Lloyds TSB Moves Against Gaza Aid Charity: Interpal

February 17, 2009 · Print This Article

Interpal, the controversial UK-based Palestinian charity, is facing closure after Lloyds TSB instructed the Islamic Bank of Britain to shut its bank account.

Interpal (pictured), which is on a list of banned organisations in the US because of suspected links with terrorists, is also under investigation by the UK Charity Commission for the third time.

The first two investigations by the Commission, which concluded in 1996 and 2003, found no evidence of any wrongdoing by the charity. The latest one, which opened in December 2006, is examining fresh concerns about the potential for inappropriate links between the charity and terrorist supporters of Hamas, the government of Gaza.

Yet the suspicions of US intelligence services appear to have proved enough of a warning bell for Lloyds, which has told the Islamic Bank of Britain (IBB) to close Interpal’s account on 8 December. Lloyds has the power to do this because it is a clearing bank and clears all the IBB’s cheques.

In light of the news, Interpal’s chair Ibrahim Hewitt issued a statement to supporters warning that the situation “has the potential to force us to cease operations early next month”. Early December is also the start of the Muslim festival Eid, traditionally a time of prolific charitable giving.

Potential to damage community cohesion
“This has the potential to not only damage Interpal but also to affect community relations and cohesion in Britain,” he said.

“It is, at the very least, an example of the utter lack of respect faced by the Muslim community from some hostile quarters in this country.”

Hewitt added that IBB had offered its total support but is “apparently powerless, throwing into question the autonomy of Britan’s burgeoing Islamic finance sector”.

In a further statement on the charity’s website this week, Interpal said the Islamic Bank “remains threatened by Lloyds’ demands and thus faces closure itself”.

It accused Lloyds TSB of treating IBB in a discriminatory fashion and called it “an Islamophobic attack on the rights of all British Muslims”.

‘Dangerous precedent’
“Other Muslim charities now face the same discrimination and their accounts can be closed down without adequate warning or explanation. At a time when ties amongst communities need to be strengthened, this sets a dangerous precedent for discrimination on all British citizens and account-holders.”

Interpal blamed “pressures from foreign groups” for Lloyds TSB’s action. It has asked its supporters to write to Lloyds and the IBB demanding they rescind the “outrageous, unfair and arbitrary” decision.

If the account is closed, it will be the second time Interpal has had to find a new bank – NatWest “reluctantly” closed its account in April 2007 after a group of families of Israeli suicide bomb victims launched a claim against the bank in the US.

Supporters of the charity say it is only prudent for Interpal to have some dealings with Hamas. One supporter wrote on the Muslimmatters website: “How is a charity meant to avoid interacting with members of a country’s democratically-elected government? Especially in a place as chaotic as Palestine, where one needs to have good contacts at every level in order to get anything done.”

Lloyds TSB and the Islamic Bank of Britain both refused to comment.

iengage.org.uk has released the following statement:

Ever since Lloyds TSB issued their demand on 8th October 2008 to the Islamic Bank of Britain to cease all its dealings with the British charity Interpal – which since 1994 has been engaged in relief efforts particularly amongst orphans and the poor in occupied Palestine – they have been inundated with complaints from members of the public.

Responding to complainants, Lloyds TSB issued a letter claiming that they were actually devoted to Islamic causes and would never use their clout as one of the top four UK clearing banks to force another bank to cease dealings with Interpal. The following is an extract from their letter:

“Thank you for getting in touch about the Islamic Bank of Britain (IBB) and Interpal…We hope to reassure you about our commitment not only to our Muslim customers but to building relationships with the wider Muslim community. We can confirm that Lloyds TSB does not hold accounts for Interpal. Furthermore, we would not direct, nor would it be appropriate for us, to direct another institution on how to deal with its own customers.”

Unfortunately for Lloyds TSB, a letter it sent to the Islamic Bank of Britain on 8th October clearly shows that they are being rather economical with the truth.

The 8th October letter from Lloyds TSB which Interpal have now published on their website says unambiguously:

“We are writing to you to give you notice that, from the date falling on the sixtieth calendar day following the date of this letter we do not wish you to transfer, receive, process or in any way deal with any funds, or in any way whatsoever (acting either as banker or agent on behalf of the Customer) be involved with any type of banking arrangements for Interpal which either uses or involves any products or services provided by us. Furthermore we will not process any payments or credits or allow the completion of any transaction that we believe is or connected with Interpal. By signing and returning a copy of this letter you agree and undertake with us that you will, to the fullest extent possible, ensure that Interpal will not, nor will you on behalf of Interpal, use any products or services provided to you by us.”

Readers will know that Palestinian relief organisations are constantly targeted by Zionist groups who wish them to be closed down so as to increase pressure on the besieged population of the occupied territories. But why would Lloyds TSB take such partisan action against Interpal?

The Chairman of Lloyds TSB is Sir Victor Blank. According to the Jewish Chronicle, Sir Victor ‘is a former chair of the Union of Jewish Students Hillel, he is involved with Labour Friends of Israel, is a governor of Tel Aviv University and has also been brought on to the Jewish Leadership Council, meaning he is both Jewish and a leader…Yes, Sir Victor is one Jewish hombre.’

Despite what the Jewish Chronicle says about Sir Victor we at ENGAGE are confident that a distinguished gentleman such as he would not take a partisan stand against a charitable organisation like Interpal. Indeed, we at ENGAGE are sure that Sir Victor Blank – as Chairman of Lloyds TSB – must be utterly horrified at the actions that some of his staff have undertaken against Interpal. After all, Palestinian orphans – in the words of the former Palestinian representative to the UK, Afif Safieh – are not children of a lesser God.

The latest news is that Lloyds TSB has reportedly agreed to postpone the closure of Interpal’s bank account from 8 December until 30 January 2009 after representations from Interpal’s bank, the Islamic Bank of Britain (IBB).

It is vital that all people who value justice and are opposed to illegal occupation and intimidation write to Sir Victor Blank and demand that Lloyds TSB publicly withdraw its action against Interpal and apologise for its appallingly underhand and deceitful behaviour.

Sir Victor Blank, Chairman of Lloyds TSB: Lloyds TSB Group plc
25 Gresham Street, London EC2V 7HN. Tel: 020 7356 2493

ENGAGE request that you forward this link to all your friends and colleagues and urge them to write in and insist that Lloyds TSB reconsider their actions.

References:

http://www.charityfinance.co.uk/home/content.php?id=2384

http://www.iengage.org.uk/home/1-news/156-engage-exclusive-lloyds-tsb-tries-to-fool-public-over-interpal-account-closure-demand

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