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Israel Palestinians UNRWA Lawsuit
FILE - A woman and her children walk past a wall with photographs of hostages who were kidnapped during the Oct. 7, 2023, Hamas cross-border attack in Israel, Feb. 26, 2024, in Jerusalem. On Monday, June 24, Israelis who were taken hostage or lost loved ones during the attack filed suit against the United Nations agency that aids Palestinians, claiming it has helped finance the militants by paying agency staffers in U.S. dollars and thereby funneling them to money-changers in Gaza who allegedly give a cut to Hamas. (AP Photo/Leo Correa, File)

Israelis' lawsuit says UN agency helps Hamas by paying Gaza staff in dollars

Israelis who were taken hostage or lost loved ones during Hamas’ Oct. 7 attack are suing the United Nations agency that aids Palestinians

By Jennifer Peltz And Sarah El Deeb
Published - Jun 25, 2024, 07:45 PM ET
Last Updated - Jun 25, 2024, 07:45 PM EDT

NEW YORK (AP) — Israelis who were taken hostage or lost loved ones during Hamas' Oct. 7 attack are suing the United Nations agency that aids Palestinians, claiming it has helped finance the militants by paying agency staffers in U.S. dollars and thereby funneling them to money-changers in Gaza who allegedly give a cut to Hamas.

But the agency, known as UNWRA, told The Associated Press on Tuesday that the staffers were paid in dollars by their own choice. Gaza and the Israeli-occupied West Bank don’t have their own national currency, and primarily use Israeli shekels.

The lawsuit, filed Monday in a U.S. federal court in New York, marks the latest challenge to the beleaguered U.N. agency, which has been the main supplier of food, water and shelter to civilians during the Israel-Hamas war. The Israeli government has long assailed the over 70-year-old agency, and scrutiny has intensified during the eight-month-long war, prompting UNRWA to defend itself while grappling with a spiraling humanitarian crisis in Gaza.

“UNRWA’s staff, facilities and ability to truck cash U.S. dollars into Gaza formed a potent pillar of Hamas’ plan to undertake the Oct. 7 attack,” the lawsuit says, asserting that the U.N. agency “systematically and deliberately aided and abetted Hamas and its goals.”

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