO) and operates a network of 24 branches and more than 100 ATMs. KIPCO’s main business segments are financial services and media. In the field of financial services, KIPCO group companies include the Burgan Bank Group, one of the largest banking groups in the region, with operations in Algeria, Iraq, Kuwait, Malta, Tunisia and Turkey.
- On December 23, 2012, Burgan Bank acquired 70% of the shares of Tekfenbank, a Turkish bank based in Turkish Cyprus; today Bank Burgan owns 99.4% of the shares of the Turkish subsidiary. Burgan has a prominent presence in 16 regions throughout Turkey, which include leading industrial and commercial areas, and the bank is supported by a network of more than 40 branches and ATMs. In addition, Burgan Turkey owns approximately 100% control of both Burgan Securities and Burgan Leasing.
- In addition to its core operations, Burgan Turkey, together with its three subsidiaries, Burgan Leasing, Burgan Yatir and Burgan Portfoi, is capable of providing a comprehensive range of banking products and services to various customer sectors, including corporate, commercial, small and medium businesses, and retail customers. It operates as a subsidiary of the Burgan Bank Group, a financial services group based in Kuwait, and is recognized as a prominent financial service provider in the Middle East and North Africa region (the bank’s website).
- Bahira
- Bahira is a foreign trade company headed by Muhammad Ismail Kaya, a Turkish citizen (ID 3500604839) born in 1988. In June 2022, the Israeli Ministry of Defense seized $10 million from Kaya. The administrative order issued by the ministry did not describe the event, but the amount of the seizure is unusually large.[24] [25]
- Abed al-Razzak Exchange – Hussein Abd al-Razzaq[26] [27] [28]
- Money changer Hussein Ibrahim Abd al-Razzak transfers millions of dollars from his exchange company in Lebanon, Abed al-Razzak Exchange, for Hamas. His company worked with Hamed Khudri, a key figure involved in transferring money from Iran to Hamas. The owners of the company are Ali Ibrahim Abd Al Razzak, born in 1960; Musa Ibrahim Abd Al Razzak, born in 1967; and Muhammad Ibrahim Abd AL Razzak, born in 1973. The company was established in 1996 and its number in the Lebanese Companies Registry is 59136. The company’s offices are located in Beirut, Hamra and in Maamletein in the Assaf Building (Costa Cafe), 4th floor.
- Regarding the registration of Ali Ibrahim Abdel Razzak and Associate for Currency Exchange in the list of money exchange institutions, according to the decision of the Governor of the Central Bank of Lebanon dated December 10, 1996, the company was registered in Abda on November 26, 1996 under the number 59136, and the Central Council of the Central Bank of Lebanon granted it a license to engage in money exchange (Lebanese University Legal Information Center website).[29] According to a decision of the governor of the Central Bank of Lebanon dated March 13, 2008, the name of the company was changed to Muhammad Ibrahim Abd al-Razzak and Associate for Money Exchange. The request to change the name was approved by the Council of the bank’s headquarters as early as March 2006 (Lebanese University Legal Information Center website).[30] According to a document of the Central Bank of Lebanon, the company has the right to make money transfers according to the hawala system.
- According to the document, its headquarters are in Beirut, Tariq al-Jadeeda, the municipal stadium. The document also gives the company’s phone numbers (website of the Central Bank of Lebanon).[31] On March 8, 2017, it was reported that a Lebanese army force raided Abd al-Razzak and Associate for Money Exchange (it is not clear if this is the same company) in al-Hamara’, arrested two employees and by court order sealed it with red wax on the grounds of transferring money to terrorist organizations (UAE 24 website 24, March 9, 2017; NBN Network Telegram channel, July 8, 2017).[32]
The company is number 443, second from the bottom. Its stated capital is 1.5 billion Lebanese pounds (about $100,000). Its phone numbers are listed in the last two columns at the left.
- Roua for Exchange – Anwar Halla[33]
- Anwar Halla has been involved in the transfer of millions of dollars for Hamas for several years through the Roua for Exchange company. The company previously worked with Hamed Khudri and currently works with Hamas. The company is headed by Nibin Ibrahim Dhara , born in 1986; Soulein Ibrahim Dhara , born in 1986; and Anwar Halla, Soulein’s husband, born in 1981. The company was established in 2012 and its number in the Lebanese Companies Registry is 1015770.
- The company’s offices are located in the Hamra district of Beirut on Mikdassi Street, Astral Center, in front of the Kapalia Hotel. The offices are on the 1st floor. Its phone numbers are (L) 01 754 254 (I) +961 1 754 254.[34]
- Touma Foreign Exchange Ltd
- The company apparently has offices in Lebanon and the UK. In 2019, Touma Foreign Exchange Ltd., a London-based company operating as a currency services provider (MBS), was fined £7.8 million pounds (about $9.6 million) for violations of laws and regulations preventing money laundering and terrorist financing in the United Kingdom. The authorities’ investigation revealed that Touma’s activities were characterized by serious failures in the years 2017-2018, violating regulations regarding risk assessment and record keeping, policies and controls, conducting adequate inspections and adequate training for employees.[35]
- In addition, in May 2019, the company director, Hassanein Touma, was prohibited from holding any managerial position in any company subject to obligations to prevent money laundering and terrorist financing, subsequent to acting as an officer in a financial service business even though he never passed a test according to law to verify he was qualified to perform the position.
- As of 2019 it was the highest fine imposed by the British Tax Authority for violations in the prevention of money laundering and terrorist financing. The fine was levied as part of the increasing efforts of the supervisory authorities in the United Kingdom to tighten the enforcement of currency service providers, and in particular money-transfer service providers associated with at risk countries or entities that are at high risk of financial crime.
- Ra’a Exchange
- According to the decision of the Governor of the Central Bank of Lebanon dated October 3, 2012 regarding registration as a money exchange institution, Ra’a Money Exchange Co. Ltd. was registered in the Capital Register of Companies on August 1, 2012 with the number 1015770, and that the Central Council of the Central Bank of Lebanon granted it a license to engage in money exchange (Lebanese University Legal Information Center website).[36]
- According to a document of the Central Bank of Lebanon, the company has the right to send banknotes and precious metals to and from Lebanon and to make money transfers according to the hawala system. The address of its headquarters, according to the document, al-Hamraa’, al-Maqdassi St. near the Aqil Akhwan stores. The document also gives the company’s phone numbers (website of the Central Bank of Lebanon).[37]
The company number is 733, second from the top. Its stated capital is 5 billion Lebanese pounds (about $332,500). its phone numbers are listed in the last two columns at the left.
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Click https://www.terrorism-info.org.il/en to subscribe and receive the ITIC's daily updates as well as its other publications. ↑
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https://www.facebook.com, https://www.facebook.com/ ↑
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.ps is the Internet suffix for “Palestine.” ↑
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https://www.wilsoncenter.org/article/trump-revises-terror-sanction-rules ↑
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https://www.govinfo.gov/content/pkg/FR-2019-09-17/pdf/2019-20003.pdf ↑
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https://www.terrorism-info.org.il/en/new-designations-recently-published-us-department-state-department-treasury-reveals-turkeys-central-role-hub-hamas-handles-financial-matters-includin/ ↑
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https://www.linkedin.com/in/anwar-challah-a597528a/?originalSubdomain=lb ↑