Biden’s $100 million in aid to Gaza, West Bank at ‘high-risk’ of diversion to Hamas, IG says

President Biden’s pledge to send $100 million in humanitarian aid to Gaza and the West Bank is at “high-risk” of falling into the hands of Hamas or other foreign terrorist organizations, according to a federal agency’s watchdog.

The United States Agency for International Development (USAID) Office of Inspector General said Friday that the aid funding was at “high-risk for potential diversion” and could “fall into the hands of foreign terrorist organizations (FTOs) including, but not limited to, Hamas.”

“USAID OIG has identified deliberate interference and efforts to divert humanitarian assistance in regions where FTO activity is prevalent,” the office’s report states.

“This includes: systemic coercion of aid workers by FTOs; imposition of taxes, duties, and fees on USAID awardees and beneficiaries; and FTO influence over beneficiary selection and internally displaced persons camp management.”

The warning comes as Israeli forces have encircled Gaza City and prepare for potential street-to-street combat following the Oct. 7 terrorist attack by Hamas on communities across southern Israel.

The jihadists launched rockets and invaded the Jewish state on multiple fronts to brutally rape, burn alive and decapitate civilians, killing more than 1,400 in the bloodbath — including 33 US citizens.

More than 200 others were taken as hostages back to Gaza.

The USAID inspector general’s office also threatened further prosecution by the Department of Justice if any improper vetting of grant applications led to money going into the hands of foreign terrorist organizations.

It noted a $2 million settlement the agency paid in 2018 for having allegedly made false certifications on behalf of a Norwegian nonprofit that concealed its financial support of Iran, Hamas, the Popular Front for the Liberation of Palestine (PFLP) and the Democratic Front for the Liberation of Palestine (DFLP).

Another $700,000 settlement in 2017 resolved claims that USAID funded three Hezbollah-linked organizations through money it gave to the American University of Beirut, according to its inspector general’s report.

“In addition to other pre-award vetting measures, USAID requires applicants for grants or cooperative agreements to certify that in the three years prior to award, they have not knowingly engaged in transactions, or provided material support or resources to entities sanctioned under U.S. counter-terrorism regulations,” it says.

Last November, USAID Administrator Samantha Power announced $50 million in scholarships and financial aid for refugee students at the American University of Beirut, along with the Lebanese American University and Notre Dame University-Louaize.

Risks of the funding going to terrorist organizations are heightened when beneficiaries are under threat or require authorization from “armed groups,” the inspector general said.

Other risks involve local governing bodies trying to resist or delay monitoring of the funds or insufficient supporting documents from non-governmental organizations involved — especially if any records “appear doctored.”

Biden, 80, announced the $100 million assistance to the Palestinian territories as part of his larger $106 billion request to Congress for funding to Ukraine and Israel amid their ongoing wars.

On Thursday, the US House of Representatives passed $14.3 billion in supplemental military aid to Israel alone, snubbing the president and Senate leaders who both favor the joint aid package.