The United States House Judiciary Committee has opened an investigation into the New Israel Fund, alleging the organization abused American tax law by funneling hundreds of thousands of dollars to Israeli political groups.
House Judiciary Committee Chairman Jim Jordan sent a letter to the New Israel Fund claiming the organization transferred funds to protest groups for political activity—a violation of its tax-exempt charitable status.
The letter states the fund transferred over $350,000 to a left-wing organization that promoted voter transportation for Bedouin voters in elections, nearly $100,000 for legal counsel to the Joint List party, and support for political protest organizations. Under U.S. law, the New Israel Fund is classified as a tax-exempt charity and is prohibited from transferring funds for political activity that could influence Israeli elections.
The fund has publicly boasted about financing anti-government protests, including funding political organizations like the Berl Katznelson Foundation and the Idea organization. Given the substantial sums transferred for political activity, U.S. officials argue this constitutes abuse of the law.
The New Israel Fund responded: “The fund has always been a law-abiding organization. The claims presented in the letter were already brought to court in 2019, and a U.S. court dismissed the case. The fund remains committed to continuing its work for democracy, justice, and equality.”