Saudi Arabia designated Al-Qard Al-Hasan as a terrorist entity due to its link with Hezbollah.
Hezbollah established Al-Qard Al-Hasan back in the 1980s as a means to operate charitable community funds and interest-free loans.
Although it is registered as a charity, it operates regular banking activities such as savings and lending services.
It’s has grown over time with over 60 branches in Lebanon, evading taxes and banking regulations under the guise of being a charity. It works as the financial backbone for Hezbollah and all of its activities and organizations.
Funded by the Islamic Republic of Iran, memberships, donations, subscriptions, and community funds, Al-Qard Al-Hasan’s assets are now frozen within Saudi Arabia as the Saudi State Security (SPA) affirmed in its statement.
SPA accused the association of providing financial support for Hezbollah.
It, thus, prohibited the company from carrying out “any direct or indirect dealings with or for the benefit of the association by any financial institutions, professionals, non-financial businesses and all legal and natural persons.”
The US Department of Treasury had previously added Al-Qard Al-Hasan and other Lebanese organizations on the list of sanctioned Hezbollah foundations in July 2007.
It stated, “Strict measures will be taken against anyone whose relationship with the above association [Al-Qard Al-Hasan] it confirmed, or those in charge of the above group [Hezbollah].”
