US Treasury sanctions Hamas-linked nonprofit network with ties to South Africa
By Andre Pienaar
The US Treasury Department has sanctioned a Hamas-linked non-profit network, including a key international front organisation and six Gaza-based charities, citing their role in financing and supporting Hamas’s military wing through sham humanitarian operations. US officials and national security analysts say the case exposes how terrorist organisations continue to exploit the global non-profit sector, including networks with ties to South Africa and the United Kingdom, to move money, raise funds, and expand political influence.
According to the Treasury Department’s Office of Foreign Assets Control (OFAC), the sanctions target the Popular Conference for Palestinians Abroad (PCPA) and six Gaza-based organisations accused of serving as financial and operational extensions of Hamas’s Izz al-Din al-Qassam Brigades.
The designated Gaza-based groups include:
- Waed Society Gaza
- Al-Nur Society Gaza
- Qawafil Society Gaza
- Al-Falah Society Gaza
- Merciful Hands Gaza
- Al-Salameh Society Gaza
Treasury officials said the organisations were formally integrated into Hamas’s military and security structures and were used to divert humanitarian funding to support terrorist operations.
“Hamas continues to exploit civilian and charitable institutions to fund its terrorist activities,” the Treasury said in a statement, adding that the action is intended to disrupt covert financing channels and protect the integrity of legitimate humanitarian aid.
South Africa and international networks
An analysis by the Foundation for Defense of Democracies (FDD) highlights that PCPA has maintained ties to networks and activists linked to South Africa, raising concerns about fundraising and political infrastructure used to support Hamas outside the Middle East.
FDD analysts say PCPA has functioned as an international political and financial front, helping Hamas to:
- Raise funds abroad
- Build political legitimacy through conferences and advocacy
- Move money outside traditional banking scrutiny
- Leverage permissive jurisdictions and weak non-profit oversight
While South African authorities have denied any formal ties to Hamas, national security and compliance experts warn that South Africa’s financial and non-profit sectors are facing increased scrutiny by US and European regulators over terrorist financing risks.
“This designation underscores how global NGO and advocacy networks can be leveraged for terrorist financing,” an FDD analyst wrote. “Jurisdictions with weaker enforcement are increasingly under the microscope.”
UK-based activist also designated
The Treasury also designated Zaher Khaled Hassan Birawi, a UK-based activist alleged to be a senior figure within PCPA. OFAC said Birawi materially assisted and provided support to the organisation.
The designation places immediate pressure on the UK government to consider mirroring US sanctions. British officials are facing calls to investigate individuals and organisations allegedly connected to PCPA and related fundraising and protest activity.
Under US sanctions rules, all property and interests of designated individuals and entities under US jurisdiction are blocked. US persons are prohibited from conducting transactions with them, and foreign financial institutions that continue to facilitate significant transactions risk secondary sanctions, including loss of access to the US financial system.
Financial crime and compliance implications
The case highlights a broader pattern identified by US and allied intelligence agencies, namely the systematic use of humanitarian charities as terrorist financing vehicles.
US officials cited evidence showing that Hamas operatives were embedded in the administrative structures of the sanctioned charities and that millions of dollars were transferred to the group’s military wing.
For international banks, funds, and compliance teams, the designations raise red flags for:
- Charitable organisations operating in or linked to Gaza
- Political and advocacy networks connected to PCPA
- South Africa-based NGOs and financial intermediaries
- UK-based fundraising and activist organisations
Compliance experts warn that correspondent banks, asset managers, and international donors face heightened exposure to secondary sanctions and enforcement action if they fail to conduct enhanced due diligence.
The sanctions come amid broader US efforts to dismantle Hamas’s overseas financial infrastructure and political support networks, particularly in Europe, Africa, and the Middle East. Treasury officials say the action reflects a growing focus on the abuse of humanitarian channels as a tool of asymmetric warfare and terrorist financing.
“By exposing and disrupting these networks, Treasury is increasing pressure not only on Hamas, but on the international ecosystems that enable terrorist financing under the guise of humanitarian aid,” the department said.
