Iran Sued for Allegedly Moving Cryptocurrency Funds to Hamas Prior to Fatal Terror Strike in Israel

On Friday, April 19, 2024, the family of an American victim killed in a terrorist attack last year in Israel filed a lawsuit against Iran, accusing the nation of providing material support to Hamas and Palestinian Islamic Jihad in carrying out the deadly assault.

In a complaint filed with the District Court for the District of Columbia, the family of Noi Maudi — a 29-year-old dual American-Israeli citizen who was killed in the October 2023 attack — allege that Iran bears direct responsibility for Maudi’s death due to the country’s long history of sponsoring both Hamas and PIJ. The lawsuit cites Iran’s open support for these terror groups financially and militarily in the years and months leading up to last October’s multi-pronged attack that killed over 30 Americans.

According to the court documents, Iran provided tens of millions of dollars annually to Hamas and PIJ through various means, including the untraceable cryptocurrency channels that the terror groups used to raise millions between 2021-2023. The filing also states that hundreds of Hamas and PIJ fighters received training and weapons in Iran in preparation for the attack. Public statements by Iranian leaders supporting the attack and claiming it served as retaliation for the U.S. killing of an Iranian general in 2020 are cited as evidence of Tehran’s involvement.

If proven in court, the accusations could open Iran up to billions in damages payable to the victims under the 2016 Justice Against Sponsors of Terrorism Act. Representatives for Iran could not be reached for comment on the allegations. A decision in the high-profile case could impact U.S.-Iran relations and set new legal precedents around state responsibility for terrorist acts carried out by non-state proxies. The families are seeking both compensatory and punitive damages from Iran for terrorism-related causes of action.

The lawsuit comes amid ongoing international efforts to disrupt Iran’s financial support for militant groups. Western nations have sought to tighten sanctions and crack down on the use of cryptocurrency to fund such activities. If successful, it could mark the largest payout ever imposed on Iran for fatal terror attacks abroad.

Please contact BlockTribune for access to a copy of this filing.