Are Banks Responsible for Funding Hamas — and Enabling Terror?

Victims May Have To Relive Wrenching Attacks in Twin Suits

Terror in Tel Aviv: In 2003 two suicide bombers entered Mike’s Place, a popular ex-pat hangout in Tel Aviv. Three people were killed and 50 were injured.
Getty Images
Terror in Tel Aviv: In 2003 two suicide bombers entered Mike’s Place, a popular ex-pat hangout in Tel Aviv. Three people were killed and 50 were injured.

By Nathan Guttman

Published July 19, 2013, issue of July 26, 2013.
  • Print
  • Share Share
  • Single Page

Joshua Faudem was having drinks with friends at Mike’s Place, a favorite of the English-speaking community on Tel Aviv’s beach, when two suicide bombers entered and added the popular hangout to the list of Israeli venues that had fallen victim to second intifada terror attacks.

A decade later, Faudem, a dual citizen of Israel and the United States, is preparing to go back to those moments of April 2003, as he could soon be called to testify in a New York court about the horrors of that night and the psychological price he is still paying.

“This is the last cloud hanging over me,” he said. “I’m looking for it to be done.”

Faudem, a documentary filmmaker whose 2004 movie “Blues by the Beach” tells the story of Mike’s Place, is one of hundreds of plaintiffs listed in the largest Palestinian terrorism lawsuit ever filed in the United States. The civil case is aimed at the Jordan-based Arab Bank, one of the Middle East’s largest financial institutions, which, during the bloody period of 2001 to 2004, was allegedly the key conduit for funding families of Hamas suicide bombers that carried out attacks against Israelis.

It is one of two major suits against international banking institutions that allegedly provided Hamas with a financial lifeline and thereby enabled the group to carry out attacks in Israel.

The second case involves the Bank of China, which allegedly allowed Iran to use it for passing funds to Hamas. The family of Daniel Wultz, an American citizen who was murdered in a terror attack in Tel Aviv in 2006, brought forward that lawsuit. His parents are suing the Bank of China in a New York court. The case is reaching its final stages this summer, but the plaintiffs have recently learned that a former Israeli intelligence official who was supposed to be a key witness in the case has not been permitted by his government to testify. The reason: Israel’s fear that his testimony could harm its growing relations with China.

The scope, the complexity and the precedent of such lawsuits have made for a decade of delays and lengthy legal procedures that plaintiffs hope could now be nearing an end. In April, a New York judge ruled that the Arab Bank case will go to a jury trial. Plaintiffs expect the trial to take place this fall. But a recent petition by the Arab Bank to the Supreme Court could add yet another delay to the process.


The Jewish Daily Forward welcomes reader comments in order to promote thoughtful discussion on issues of importance to the Jewish community. In the interest of maintaining a civil forum, The Jewish Daily Forwardrequires that all commenters be appropriately respectful toward our writers, other commenters and the subjects of the articles. Vigorous debate and reasoned critique are welcome; name-calling and personal invective are not. While we generally do not seek to edit or actively moderate comments, our spam filter prevents most links and certain key words from being posted and The Jewish Daily Forward reserves the right to remove comments for any reason.





Find us on Facebook!
  • “I don’t want to say, ‘Oh oh, I’m not Jewish,’ because when you say that, you sound like someone trying to get into a 1950s country club, “and I love the idea of being Jewish." Are you a fan of Seth Meyers?
  • "If you want my advice: more Palestinians, more checkpoints, just more reality." What do you think?
  • Happy birthday Barbra Streisand! Our favorite Funny Girl turns 72 today.
  • Clueless parenting advice from the star of "Clueless."
  • Why won't the city give an answer?
  • BREAKING NEWS: Israel has officially suspended peace talks with the Palestinians.
  • Can you guess what the most boring job in the army is?
  • What the foolish rabbi of Chelm teaches us about Israel and the Palestinian unity deal:
  • Mazel tov to Idina Menzel on making Variety "Power of Women" cover! http://jd.fo/f3Mms
  • "How much should I expect him and/or ask him to participate? Is it enough to have one parent reciting the prayers and observing the holidays?" What do you think?
  • New York and Montreal have been at odds for far too long. Stop the bagel wars, sign our bagel peace treaty!
  • Really, can you blame them?
  • “How I Stopped Hating Women of the Wall and Started Talking to My Mother.” Will you see it?
  • Taglit-Birthright Israel is redefining who they consider "Jewish" after a 17% drop in registration from 2011-2013. Is the "propaganda tag" keeping young people away?
  • Happy birthday William Shakespeare! Turns out, the Bard knew quite a bit about Jews.
  • from-cache

Would you like to receive updates about new stories?




















We will not share your e-mail address or other personal information.

Already subscribed? Manage your subscription.