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Internal USAID analysis claims no evidence of massive Hamas theft of Gaza aid

Internal USAID analysis claims no evidence of massive Hamas theft of Gaza aid

Yahoo3 days ago
The study also noted that, because Palestinians who receive aid cannot be vetted, it was possible that US-funded supplies went to administrative officials of Hamas.
A US State Department official dismissed an internal US government analysis which found no evidence of systematic theft by Hamas of US-funded humanitarian supplies, challenging the main rationale that Israel and the US gave for backing a new armed private aid operation.
The analysis, which has not been previously reported, was conducted by a bureau within the US Agency for International Development and completed in late June. It examined 156 incidents of theft or loss of US-funded supplies reported by US aid partner organizations between October 2023 and this May.
It found 'no reports alleging Hamas' benefited from US-funded supplies, according to a slide presentation of the findings seen by Reuters.
A State Department spokesperson disputed the findings, saying there is video evidence of Hamas looting aid, but provided no such videos. The spokesperson also accused traditional humanitarian groups of covering up "aid corruption."
The findings were shared with the USAID's inspector general's office and State Department officials involved in Middle East policy, said two sources familiar with the matter, and come as dire food shortages deepen in the devastated enclave.
Israel says it is committed toallowing in aid but must control it to prevent it from being stolen by Hamas, which it blames for the crisis.
The UN World Food Program says nearly a quarter of Gaza's 2.1 million Palestinians face famine-like conditions, thousands are suffering acute malnutrition, and the World Health Organization and doctors in the enclave report starvation deaths of children and others.
The UN also claims that Israeli forces have killed more than 1,000 people seeking food supplies, the majority near the militarized distribution sites of the Gaza Humanitarian Foundation (GHF), the new private aid group that uses a for-profit US logistics firm run by a former CIA officer and armed US military veterans.
The study was conducted by the Bureau of Humanitarian Assistance (BHA) of USAID, which was the largest funder of assistance to Gaza before the Trump administration froze all US foreign aid in January, terminating thousands of programs. It has also begun dismantling USAID, whose functions have been folded into the State Department.
The analysis claimed that at least 44 of the 156 incidents where aid supplies were reported stolen or lost were 'either directly or indirectly' due to Israeli military actions, according to the briefing slides.
The IDF did not respond to questions about those findings.
The study noted a limitation: because Palestinians who receive aid cannot be vetted, it was possible that US-funded supplies went to administrative officials of Hamas, the Islamist terrorist rulers of Gaza.
One source familiar with the study also cautioned that the absence of reports of widespread aid diversion by Hamas 'does not mean that diversion has not occurred.'
Israel says Hamas diverts humanitarian aid
Israel has said that Hamas steals food supplies from the UN and other organizations to use to control the civilian population and boost its finances, including by jacking up the prices of the goods and reselling them to civilians.
Asked about the USAID report, the IDF told Reuters that its allegations are based on intelligence reports that Hamas militants seized cargoes by "both covertly and overtly," embedding themselves on aid trucks.
Those reports also show that Hamas has diverted up to 25% of aid supplies to its fighters or sold them to civilians, the IDF said, adding that GHF has ended the militants' control of aid by distributing it directly to civilians.
Hamas denies the allegations. A Hamas security official said that Israel has killed more than 800 Hamas terrorists who the group claimed were 'trying to protect aid vehicles and convoy routes.'
Reuters could not independently verify the claims by Hamas and Israel, which have not made public proof that the militants have systematically stolen aid.
GHF also accuses Hamas of massive aid theft in defending its distribution model. The UN and other groups have rejected calls by GHF, Israel, and the US to cooperate with the foundation, saying it violates international humanitarian principles of neutrality.
In response to a request for comment, GHF referred Reuters to a July 2 Washington Post article that quoted an unidentified Gazan and anonymous Israeli officials as saying Hamas profited from the sales and taxing of pilfered humanitarian aid.
Aid groups required to report losses
The 156 reports of theft or losses of supplies reviewed by BHA were filed by UN agencies and other humanitarian groups working in Gaza as a condition of receiving US aid funds.
The second source familiar with the matter said that after receiving reports of US-funded aid thefts or losses, USAID staff followed up with partner organizations to try to determine if there was Hamas involvement.
Those organizations also would "redirect or pause" aid distributions if they learned that Hamas was in the vicinity, the source said.
Aid organizations working in Gaza are also required to vet their personnel, subcontractors, and suppliers for ties to extremist groups before receiving US funds, a condition that the State Department waived in approving $30 million for GHF last month.
The slide presentation noted that USAID partners tended to over-report aid diversion and theft by groups sanctioned or designated by the US as foreign terrorist organizations - such as Hamas and Palestinian Islamic Jihad - because they want to avoid losing US funding.
Of the 156 incidents of loss or theft reported, 63 were attributed to unknown perpetrators, 35 to armed actors, 25 to unarmed people, 11 directly to Israeli military action, 11 to corrupt subcontractors, five to aid group personnel 'engaging in corrupt activities,' and six to 'others," a category that accounted for 'commodities stolen in unknown circumstances,' according to the slide presentation.
The armed actors 'included gangs and other miscellaneous individuals who may have had weapons,' said a slide. Another slide said "a review of all 156 incidents found no affiliations with" US-designated foreign terrorist organizations, of which Hamas is one.
'The majority of incidents could not be definitively attributed to a specific actor,' said another slide. 'Partners often largely discovered the commodities had been stolen in transit without identifying the perpetrator.'
It is possible there were classified intelligence reports on Hamas aid thefts, but BHA staff lost access to classified systems in the dismantlement of USAID, said a slide.
However, a source familiar with US intelligence assessments told Reuters that they knew of no US intelligence reports detailing Hamas aid diversions and that Washington was relying on Israeli reports.
The BHA analysis claimed that the Israeli military 'directly or indirectly caused' a total of 44 incidents in which US-funded aid was lost or stolen. Those included the 11 attributed to direct Israeli military actions, such as airstrikes or orders to Palestinians to evacuate areas of the war-torn enclave.
Losses indirectly attributed to the IDF included cases where they compelled aid groups to use delivery routes with high risks of theft or looting, ignoring requests for alternative routes, the analysis said.
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The Latest: Trump inaugurates his family's newest luxury golf course in Scotland
The Latest: Trump inaugurates his family's newest luxury golf course in Scotland

