-Analysis-
Hezbollah appears to be in the worst state it’s been in for decades and is “effectively on its knees” since the assassination of its leader Hassan Nasrallah by Israel in 2024, an a reliable source in Israel has told Kayhan-London.
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Intelligence and field investigations have shown that the Lebanese militant group’s command structure have been gravely disrupted following Israel’s repeated strikes on sites across Lebanon. Its finances are also in a dismal state, with reports of it struggling to pay wages to staff and militiamen. Most of its money came from Iran, which has seen its access to Lebanon severely curtailed, especially since the fall of its key ally and go-between, the ousted Syrian President Bashar al-Assad.
Our source, who asked not to be named, said “trafficking and money transfer channels for Hezbollah, especially through Beirut airport, have been shut off. The routes to transfer arms and ammunition are also largely closed off, with the Lebanese government and army playing an effective role here and in fighting terrorism.”
Funds for terrorism
Israeli airstrikes have hit several branches belonging to the Al-Qard Al-Hassan financial institution. This Islamic banking or interest-free foundation acts as Hezbollah’s private bank, both in Beirut and elsewhere in the country. Senior executives and members of staff are thought to have been eliminated.
Informal reports in recent months indicated Iran tried several times to take Hezbollah money — in the form of cash stuffed into cases — using diplomats flying in on commercial flights. Today, the Lebanese army is helping with tight, 24-hour controls of the Beirut airport.
The Hezbollah bank effectively became a source of funds for terrorism.
The source said “the Hezbollah bank was meant to help the poor and needy in Lebanon, but effectively became a source of funds for terrorism. Revenues from drug and arms trafficking, and the Iranian regime’s financial aid were accumulating there, and money supposedly raised to help those in need was spent on buying arms and paying for Hezbollah’s military costs.”
The militia, long considered here as a socio-economic patron and source of jobs, has had to halt its construction projects. Our source said it previously spent its healthcare budget “on terror operations,” while donations gathered from among Iranian and regional Shias to help the Lebanese never reached the people that needed them.
A dire situation
Hassan Pelarak, a general in Iran’s Revolutionary Guards who is in charge of channelling monies and support for proxy militias, said in late November 2024 that 150 kilograms of gold and the equivalent of a little under $500,000 in cash had been raised in Iran to help the “Resistance front,” or proxy forces including Hezbollah.
Hezbollah’s “financial state has become so dire they’re asking for money from the UN.
Investigations suggest it is very unlikely much, if any, of this aid had reached ordinary people and needy citizens of Lebanon. Earlier this year, the Codebreakers group said it had hacked the Iran’s Bank Sepah, and found that Pelarak was be among the wealthiest depositors.
The Israeli source said Hezbollah’s “financial state has become so dire they’re asking for money from the UN, despite their serious disagreements. And yet, there is still a lot of corruption in the group’s top échelons. They stole millions of dollars with the excuse of holding a funeral and building a mausoleum for Nasrallah.”
The source said Israel’s mission against “terrorism and specifically the Hezbollah group has been successful in many ways. They are so afraid now that they won’t leave their homes or hideouts where possible. They’re isolated. It’s been a long while since they had a show of force or ran one of their motorcades or held a parade through the streets.”
Certain analysts are saying Hezbollah’s weakness is mostly a question of funds, most of which came from Iranian oil sales and subsequent money-laundering through Asian banks or front companies.
