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Internet Jerusalem Post Aug. 27, 2003

British freeze funds of Palestinian aid group, investigates Hamas link
By THE ASSOCIATED PRESS
LONDON

Britain's charity authority has frozen the bank accounts of a Palestinian aid organization that the United States last week charged with funding the radical Palestinian group Hamas.

The Charity Commission said Wednesday it had opened a formal investigation into the affairs of Interpal - the Palestinian Relief and Development Fund - and had frozen the accounts held in its name.

"This action follows concerns received alleging the charity's links to Hamas political-militant activities," a commission spokeswoman said, adding that the charity was not being closed down and that it would be able to continue its work under commission supervision.

U.S. President George W. Bush, responding to an Aug. 19 Hamas bus bombing in Jerusalem that killed 21 people, announced last week that the United States was freezing funds of six senior Hamas figures and five charities that he accused of funding Hamas. He appealed to European governments to support the action.

Interpal's chairman, Ibrahim Hewitt, said Tuesday that the charge was "totally baseless" and that Interpal kept in communication with the Charity Commission, which had given it a clean bill of health in a previous inquiry.

The commission confirmed that it had investigated Interpal between March and June 1996.

"It had been alleged that some charitable funds had found their way to supporters of terrorism," the spokeswoman said on customary terms of anonymity. "We found no evidence in the charity of any pro-terrorist bias or indeed bias of any kind."

She said, "We have taken this step in the best interests of the charity and its beneficiaries," enabling it to continue its work.

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