The lawsuit claims that the UN organization dedicated solely to Palestinian refugees and their descendants has spent years “sending over one billion dollars from UNRWA’s New York bank account in Manhattan that defendants then caused to be delivered to Gaza in cash US dollars to benefit Hamas.” UNRWA allegedly laundered billions in donor cash to Hamas, “greatly reducing humanitarian aid provided to Gaza residents and playing a key role in the Oct. 7 attack.” MM~LAW LLC filed the lawsuit against UNRWA in US federal court in the Southern District of New York on behalf of the plaintiffs.

Both the Israeli government and watchdog groups have unveiled evidence purportedly showing that many UNRWA employees actively participated in the Oct. 7 Hamas attack, assisted in kidnapping Israelis that day, tortured and hid Israeli hostages in their homes, aided in the transfer of Hamas weapons and trucks, and had other close ties to Hamas.

The UN has been probing the allegations in an ongoing investigation. In April, a UN spokesperson said that one case of an employee helping Hamas and its Oct. 7 onslaught had been closed and four others suspended, citing a lack of evidence.

Israel discovered that Hamas used UNRWA facilities in Gaza, including its schools, to run operations and attacks against Israel and to store weapons, both in and under UNRWA institutions. The Israeli military recently revealed that in the southern Gaza city of Rafah, Hamas terrorists were found in UNRWA’s central logistics compound alongside UN vehicles. A group of 3,000 teachers working in Gaza for UNRWA even praised the Oct. 7 Hamas attack. UNRWA operates 183 schools in Gaza that are staffed by over 9,400 employees, according to the lawsuit

UNRWA schools have previously been accused of inciting antisemitism, terrorism, and hatred of Israel in the textbooks it distributes to Palestinians students.

The Israeli victims of Oct. 7 claim in their lawsuit that UNRWA “knowingly and intentionally” employed Hamas members and “knowingly provided material support to Hamas in Gaza,” including providing them access to UNRWA facilities and offering “safe havens for terrorists and their materiel.”

They accuse UNRWA of facilitating “construction of Hamas command and control centers, attack tunnels and underground bunkers under UNRWA headquarters, UNRWA schools, medical clinics, and offices.” The UN agency is also accused of turning its facilities into “prison cells to hold hostages,” as well as “military storage and deployment bases, including the storage and guarding over weapons, ammunition, explosives, and other military supplies, to be used by terrorists.”

UNRWA “collectively spent over a decade prior to the Oct.7 attack helping Hamas build up the terror infrastructure and personnel that were necessary to carry out the Oct. 7 attack, including by knowingly providing Hamas with the US dollars in cash that it needed to pay smugglers for weapons, explosives, and other terror materiel,” the lawsuit charges.

The UN organization also allegedly “permitted installation of rocket launching platforms and terrorist firing positions within and/or adjacent to UNRWA schools, medical clinics and offices, in violation of international humanitarian law.”

The case includes accusations about UNRWA implementing a tactic to further fund Hamas by paying its Gaza staff in US dollars rather than local currency, which is the Israeli shekel. The lawsuit states that although other large, local employers in Gaza pay their employees in shekels, UNRWA instead pays its local staff in US dollars and in cash. As a result, UNRWA personnel are required “to turn to Hamas-affiliated moneychangers” to exchange their cash dollars for shekels needed to buy things like groceries and other necessities.

“Hamas runs the majority of the Gaza moneychangers, and those are that are not actually run by Hamas are required by Hamas to pay Hamas a share of the fees they earn (often ranging from 10 percent up to 25 percent) for such exchange transactions, thus ensuring that a predictable percentage of UNRWA’s payroll went to Hamas,” the lawsuit explained. “Hamas uses the moneychangers to finance its military activities, and there are multiple examples in recent years of Hamas using currency exchange facilities in Gaza to finance its military activities.”

The lawsuit continued, “Hamas desperately needed the US currency itself. US dollars in cash form are vital to Hamas for purposes such as obtaining weapons on the international black market to be smuggled into Gaza and used for terrorist purposes, including the Oct. 7 attack.”

The plaintiffs said that because UNRWA’s actions in aiding Hamas “occurred in significant part” in New York — like trips taken by UNRWA personnel to the United Nations in New York City to secure funding from donor countries — the federal court in New York in which they filed their lawsuit has jurisdiction to making a ruling in the case.

Plaintiffs include not only victims of the attack but also families and representatives of those murdered by Hamas on Oct. 7. They demand a trial by jury and are seeking damages “in an amount to be proven at trial.”