Hamilton Spectator

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  • Hamilton Spectator

The Latest: Trump inaugurates his family's newest luxury golf course in Scotland

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Trump boasts he 'stopped about five wars' while opening new Scotland golf course, vows to work with Netanyahu
Trump boasts he 'stopped about five wars' while opening new Scotland golf course, vows to work with Netanyahu

Fox News

time26 minutes ago

  • Fox News

Trump boasts he 'stopped about five wars' while opening new Scotland golf course, vows to work with Netanyahu

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Student Loan Interest Jumps This Week For 7.7 Million Borrowers
Student Loan Interest Jumps This Week For 7.7 Million Borrowers

Forbes

time26 minutes ago

  • Forbes

Student Loan Interest Jumps This Week For 7.7 Million Borrowers

UNITED STATES - MAY 21: Education Secretary Linda McMahon testifies during the House Appropriations ... More Subcommittee on Labor, Health and Human Services, Education, and Related Agencies hearing on the Department of Education's budget in Rayburn building on Wednesday, May 21, 2025. McMahon announced in July that the department would resume charging interest on student loans covered by the SAVE plan forbearance. (Tom Williams/CQ-Roll Call, Inc via Getty Images) Millions of federal student loan borrowers will see their interest rates jump this week as the Trump administration moves forward to end benefits for borrowers enrolled in the SAVE plan. For more than a year, nearly eight million borrowers who had enrolled in the SAVE plan have remained in a forced administrative forbearance due to a lawsuit brought by a coalition of Republican-led states. The involuntary forbearance, which has suspended monthly payments and set interest rates to zero since last summer, was put into effect after a federal appeals court issued an injunction blocking SAVE while the legal challenge proceeded. But following the Trump administration's announcement earlier this month that interest accrual will resume during the SAVE plan forbearance, millions of borrowers will see their rates jump from zero percent to the interest rates established by their loan promissory note, which could be anywhere from around five percent to more than eight percent. The Department of Education characterized the move as necessary 'to bring fiscal responsibility to the federal student loan portfolio" in a statement issued earlier this month. The student loan interest rate hike will go into effect on Friday, August 1. Here's what borrowers need to know. Department Of Education Blames Court Ruling For Student Loan Interest Resumption The Trump administration suggested that the resumption of interest for SAVE plan borrowers was the result of another recent court ruling in the ongoing litigation over the future of the program. 'The Department will take this action to comply with a federal court injunction that has blocked implementation of the SAVE Plan, including the Department's action to put SAVE borrowers in a zero percent interest rate status,' said the department in its prior statement. 'The Department had the authority under the SAVE plan to prevent borrowers from going into negative amortization, which is the authority the Department relied on to put borrowers in zero percent interest rate status. Outside of that regulatory provision in SAVE (which is enjoined), the Department lacks the authority to put borrowers into a zero percent interest rate status.' However, critics of the move argued that nothing in the recent rulings associated with the SAVE plan litigation requires that the department start charging interest again. And no court has ordered the department to do so. 'No court has ordered the Department to resume charging interest to borrowers in the SAVE forbearance,' said the Student Borrower Protection Center in an analysis after the department's announcement. 'On February 18, 2025, the U.S. Court of Appeals for the 8th Circuit upheld the District Court for the Eastern District of Missouri's preliminary injunction temporarily blocking the SAVE plan itself, and instructed the lower court to widen the injunction in accordance with its analysis. Nowhere in the 8th Circuit's opinion or order is there any discussion of the legality of the Department's temporary, interest-free SAVE forbearance.' Student Loan Payments For SAVE Plan Will Remain Paused For Now While interest will start accruing again on August 1 for federal student loans that are in the involuntary SAVE plan forbearance, borrowers still won't have to make payments, at least for the time being. 