Charities and terrorist funding: where does your donation go? Nick Ryder reports
Before the terrorist attacks of 11 September 2001 (9/11), the international community’s attitude towards financial crime focused on the prevention of money laundering, the illegal drugs trade and fraud. The events of 9/11 resulted in a monumental shift in political attitudes and led to a financial war on terrorism. Terrorist finance was combated by the United Nations (UN) in its Declaration to Eliminate International Terrorism 1994.
The International Convention for the Suppression of the Financing of Terrorism 1999 defines funds for terrorism to include assets of every kind, whether tangible or intangible, movable or immovable, however acquired, and legal documents or instruments in any form.
sources of funding
Terrorists have traditionally relied upon two sources of funding: state and private sponsors. State-sponsorship of terrorism is where governments provide logistical and financial support to terrorist organisations. It is now more likely, due to the financial war on terrorism, that terrorists will obtain funding from private donors or sponsors.
The funding of terrorism is difficult to prevent because there is an abundant number of sources available, eg
