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Israeli Expert: Through USAID, Taxpayers Funded Terror Regimes Even after October 7th Atrocities

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JERUSALEM, Israel – The Trump administration’s examination of America’s major foreign aid organization made headlines for exposing billions of dollars in questionable spending.

One key discovery is that it sent funds to the Hamas terror group, even after the massacre, kidnappings, and sexual torture of October 7, 2023.

As a government agency, the United States Agency for International Development, or USAID, uses taxpayer dollars for civilian foreign aid and development assistance.

Recent revelations, however, indicate it’s been bankrolling America’s enemies and those pledged to destroy Israel.

During a late February House hearing on how USAID used its money, Middle East Forum Executive Director Greg Roman testified that “Dozens of terror organizations have received indirect assistance from U.S. foreign aid.”

Roman cited Gaza as a case study, telling lawmakers, “$2.1 billion in American taxpayers’ money (went) to Gaza since October 7, when Hamas invaded southern Israel. USAID money was going in terms of an emergency use authorization to try to go to parties that USAID formerly had a relationship with in the Gaza Strip.”

Roman continued, “They had to have been vetted by OFAC (the Office of Foreign Assets Control). They should have been vetted against the special designated terror list from the State Department and from other Treasury organizations.”

Roman explained that the investigation of the funding told a different story. He testified that “Waivers were granted because they said there was an emergency use to have that money come into Gaza, thereby jettisoning the usual typical screening procedures. As a result, 90 percent of aid that was going from the United States by way of its agents in Gaza ended up in Hamas-controlled areas.”

“This is ridiculous,” he declared. “Essentially, what the U.S. assistance to Gaza did was underwrite the ability for Hamas to survive until the ceasefire was just passed.”

CBN News reached out to USAID for a response on the continuation of the funds after October 7 but did not receive a reply.

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In Elon Musk’s role with DOGE (Department of Government Efficiency), he began to make cuts to the agency almost immediately, although the terror funding has been cited before.

Senator Ted Cruz told ABC News that he brought up the funding of Hamas long before Trump’s re-election.

“(During) the previous administration, I held up the confirmation of the Middle East director for USAID because USAID was sending millions of dollars into Gaza that was going directly to Hamas and being used to fund terrorism – and they were hiding it – they were trying to keep it in darkness,” Cruz recalled.

Avi Abelow of Pulse of Israel told CBN News that not only did USAID fund Hamas before October 7, it kept the money flowing afterward.

“USAID continued to give money to Hamas after the October 7th massacre, mass raping, mutilation, kidnapping of Israelis. And not only that, they also continue to give money to the Palestinian Authority” Abelow charged.

He sees no difference between Hamas and the Palestinian Authority.

Abelow observed, “They have the same goal to destroy Israel, just different strategies – because the Palestinian Authority uses its money not just to pay its own terrorists, they used $97 million to pay Hamas terrorists who did the horrific massacre of October 7th.”

He contends that American taxpayers have unknowingly supported a terrorist regime.

“This has tremendous implications of understanding that: one, USAID was used in a horrific fashion where American taxpayer money is literally funding terror, and (two), Israelis and Americans have to understand, (that the U.S. government was) not a friend of Israel. They pretended to be a friend of Israel, but they were literally working against us with their money.”

According to reports, USAID gave $310 million to Sanad Construction Resources Company for a Palestinian cement factory project in 2016. And, while some of the funds were likely used for homes and other infrastructure, Abelow and others believe it could also have been used to fortify Hamas operations.

“Now, anyone who knows the situation in Gaza – Hamas built around 500 kilometers of terror tunnels under the ground that were used to attack us, that were used for them to be able to run into the ground and escape our soldiers were running in, used to hide our hostages and scatter them away in different places so that our soldiers wouldn't be able to find them,” Abelow related, and asked, “What do you think that cement factory was used for?”

He believes that, except for the Trump White House, every U.S. administration wanted to keep its allies under its control.

“They wanted Israel to be small. They wanted to institute a two-state solution that, in the sense, endangers Israel. And that was the ultimate policy behind the USAID aid. They want Hamas to be in power, they want the Palestinians to be a power. They want Israel to be in danger, and then always reliant a bit on “Big Brother” America to come save it, but only if we listen to them.

Abelow considers it a good thing that President Trump is now changing that approach.

“We need Israel to be strong. It's in American foreign policy's interest that Israel be strong. It's not good for America that these terrorists are in Gaza, that these Islamo-Nazis are in Judea and Samaria,” Abelow said.

“(Trump) understands, not only for Israel but for the benefit of America, we have to finally end this.”

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About The Author

Julie Stahl
Julie
Stahl

Julie Stahl is a correspondent for CBN News in the Middle East. A Hebrew speaker, she has been covering news in Israel fulltime for more than 20 years. Julie’s life as a journalist has been intertwined with CBN – first as a graduate student in Journalism; then as a journalist with Middle East Television (METV) when it was owned by CBN from 1989-91; and now with the Middle East Bureau of CBN News in Jerusalem since 2009. As a correspondent for CBN News, Julie has covered Israel’s wars with Gaza, rocket attacks on Israeli communities, stories on the Jewish communities in Judea and Samaria and