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UN agency for Palestinians in danger due to accusations of terrorism

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Leaders of the largest United Nations agency in Gaza warned Monday that it could soon run out of money as new allegations emerged about Hamas' influence over the organization.

As UN officials worried about the future of UNRWA, the main aid agency for Palestinians, Israeli officials debated whether it made sense to publicly make accusations that a group of the organization's employees were involved in the October 7 terror attack. Some Israeli military leaders believed it was a mistake to make waves, according to three Israeli officials involved in the discussions, because the agency's collapse would leave a huge administrative and logistical vacuum in the middle of a humanitarian crisis.

UNRWA plays a crucial role in Gaza – distributing food, water and medicine – and it is unclear who would fill the vacuum if it were to collapse. Most of Gaza's 2.2 million people have been driven from their homes, many are sheltering in centers and schools run by the agency, and it is helping distribute the aid that arrives in Gaza every day.

Israel has charged that at least twelve employees of the organization – the United Nations Relief and Works Agency for Palestine Refugees – took part in the October 7 attack and that as many as 1,300 employees are members of the group. According to Israeli estimates, the attack ended on October 7 with approximately 1,200 dead and another 240 hostages taken.

The Israeli military has provided the United States with a dossier claiming that about 10 percent of the agency's 13,000 employees in Gaza are Hamas members. That assessment was derived from comparing a UNRWA personnel list with a registry of Hamas members that soldiers found on a computer during a recent operation in Gaza, the military officials said.

The allegations include evidence that an UNRWA employee kidnapped a woman and that another took part in a massacre at a kibbutz. The United Nations is investigating the allegations, which were first made public on Friday, and has dismissed nine of the suspects.

Hamas, which is considered a terror group by the United States and the European Union, also controls the civilian authority that governed Gaza at the start of the war. It was unclear how many of the accused members were active in the group's armed wings, although membership is illegal only for UNRWA members.

As the new allegations were made public on Monday, Austria said connected Thirteen other countries temporarily halted their donations to UNRWA, leading the organization to warn that its activities could be halted at the end of February due to a lack of funds.

Some Israeli military leaders said on Monday they questioned the timing of their diplomatic counterparts' accusations against UNRWA, according to three Israeli officials involved in the discussions. Israeli security chiefs fear they will take a more direct role in distributing food and aid, a role they do not want.

Some of Israel's military leaders are unsure about the benefits of publicly disseminating the intelligence dossier, as it could force more donors to withdraw funding before Israel has properly considered how to replace UNRWA.

“I would be happy if UNRWA were closed down,” said Ilan Paz, a former Israeli general who dealt with UNRWA during his service.

“But you know, there is no other organization,” Mr. Paz said. Israel's inability to think about how it could replace UNRWA was one of many gaps in the government's long-term thinking about the war and its aftermath, he added.

Many Israeli officials have wanted to disband UNRWA for years, accusing it of being influenced by – or even collaborating with – Hamas, a charge the organization denies. Israeli Foreign Minister Israel Katz called for its replacement on Saturday. But even officials who share this antipathy say now is not the time to get rid of the service.

The Israeli response to the October 7 attack, a brutal bombing campaign and an invasion by ground forces have led to a deep humanitarian crisis in Gaza, killing at least 26,000 people – more than 1 in 100, according to Gazan officials. The healthcare system has collapsed, diseases are spreading and aid groups are warning of an impending famine.

The situation has worsened in recent days after torrential rains flooded areas where thousands of displaced Palestinians are sheltering in flimsy, makeshift tents.

Khalil el-Halabi, 70, said he had been suffering from a cold for a week when rain flooded his tent in Rafah. After a downpour subsided, Mr. el-Halabi and his family dried out parts of the tent where water had penetrated, but the water found its way back in when it rained again the next day.

“Disastrous,” said Mr el-Halabi, originally from Gaza City. “The water went everywhere.”

According to Israeli and UN officials, Israeli diplomats made the accusations about the 12 UNRWA employees almost two weeks ago during a private meeting in Israel with UNRWA leadership. The meeting was held without the knowledge of the senior military and intelligence officers who had overseen the operation investigating the 12 workers' links to the attack, three military officials said. The Foreign Ministry declined to comment.

Days later, UNRWA fired most of the accused workers and notified its major donors, including the United States, whose diplomats quickly sought clarification of the Israeli military's claims.

Military leadership was so surprised that the information had reached U.S. officials that they ordered an internal investigation into how it was disseminated, according to the military officials, who spoke anonymously to discuss a sensitive matter.

United Nations Secretary-General António Guterres plans to meet representatives of the countries that are UNRWA's top donors on Tuesday and urge them to keep the organization afloat.

“He is personally shocked by the accusations against UNRWA employees, but his message to donors, especially those who have suspended their contributions, is to at least guarantee the continuity of UNRWA's activities,” said Stephane Dujarric, the spokesperson from Mr Guterres. “The serious needs of the desperate populations they serve must be met.”

UNRWA provides the Israeli Ministry of Foreign Affairs with a staff list every year. When asked why it had not previously found such a large number of Hamas members on that list, the State Department said the information provided was only partial and that vetting the employees was UNRWA's responsibility. The agency said it does not routinely conduct background checks on its employees.

The agency was founded in 1949 to care for Palestinians who fled or were forced from their homes during the wars surrounding Israel's creation. Now it provides services to more than 5 million refugees and their descendants living across the Middle East, including Gaza.

Israelis say the group helps support the refugees' goal of returning to territory in what is now Israel, a goal Israelis oppose. Palestinians and their supporters say UNRWA is a crucial lifeline for some of the most vulnerable people in the Middle East.

“The people who will be affected are the 1 million people seeking refuge in UNRWA shelters in Gaza,” said Chris Gunness, a former spokesman for the organization.

And at a time when UNRWA's services are most needed, UNRWA's leadership now says it may not be able to continue because it has no strategic financial reserve.

Donor countries release financing in installments throughout the year. While the next payment from the United States is not expected until June, some of the other countries that have suspended funding would make their next donations in February, UNRWA communications director Juliette Touma said in a telephone interview.

Because UNRWA used up most of its financial reserves during a previous funding freeze ordered by President Donald J. Trump, the organization depends on a steady flow of donations to stay afloat, Ms. Touma said.

If even a few donors fail to get their funding back by the end of February, Ms. Touma said, UNRWA will no longer be able to pay the salaries of its 30,000 employees in the Middle East.

Patrick Kingsley reported from Jerusalem and Ronen Bergman from Tel Aviv. Reporting was contributed by Hiba Yazbek, Adam Ragon, Matthew Mpoke Bigg, Farnaz Fassihi, Myra Noveck And Gabby Sobelman.

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