Global Terrorism Financing Report
Part 2 of the November Report
Hello Insight Monitor subscribers, and welcome to part 2 of our terrorist financing news roundup for November. There was so much terrorist financing news last month we had to split this issue into two newsletters. Today we’re looking at cases of terrorist financing from the United States, Iran, Nigeria, and more! We also have our usual longer reads at the end of this article so you can get caught up on all the research and analysis being published in this area. Have a read, and be sure to share it with a friend or colleague to help us grow our network!
Middle East
In Yemen, a UN report claims that the Houthi rebels have established an unprecedented network of financial and logistical support that is enabling their ongoing attacks on maritime shipping in the Red Sea region. Their financing appears to come from multiple sources, including Iranian backing and complex fundraising networks that generate revenue through illegal activities. The Houthis are also receiving illegal fees from shipping agencies to permit safe passage through the Red Sea and the Gulf of Aden. Some experts and the Houthis themselves are disputing the claims made in the UN report.
Al-Fadel, a major Syrian money transfer company, closed its main branch in Damascus following alleged threats from Israel accusing it of funding Hezbollah. The US Treasury Department sanctioned three brothers who own Al-Fadel in 2023 for providing financial assistance to the Syrian regime, Hezbollah, and the Iranian Revolutionary Guard Corps (IRGC). The US Treasury alleges Al-Fadel facilitated millions of dollars in transfers to sanctioned entities since 2021.
Two individuals in Deir ez-Zor, Syria were arrested for for allegedly financing ISIL cells. The arrests targeted owners of the "Al-Hawayij money transfer" office.
Israel's outgoing Foreign Minister imposed sanctions on 24 major clients of Al-Qard Al-Hasan, a Hezbollah-affiliated financial institution, to disrupt Hezbollah's funding of terrorism. The sanctions target individuals who reportedly deposited substantial sums into Al-Qard Al-Hasan, which Hezbollah uses to procure weapons, provide loans, and pay operatives' salaries.
The IDF uncovered and disrupted Iranian-backed Hezbollah weapons smuggling routes operating through Syria. Iran's strategy involved using thousands of trucks and aircraft to supply Hezbollah with missiles and other weaponry. This operation, overseen by Hezbollah's Unit 4400, relied on Syrian cooperation, including storage in Syrian military warehouses and facilitated border crossings
Iran has been Hamas's primary financial backer since 2014, providing hundreds of millions of dollars US in aid for its leadership and military wing. Captured Hamas documents reveal the extent of Iranian financial support. The funding facilitated Hamas's October 7, 2023 attack, coordinating with Hezbollah and deploying forces in Lebanon. Iran's strategy involves extensive funding, partially directed toward civilian programs, to gain influence over Hamas and Gaza.
The Iraqi army arrested 12 individuals suspected of financing ISIL in Kirkuk province. The arrests followed the detection of two ISIL members transporting supplies near Haftakhar village.
In Iraqi Kurdistan, Sulaimani security forces dismantled an ISIL cell, codenamed the "Kurdistan State" cell. Weaponry, explosives, and equipment were seized during the operations. The ISIL cell aimed to connect with terrorist groups in Türkiye and Iran, and planned to set up checkpoints to kidnap businessmen for funding.
Africa
Nigeria's Lakurawa terrorist group raised funds by providing security services to communities and receiving payments for protection against bandits. Their activities highlight the increasing number of ungoverned spaces in the region. The group's funding comes from these illicit taxes and possibly other criminal activities.
Burkina Faso's government froze the assets of 113 individuals and two jihadist groups suspected of financing terrorism. The action targets individuals accused of funding the Group for the Support of Islam and Muslims (JNIM) and Islamic State in the Greater Sahara (ISGS). Former president Paul-Henri Sandaogo Damiba is among those sanctioned.
Europe
An East London teenager, has been accused of aiding Al-Qaeda through cryptocurrency transactions. He allegedly used Bitcoin to send money to the terrorist group. The 16-year-old is accused of transferring $1,300 US worth of Bitcoin to Al-Qaeda in 2020. The funds were allegedly used to purchase weapons and other resources for the terrorist group.
In a recent operation in Istanbul, Turkish authorities arrested 23 suspects linked to ISIL, as part of an ongoing investigation into the terrorist group's activities. The suspects are accused of financing terrorism by providing financial support to ISIL.
A second investigation has been launched into Ahmet Özer, the former mayor of Esenyurt, Istanbul, focusing on allegations of financing terrorism. Özer was initially arrested for alleged affiliation with the Kurdistan Workers' Party (PKK). Prosecutors are investigating whether public funds were diverted to the PKK during Özer's term.
Six Syrians were detained in Cyprus for allegedly funneling hundreds of thousands of euros to the terrorist organization Hayat Tahrir al-Sham (HTS). The investigation revealed suspicious fund transfers exceeding the suspects' reported incomes, indicating a sophisticated fundraising operation. A key suspect, identified as the HTS treasurer, allegedly received €250,000 ($250,000 US) from associates in Cyprus. Evidence included WhatsApp messages and photos of large sums of cash. The funds were allegedly transferred weekly, potentially totaling tens of thousands of euros per week.
Turkish authorities issued 53 arrest warrants in Ankara as part of an investigation into the Fetullah Terrorist Group (FETO), focusing on its financing of terrorism. The operation targeted individuals linked to FETO's infiltration of the Turkish Armed Forces and its ongoing activities.
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Simon Ekpa faces trial in Finland in May 2025 on charges related to incitement to violence and terrorism financing. Finnish authorities allege Ekpa used social media to promote violence in Nigeria's South-East region, targeting civilians and authorities. The charges include public incitement to commit a crime with terrorist intent and financing of terrorism.
German prosecutors charged four Hamas operatives with preparing attacks on Jewish institutions and other targets, including the Israeli embassy and a US airbase. The indictment alleges the operatives maintained weapons depots across Europe, receiving orders and funding from Hamas leadership in Lebanon. The investigation revealed the movement of weapons, including firearms, between several European countries
A Ukrainian citizen faces conviction in the Luhansk People's Republic (LPR) for financing the Azov Regiment, a group designated as a terrorist organization by Russia. The accused is charged under Article 205.1 of the Russian Criminal Code.
Longer Reads
CTED Trends Tracker Evolving Trends in the Financing of Foreign Terrorist Fighters’ Activity: 2014 – 2024 - UN Counter-Terrorism Committee Executive Directorate
Analysis of how financial flows related to terrorism travel and activities have evolved over the past 10 years,
How dirty money gets into Canadian politics, with Jessica Davis - Hill Times Hot Room
Foreign actors have been funding crime and democratic corruption in Canada. Jessica Davis of Insight Threat Intelligence explains how the money gets in, what it's used for, and how we can help authorities stop it.
Q&A | How foreign actors and criminals use dirty money in Canada - Hill Times
‘If we're not looking at how those activities are financed, we're missing a whole piece of the puzzle,’ says national security expert Jessica Davis.
Rewind and Reconnoiter: When Aid Turns Into Extremism - War on the Rocks
Reflection on “Compounding Violent Extremism? When Efforts to Prevent Violence Backfire” regarding government funding anti-extremism efforts encouraging
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