'Under this general forbearance, you don't have to make your monthly payments on your student loans,' says updated Department of Education guidance. But, 'interest does accrue, starting Aug. 1, 2025.' The time spent in the forbearance still won't count toward student loan forgiveness under income-driven repayment plans or Public Service Loan Forgiveness. That has been the case since last year, and that won't change once interest starts accruing again. The SBPC argued that even though payments aren't due, borrowers in the SAVE plan forbearance will still pay a price for the department's decisions to restart interest, as their overall balances increase over time. 'Nearly 8 million people will be charged $27 billion in interest charges each year,' said the SBPC in its analysis. 'Borrowers from working class families will bear the brunt of these costs. We estimate that over 40% of the borrowers who would be forced to pay interest while in forbearance make under 225% of the federal poverty line.' The SBPC also found that the lowest income borrowers will be charged more than $3,000 per year in interest as a result of the department's decision. Student Loan Borrowers In SAVE Plan Will Eventually Need To Switch While those in the SAVE plan forbearance don't yet need to make payments on their student loans, even as interest starts accruing again, these borrowers will eventually need to switch plans, as SAVE will not be returning. Earlier this month, President Trump signed the 'Big, Beautiful Bill,' reconciliation legislation that passed Congress on a party-line vote. The bill repeals SAVE, as well as the PAYE and ICR plans, by July 1, 2028. Prior to that date, borrowers will need to switch to a different repayment plan. For those borrowers who want to continue making payments based on their income, their only choices would be Income-Based Repayment, or IBR, which is the only current IDR option preserved by the bill; or, they will need to select the Repayment Assistance Plan, a new IDR program that the bill directs the Department of Education to create. While RAP retains some of the key benefits of the SAVE plan, such as a subsidy designed to prevent student loan balances from ballooning over time due to interest accrual, many borrowers will have higher monthly payments under RAP than they would have had under SAVE. And borrowers will have to make payments for far longer under RAP (in some cases, for an 10 additional years) before they can qualify for student loan forgiveness. So far, the Department of Education has not provided SAVE plan borrowers with concrete information on when they will need to select a different repayment plan. While the 'Big, Beautiful Bill' indicates that SAVE would be officially repealed by July 1, 2028, most observers expect the department to force borrowers to switch repayment plans much sooner than that, particularly if a federal court winds up striking down the program entirely. Options For Student Loan Borrowers Student loan borrowers in the SAVE plan forbearance who are concerned about the resumption of interest accrual have a menu of imperfect options. They can remain in the SAVE plan forbearance even while interest accrues, given that payments still aren't due. But that means that their student loan balances will start increasing again, which could increase their monthly payments once the forbearance ends if they opt out of income-driven repayment altogether. Alternatively, borrowers can make voluntary payments while in the SAVE plan forbearance to cut down on the interest accrual. But voluntary payments made while their student loans are in a forbearance status would still not count toward student loan forgiveness under both IDR and PSLF. Another option is changing to a different repayment plan, which the Department of Education is encouraging borrowers to do. 'The Department urges all borrowers in the SAVE Plan to quickly transition to a legally compliant repayment plan – such as the Income-Based Repayment Plan,' said Secretary of Education Linda McMahon in a statement earlier in July. "Borrowers in SAVE cannot access important loan benefits and cannot make progress toward loan discharge programs authorized by Congress.' However, the department has also paused student loan forgiveness under the IBR plan, and has provided no timeline on when loan forgiveness processing will resume. Meanwhile, the department is contending with a massive backlog of more than 1.5 million IDR applications. The department has indicated that borrowers who apply online to switch IDR plans and utilize the IRS data retrieval tool to import their income information into the online application can expect faster processing, notwithstanding the backlog.

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