Families of victims from the Hamas-led terrorist attack on October 7, 2023, have filed a lawsuit against Bashar Masri, a prominent Palestinian American businessman. The families accuse Masri of providing support to Hamas by developing properties essential to the group's operations.
The lawsuit claims that Masri, a wealthy developer, operated hotels and an industrial site in Gaza that were used to “construct and conceal” a network of tunnels facilitating Hamas's rocket attacks on Israel. It states that the properties developed by Masri advanced Hamas’s narrative of economic development in Gaza while disguising its military intentions.
Filed in the Federal District Court in Washington, the lawsuit does not allege that Masri knew of the attack in advance but asserts that he was aware of Hamas's military infrastructure at his properties. Masri has denied the allegations, describing the lawsuit as baseless and asserting that neither he nor his businesses engaged in unlawful activities or supported violence.
The timing of the lawsuit is politically sensitive for Masri, who has connections to the Trump administration's hostage envoy involved in efforts to secure the release of captives held by Hamas. Masri is also expected to play a role in the reconstruction of Gaza.
On the day of the attack, Hamas breached Israel’s border, leading to significant casualties and the highest death toll for Jews since the Holocaust. Approximately 1,200 people died, and many were taken hostage during the assault.
The lawsuit names several of Masri’s businesses as defendants, including Palestine Development & Investment Company and Palestinian Industrial Estate Development Company. It has been filed on behalf of around 200 plaintiffs, including Eyal Waldman, whose daughter was killed during the attack, and the family of Hersh Goldberg-Polin, who was taken hostage and later killed.
Masri is a notable real estate developer known for ambitious projects like Rawabi, the West Bank’s first planned city, and has received funding from the U.S. Agency for International Development. He has been involved in humanitarian efforts and opposes violence, stating his intent to seek dismissal of the lawsuit.
The lawsuit details that Masri made significant financial investments in Gaza that allegedly benefited Hamas and highlights the challenges faced by businesses operating in a territory governed by a militant group. It claims that Masri's properties contributed to Hamas's military capabilities, including a network of tunnels linked to his industrial park and hotels.
Specific allegations include that the Gaza Industrial Estate was connected to an attack tunnel network and that the Ayan Hotel had tunnel shafts and weapons. The Blue Beach Resort was reportedly linked to a Hamas training base.
The lawsuit seeks compensatory damages under the Anti-Terrorism Act and has been filed by a team of lawyers with a history of representing victims of terrorism. They state the lawsuit is based on extensive evidence regarding the presence of Hamas infrastructure at the defendants’ properties.
Last year, these lawyers filed a lawsuit against Iran on behalf of victims of the October 7 attack, accusing the country of supporting the assault.