A confidential USAID review has found zero evidence that Hamas systematically stole U.S.-funded aid in Gaza, shattering the narrative behind the controversial overhaul of international relief efforts.
At a Glance
- USAID reviewed 156 cases of aid loss or theft in Gaza since October 2023
- No cases were directly linked to Hamas by the internal analysis
- 44 incidents were traced to Israeli military actions or crossfire
- U.S. officials have not shared proof supporting public claims of Hamas diversion
- The new Gaza Humanitarian Foundation faces mounting criticism for chaos and casualties
Aid Theft Claims Collapse
The highly anticipated USAID report, completed in late June 2025, scrutinized every documented incident of stolen or missing U.S.-funded aid in Gaza across an eight-month period. Contrary to repeated assertions by both Israeli and U.S. officials, not a single case was traced to organized Hamas interference. Instead, the report identifies a mix of chaotic battlefield conditions, ad hoc looting, and Israeli military seizures or crossfire as leading causes of aid loss.
Watch a report: Israel halts aid into northern Gaza, officials say, clans deny Hamas is stealing it · YouTube
The Trump administration has so far declined to release concrete evidence supporting previous statements that Hamas systematically diverted or profited from U.S. aid shipments. The State Department insists it possesses video proof of Hamas looting, but no such footage has been released for public or independent review. Humanitarian experts warn that official focus on theft allegations has paralyzed conventional aid systems and redirected attention away from Gaza’s soaring hunger crisis.
The Gaza Humanitarian Foundation Backlash
The findings land as the Gaza Humanitarian Foundation—a U.S.- and Israeli-backed private aid operation launched in May—faces blistering criticism from the United Nations, major NGOs, and international watchdogs. More than 170 aid groups have refused to cooperate with the new foundation, arguing it bypasses impartial distribution, endangers civilians, and weaponizes relief against Palestinian families.
On the ground, distribution points managed by the foundation have become scenes of desperation and chaos. Nearly 800 civilians have been killed near aid sites and convoys since June, according to the UN’s rights office. Reports of stampedes, shootings, and confrontations with security contractors abound. Humanitarian stocks, especially therapeutic food for starving children, are now critically depleted across much of Gaza. The Norwegian Refugee Council and other agencies warn their own staff are facing starvation as aid flows collapse.
What Happens Next?
The USAID analysis puts the spotlight on the political motivations behind the new Gaza relief regime. If core allegations of systematic Hamas aid theft are unsubstantiated, the rationale for overhauling—and militarizing—distribution collapses. Meanwhile, the humanitarian toll grows: more than 59,000 Gazans have died since last October, with hundreds now reported dead from hunger or stampedes near aid centers. Ceasefire talks remain stalled. With trust in the new system at an all-time low, pressure is mounting for an immediate return to neutral, accountable humanitarian channels—before more lives are lost.
