Headline: Evidence Suggests Hamas-Linked Investors Profited from Bets on Israeli Securities prior to Attacks
Subtitle: Law professors uncover suspicious trading activity in a report titled “Trading on Terror?”
Researchers have discovered compelling evidence indicating that investors with links to Hamas experienced significant financial gains after placing bets on Israeli securities in the weeks leading up to the Oct. 7 attacks on Israel. Law professors from prestigious institutions such as New York University and Columbia University have published a detailed report titled “Trading on Terror?” which sheds light on this suspicious trading activity.
The report draws attention to the actions of short sellers – investors who make risky wagers against stocks. Despite no overall increase in shorting of Israeli companies on US exchanges, an uncommon surge in trading short-dated options on these companies was observed, with these options expiring soon after the attacks occurred.
One particularly astonishing case involves an unidentified trader who reportedly garnered nearly $900 million in profit by shorting 4.43 million shares in Leumi, Israel’s largest bank, just days before the attacks. Additionally, the Enterprise Investment Scheme (EIS), which provides investors exposure to Israeli exchange-traded funds, was short-sold five days prior to the attacks.
The researchers firmly believe that the volume of short-selling on Oct. 2 was highly unlikely to have occurred randomly. Furthermore, they noted a 7.1% decline in the value of the EIS after the conflict began and the market reopened on Oct. 11. The investigation also unveiled a remarkable surge in short-selling activity of Israeli securities on the Tel Aviv Stock Exchange (TASE).
Hamas, known for its financial acumen among its members, is speculated to be involved in these shorts. The connection between the windfalls from the trading activity and the funding of terrorist groups, however, remains unclear.
This disturbing revelation raises questions about potential financial support behind terrorist activities. The researchers’ findings not only highlight the need for enhanced monitoring of suspicious trading patterns, but also emphasize the importance of disrupting the financial networks that enable terrorism.
As the investigation continues, it is crucial to identify and hold accountable those responsible for exploiting the financial markets for personal gain while potentially funding acts of violence. The Liberty Conservative will closely follow developments in this case and provide updates as further information emerges.
