Italy Arrests Nine and Seizes €8 Million in Crackdown on Hamas-Linked Fake Charity Network

Italian law enforcement authorities have concluded a major counterterrorism financing operation that led to the arrest of nine people and the confiscation of assets worth approximately €8 million, following the uncovering of a fake charity network linked to Hamas. Investigators say the structure was responsible for channeling around €7 million to the militant organisation while presenting itself as a humanitarian aid initiative. The coordinated action was led by the District Anti-Mafia and Anti-Terrorism Directorate in Genoa after an extensive review of suspicious financial transactions flagged within the banking system. The operation specifically targeted the financial mechanisms used to sustain militant activities and to support the families of individuals involved in terrorism.

The investigation, codenamed Operation Domino, exposed the systematic misuse of non-profit organisations as vehicles for moving illicit funds across borders. Authorities determined that several associations operating in Genoa and Milan functioned as fundraising fronts, soliciting donations purportedly intended for civilians in Gaza. However, forensic financial examinations conducted by the Guardia di Finanza revealed that more than 71 per cent of the money collected was ultimately redirected to the military wing of the designated terrorist organisation. Investigators described this approach as a textbook example of how charitable causes are exploited to conceal the true destination of funds. The suspects employed complex international triangulation methods, routing money through multiple jurisdictions, including Turkey, before it reached its final recipients. By hiding behind humanitarian narratives, the network capitalised on donor goodwill while quietly building substantial financial reserves for illegal purposes.

Prosecutors said the scale and sophistication of the scheme required an exhaustive analysis of bank accounts, transaction histories and digital records. The network was accused not merely of transferring money, but of managing an elaborate financial ecosystem capable of aggregating thousands of small donations into large, strategic sums. The €7 million allegedly diverted represented a significant share of the total funds raised by the associations during the period under investigation. Authorities stressed that the use of non-governmental organisations as a conduit for money laundering is considered a high-risk typology by international regulators. In this case, the absence of transparency regarding how funds were ultimately spent allowed the group to sustain the appearance of legitimate humanitarian work for years, while in reality reinforcing the operational and logistical capacity of a militant organisation. Investigators said the deceptive structure meant that even donors acting in good faith unknowingly contributed to financing the families of suicide bombers and active operatives.

Financial intelligence played a central role in dismantling the network. Law enforcement relied heavily on suspicious transaction reports generated by banks that had detected unusual patterns, including high-volume transfers to jurisdictions considered high risk. These reports enabled State Police units to reconstruct the web of donors, intermediaries and final beneficiaries. The operation was supported by extensive cooperation with the Netherlands and other European Union member states through the Eurojust framework. This cross-border collaboration was crucial in documenting how funds were transferred through bank accounts and cash couriers to entities formally designated as illegal due to their links to militant groups. Monitoring these financial channels allowed investigators to demonstrate the dual nature of the organisations involved, which outwardly presented themselves as charities while secretly supporting terrorism.

International intelligence sharing was also critical to the success of the case. Through coordinated efforts, Italian authorities were able to identify the end recipients of the funds, including individuals previously involved in militant activities. Investigators detailed how money was deliberately routed through third countries to obscure the trail between Italian donors and the final beneficiaries. This process frequently involved shell companies or legitimate-looking businesses that created layers of separation between the source of funds and the terrorist organisation. Specialised forensic accounting was required to reconcile declared humanitarian expenditures with the actual financial outflows uncovered during raids. This analysis showed that the overwhelming majority of the funds generated by the associations were never intended for civilian relief, but instead formed a steady revenue stream for combat and operational purposes.

Authorities also reconstructed the core diversion mechanism used by the network. Donations collected from the public, both small and large, were consolidated into central accounts controlled by key figures within the cell. To evade standard banking scrutiny, the group relied on foreign-based associations to act as intermediaries and buffers. Intercepted communications and digital files retrieved from seized servers confirmed that the transfer of €7 million was explicitly planned to enhance the operational capacity of the militant movement. Investigators said part of the seized funds was also earmarked to support individuals detained for terrorism-related offences, a practice viewed by regulators as essential to maintaining the organisational cohesion and ideological strength of such groups.

During searches, investigators uncovered additional evidence pointing to a broader role played by the associations. Servers contained military training materials, recruitment documents and ideological content, indicating that the organisations were not only financial hubs but also centres for radicalisation. Files seized by DIGOS officers documented efforts to indoctrinate students and glorify specific militant actions. Financial records further showed that some of the funds were used to cover travel and living expenses for individuals journeying to conflict zones. Officials noted that this comprehensive funding model, spanning social assistance, recruitment and military support, makes such networks particularly resilient and difficult to dismantle without large-scale asset seizures. The charitable façade provided social legitimacy, allowing the organisations to operate openly in major Italian cities without attracting immediate suspicion.

The dismantling of the Italian cell is being described as a significant blow to the transnational fundraising apparatus of designated terrorist groups. By freezing and seizing assets, authorities have curtailed resources available for weapons procurement, training and operational planning. Officials said the case underscores the importance of strict oversight of the non-profit sector and continuous monitoring of international money transfers. It also highlights how proselytising activities linked to education and social outreach can be financed through illicit flows. Judicial proceedings will now examine the individual responsibilities of the nine suspects, including the alleged leader of the Italian branch, who face charges related to external involvement in terrorist activities and the unlawful provision of financial resources.

Italian authorities expect Operation Domino to have lasting regulatory consequences. The Interior Ministry has indicated that the case will inform future policies on transparency and financial disclosure requirements for charities operating in Italy. Prosecutors believe the evidence showing such a high level of fund diversion supports permanent confiscation of the seized assets, sending a strong deterrent signal to other organisations considering similar schemes. Officials also pointed to the case as proof of the effectiveness of the suspicious transaction reporting system, which triggered the investigation that unfolded over several years. As court proceedings continue, the material gathered from these fronts is expected to help identify additional links within the global network that finances militant activity.

By fLEXI tEAM