Israel says Iran is smuggling millions of US dollars in cash to Hezbollah – WSJ

Israel has accused Iran of funneling tens of millions of dollars to Hezbollah through clandestine cash deliveries, lodging formal complaints with the US-led committee overseeing the cease-fire in Lebanon, The Wall Street Journal reported Friday.

Iranian envoys have been flying into Beirut from Tehran with suitcases stuffed with US dollars to finance Hezbollah’s operations. Additionally, Israel has reported that Turkish nationals have been used as couriers to transport funds from Istanbul to Beirut, according to WSJ.

The cease-fire committee, which includes representatives from Israel, Lebanon, the US, France, and the UN, has relayed these concerns to Lebanon’s government. The cease-fire terms require Lebanon to secure its borders to prevent arms smuggling but do not explicitly address cash transfers, WSJ reported, citing an unnamed US defense official.

These allegations come amid increased scrutiny of Iranian financial activities in Lebanon. In early January, tensions flared at Beirut Airport when an Iranian diplomat refused to have his bags searched, triggering a brief standoff. Lebanon’s Foreign Ministry later said that the funds in the diplomat’s possession were for embassy expenses and were allowed entry under the Vienna Convention on Diplomatic Relations.

However, reports suggest this was the third such incident since November, raising concerns about Lebanon’s commitment to curbing Iranian cash and arms transfers to Hezbollah.

Meanwhile, Hezbollah’s Deputy Secretary-General Naim Qassem revealed in December that $50 million had been distributed to over 233,000 displaced Lebanese households, openly acknowledging Iranian financial support for the group.

Reports of cash transfers to Iran’s proxy groups have surfaced in the past. In 2006, Mahmoud al-Zahar, a senior Hamas official, said on Al-Alam TV that during a visit to Tehran, he received several suitcases containing $22 million from Qassem Soleimani, the late commander of the IRGC’s Quds Force.

In 2019, China’s Xinhua News Agency reported that during an event preceding "Quds Day" in Gaza, Iran distributed $651,000 to Palestinian families in the territory.