Qatar faces major terror financing lawsuit in the US

NEW YORK - Qatar faces a new lawsuit in New York city accusing it of financing acts of terrorism through American banks in violation of US laws and regulations.

The case, described as a "bombshell suit" by American newspaper The International Business Times, is expected to revive congressional investigations into Qatar's alleged role in financing terrorism.

Qatar is accused in the lawsuit of using government-controlled charitable organisations as a cover to funnel money through New York city banks to radical organisations Hamas and Palestine Islamic Jihad (PIJ) in the Palestinian territories.

The lawsuit specifically targets Qatar Charity, which is suspected of being frequently used by Doha's rulers to pay ransom money and provide financial support to extremists around the world.

According to The Washington Free Beacon newspaper, the so-called charity is accused of being "a key funding source for international terrorists" and is "believed to have been a major source of funding for deceased terror leader Osama bin Laden."

"Qatar co-opted several institutions that it dominates and controls to funnel coveted US dollars (the chosen currency of Middle East terrorist networks) to Hamas and PIJ under the false guise of charitable donations," says the lawsuit.

Qatar Charity allegedly collaborated with Masraf Al Rayan bank and Qatar National Bank to transfer the money to Hamas and PIJ. Both banks "were essential to provide access to the US financial system to obtain the US dollars needed to sustain Hamas’s and PIJ’s terrorist activities," says the lawsuit. The banks and charity group are "largely controlled by members of Qatar’s royal family."

After being funnelled through banks located in New York, the money was allegedly transferred to Qatar Charity’s accounts at the Bank of Palestine and the Islamic Bank in Ramallah, where the funds were then distributed to Hamas and the PIJ. Between March and September 2015, at least $28 million dollars were transferred by Qatar Charity to the two Ramallah banks, according to the lawsuit.

The lawsuit was filed by US attorney Steven Perles, who has previously represented other US victims of terrorism. Ten American families are among the plaintiffs in this lawsuit, which alleges that the funds helped finance at least six attacks carried out by Hamas and PIJ militants between 2014 and 2016, killing several Americans.

US political and legal experts expect the lawsuit to have serious repercussions on US-Qatari relations.

"Revelations of Qatar’s alleged involvement in these terror plots are likely to fuel ongoing congressional investigations into Qatar’s support for terror factions and other anti-U.S. militia groups," said the International Business Times.

Qatar's alleged involvement is being prosecuted by lawyers as a way to hold Doha and other parties involved accountable and crack down on terrorism financing networks. "In addition to holding those who have financed terrorism accountable, this case should serve as a strong deterrent to others who might consider similar activities," Perles told The Washington Free Beacon.