United Press International – June 27, 2008
TEL AVIV, Israel, Jun 27, 2008 (UPI via COMTEX) — The Israeli government is allowing hundreds of millions of dollars to go to Hamas in Gaza, a watchdog organization has charged.
Shurat Hadin made the allegation Thursday, quoting government correspondence. But government representatives suggested facts were being taken out of context, The Jerusalem Post reported Friday.
Shurat Hadin head Nitzana Darshan-Leitner quoted from a letter received from the legal adviser of the Israeli Prime Minister’s Office that said, “The transfer of funds to the Palestinian Authority in the Gaza Strip takes place with the knowledge of the government of Israel for diplomatic reasons.”

However, Prime Minister’s Office spokesman Mark Regev told the Post that the funds mentioned in the letter referred to the money from customs taxes belonging to the PA in accordance with the Paris Agreement of 1994.
That in turn was disputed by Shurat Hadin attorney Ro’i Kochavi who said his organization’s allegations were referring to other transfers by the Bank of Israel and the Postal Authority. He told the Post that armored cars sent by banks with branches in Ramallah and Gaza take Israeli shekels to the Gaza-Israel border, where they switch loads with armored cars from Gaza carrying the Iranian currency, he said.
Copyright 2008 by United Press International