British bank HSBC has ended its relationship with the Islamic Relief Worldwide (IRW), the largest international Islamic charity in the world. In other words, HSBC has closed IRW’s account with the bank and has given them their money back. The bank’s decision was a risk-based determination probably based—not just on the locations of the world where IRW operates—on a review of IRW partners and what internal controls IRW has in place to ensure that its partner organizations and field staff have been adequately screened.
IRW has a pattern of working with Hamas-affiliated entities and then claiming afterward that it didn’t know. It is either purposeful or negligent. Either way HSBC is not obliged to serve as their bank. After being excoriated for its slipshod compliance program a couple years ago, HSBC should now be applauded for applying solid standards.
From International Business Times last month:
HSBC snaps ties with Islamic Relief over ‘terror’ fears
January 4, 2016
HSBC has snapped banking ties with UK’s largest government-funded Muslim charity, Islamic Relief, over alleged fears of terror funding. Although the bank has halted services for other Muslim groups in the past, the affected charity is one of the most high-profile ones with operations in over 40 countries.
Islamic Relief receives millions of pounds from the Department for International Development. It expressed surprise at the bank’s decision, but said that other partners are helping it maintain aid supplies in countries where it operates. The charity added that no other bank or financial institution had withdrawn facilities.
According to The Sunday Times, HSBC may have ended ties with Islamic Relief because of the charity’s work in the Middle East, including projects in Gaza and Syria. Earlier, the Israeli government had banned Islamic Relief from the West Bank in 2014. It accused the organisation of laundering money to Hamas, a claim categorically denied by the charity.
Around the same time, the United Arab Emirates (UAE) had also placed Islamic Relief on a list of forbidden organisations, a move the group is in the process of appealing against. Shortly after these bans, the bank took the decision to cut ties with the organisation, but it has only just become public knowledge.
Meanwhile, the UK Charity Commission ordered an independent investigation into the incident, and cleared Islamic Relief of terror funding allegations…
Seems the Charity Commission is the odd man out, no?
Kenya alleges Dahabshiil employee recruited for al-Shabaab
February 25, 2016According to Kenya Media News Agency, an employee of the remittance company Dahabshiil has been charged in Kenya with recruiting fighters to join the terrorist group al-Shabaab. Abdirizak Mowlana (also spelled Mowlanaa) has been described as “deputy manager” or “assistant manager.” Dahabshiil operates in dozens of countries. Mr. Mowlana is said to have held his position in South Africa, but it is unclear whether he managed all South African operations or just one branch office. If the charges are proven, this news development would be the latest in a long line of red flags about Dahabshiil’s alleged involvement in financing terrorism–allegations which Dahabshiil has previously denied.
UPDATE 3/8/2016: Money Jihad reached out to Dahabshiil about these allegations prior to the publication of this blog post. After publication, Dahabshiil responded, “Dahabshiil has confirmed that the accused individual (if he even exists) has no connection whatsoever with Dahabshiil. For the avoidance of doubt, he is not, and has never been, an employee or an agent of Dahabshiil, or otherwise known to Dahabshiil.”
Posted in News commentary | Tagged al-Shabaab, Dahabshiil, Kenya | 1 Comment »