US pauses funding to UN agency for Palestinians after claims staffers were involved in Hamas attack

Palestinians arrive in the southern Gaza town of Rafah after fleeing an Israeli ground and air offensive in the nearby city of Khan Younis on Friday, Jan. 26, 2024. Israel has expanded its offensive in Khan Younis, saying the city is a stronghold of the Hamas militant group. (AP Photo/Fatima Shbair)
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DEIR AL-BALAH, Gaza Strip — The U.N. agency for Palestinian refugees fired a number of its staffers in Gaza suspected of taking part in the Oct. 7 attack by Hamas and other militants on southern Israel, its director said Friday, prompting the United States — the agency’s biggest donor — to temporarily halt its funding.

The agency, known by its acronym UNRWA, has been the main agency providing aid for Gaza’s population amid the humanitarian disaster caused by Israel’s offensive against Hamas in Gaza triggered by the Oct. 7 attack. UNRWA officials did not comment on the impact that the U.S. halt in funding would have on its operations.

UNRWA chief Philippe Lazzarini said it terminated contracts with “several” employees and ordered an investigation after Israel provided information alleging they played a role in the attack.

The U.S. State Department said there were allegations against 12 employees. UNRWA has 13,000 staffers in Gaza, almost all of them Palestinians, ranging from teachers in schools that the agency runs to doctors, medical staff and aid workers.

In a statement, Lazzarini called the allegations “shocking” and said any employee “involved in acts of terror will be held accountable, including through criminal prosecution.”

He did not elaborate on what the staffers’ alleged role was in the attacks. In the unprecedented surprise attack, Hamas fighters broke through the security fence surrounding Gaza and stormed nearby Israeli communities, killing around 1,200 people, mostly civilians, and kidnapping some 250. Other militants joined the rampage.

“UNRWA reiterates its condemnation in the strongest possible terms of the abhorrent attacks of 7 October” and calls for the immediate and unconditional release of all Israeli hostages, Lazzarini said.

Since the war’s start, Israel’s assault has killed more than 26,000 Palestinians, most women and children, and wounded more than 64,400 others, Gaza’s Health Ministry said Friday.

The ministry does not differentiate between combatants and civilians in its death toll. More than 150 UNWRA employees are among those killed — the highest toll the world body has suffered in a conflict — and a number of U.N. shelters have been hit in the bombardment.

More than 1.7 million of Gaza’s 2.3 million people have been driven from their homes by the war — with hundreds of thousands of them crowded into schools and other shelters run by UNRWA.

Israel’s near-complete seal on Gaza has left almost the entire population reliant on a trickle of international aid able to enter the territory each day. U.N. officials say about a quarter of the population now faces starvation.

The U.S. State Department said it was “extremely troubled” by the allegations against the UNRWA staffers and has temporarily paused additional funding for the agency.

The U.S. is the biggest donor to the agency, providing it with $340 million in 2022 and several hundred million in 2023.

Stéphane Dujarric, spokesman of U.N. Secretary-General António Guterres, said an “urgent and comprehensive” independent review of the agency would be conducted.

UNRWA was created to care for millions of Palestinians across the Middle East whose families fled or were forced from properties inside what is Israel during the war surrounding Israel’s creation in 1948. Israel rejects a return of the refugees to their former lands.