$9M USAID aid channeled to al-Qaeda via fraud scheme in Syria

Mahmoud al-Hafyan, a 53-year-old Syrian national, has been charged with diverting over $9 million in U.S.-funded humanitarian aid intended for Syrian civilians to the Hayat Tahrir al-Sham (HTS), formally known as the Nusra Front, an al-Qaeda-affiliated terrorist organization.

A 12-count indictment, unsealed in U.S. District Court in Washington, D.C., accuses al-Hafyan of major fraud against the U.S. government and support for terrorism.

Humanitarian aid misused for personal and terrorist gains

Al-Hafyan, also known as Abu Abdo al-Homsi, allegedly directed food kits intended for war-affected Syrian refugees to HTS commanders.

These kits, funded through the U.S. Agency for International Development (USAID), were instead sold on the black market, with proceeds benefiting both HTS and al-Hafyan himself. Beneficiary logs were falsified, inflating the numbers to misrepresent the aid distribution.

USAID funding and operations

The U.S. government allocated $122 million to al-Hafyan’s nongovernmental organization (NGO) between 2015 and 2018 for food aid.

The indictment alleges that millions of dollars in kits were diverted, highlighting vulnerabilities in monitoring mechanisms for humanitarian assistance.

The aid was meant to support Syrian civilians suffering due to the ongoing conflict, which has displaced millions since 2011.

Statements from authorities

• U.S. Attorney Matthew Graves: “This defendant not only defrauded the U.S. government but also redirected aid to a terrorist organization. This office will continue to hold individuals accountable for crimes affecting U.S. interests, no matter how long it takes.”

While this foreign terrorist organization fought with the cruel al-Assad regime, the people who were supposed to receive the aid suffered. This office has a history of pursuing criminals around the globe, no matter how many years it takes, and will do all it can to ensure that Mahmoud Al Hafyan is held accountable for these crimes.

U.S. Attorney Matthew Graves

• USAID-OIG Special Agent Jason Donnelly: “We remain vigilant to ensure U.S.-funded humanitarian programs do not support terrorism.”

USAID OIG works tirelessly to ensure that US-funded humanitarian assistance does not fall into the hands of terrorist organizations. We will continue to work with the Department of Justice and law enforcement partners to hold accountable those who compromise USAID programs for vulnerable populations around the world.

USAID-OIG Special Agent Jason Donnelly

• FBI Special Agent Sanjay Virmani: “This case exemplifies the FBI’s dedication to combating terrorism, including financial support networks.”

Al Hafyan diverted millions of dollars in USAID funding to support the terrorist organization Al-Nusrah Front, as well as to line his own pockets. Not only was Al Hafyan supporting violent terrorists, but he was stealing money from the U.S. government that was meant for humanitarian efforts. This public indictment is the culmination of years of work, and I want to thank our partners, specifically USAID OIG, for their work with this investigation.

FBI Special Agent Sanjay Virmani

HTS’s violent activities

HTS, designated a foreign terrorist organization by the US, is known for its extremist operations, including mass executions, suicide bombings, and kidnappings.

The group has long sought the overthrow of Syrian President Bashar al-Assad and has been active in the region’s conflict.

Investigation and legal proceedings

The case was investigated by USAID-OIG and the FBI Washington Field Office. Assistant U.S. Attorneys Karen Seifert, Alexandra Hughes, and Jack Korba are prosecuting.