Which entities are providing financial backing to terrorist organizations, particularly Hamas? Moreover, what are the mechanisms through which these funds are being transferred?
Robert Garson, who serves as the president of the American Association of Jewish Lawyers and Jurists (AAJLJ), stated that ever since the events of 9/11, financial institutions in the Western world have been dedicated to preventing the flow of money to terrorist groups. We urge Stripe to cut off the financial support to AfGJ, an organization that backs individuals who are responsible for the killing of Israeli civilians.
In what ways are PayPal and Stripe facilitating the financing of terror campaigns?
A coalition consisting of 11 non-governmental organizations from the United States, Canada, Europe, and Israel is pressing the American payment platform Stripe to discontinue its donation processing services for the Alliance for Global Justice (AfGJ), which is an organization based in the United States.
AfGJ serves as the fiscal sponsor for a group known as Samidoun, which has been extensively identified as a proxy entity for the Popular Front for the Liberation of Palestine (PFLP), an organization that has been designated as a terrorist group by the United States, Canada, the European Union, and Israel.
In their letter addressed to Stripe, the coalition points out that relevant federal agencies, including the Internal Revenue Service (IRS), have been notified that Stripe is currently handling payments that could potentially be directly funding foreign terrorist organizations.
The coalition further explained that contributions made to Samidoun through AfGJ’s platform have offered assistance to designated terrorist organizations and have supported specific terrorist activities in various locations around the world. Consequently, as Samidoun’s fiscal sponsor, AfGJ appears to be offering material support to terrorism, which would be a violation of federal laws as well as the criminal and civil provisions outlined in the United States Anti-Terrorism Act.
Online Payment Systems That Connect to Terrorist Organizations
According to worldwide reports from the Financial Action Task Force (FATF) and various regional intelligence agencies, networks involved in terror financing exploit the internet through several distinct methods. A FATF report detailed that an individual associated with ISIS ideology managed to transfer over 670,000 rupees across 44 international transactions by utilizing PayPal along with location-masking software.
Stripe has not responded to an earlier letter that was sent by the Zachor Legal Institute on July 17, 2023, which extensively described Samidoun’s clear links to terrorism.
In contrast to Stripe, other American companies have chosen to terminate their service agreements once they became aware of AfGJ’s relationship with Samidoun and the apparent connection to terrorism. These companies include MasterCard, Visa, American Express, PayPal, Donorbox, Plaid, Discover, and most recently Salsa Labs.
Robert Garson, who is the president of the American Association of Jewish Lawyers and Jurists (AAJLJ), mentioned that since the 9/11 attacks, financial institutions in the West have been focused on preventing the flow of funds to terrorist organizations. We call on Stripe to shut off the financial pipeline to AfGJ, which provides support to those who are involved in the killing of Israeli civilians.”
Another Report
Australia’s leading financial services regulator has instructed PayPal to undergo an external audit after raising concerns about the company’s full compliance with money laundering and counter-terrorism financing laws.
The Australian Transaction Reports and Analysis Centre (AUSTRAC) has initiated this audit because it was not convinced that the payment company had fulfilled its obligations regarding self-reporting.
Nicole Rose, the CEO of AUSTRAC, stated, “Regulated businesses like PayPal Australia, which process payments and transactions for millions of Australian customers annually, play a vital role in assisting AUSTRAC and our law enforcement partners in preventing the movement of money to criminals and terrorists. PayPal is a valuable partner in the efforts against crime. However, when we have suspicions of non-compliance, AUSTRAC will take measures to safeguard the Australian community.”