The Department of Foreign Affairs and Trade (DFAT) is suspending funding for World Vision International's programs in the Palestinian territories, after Israel accused the charity's local head with diverting money to the militant group Hamas.

Israel’s domestic security agency Shin Bet alleges that World Vision Gaza director Mohammad El Halabi admitted to being a member of Hamas ever since he was a chold, and that he was ordered to "infiltrate" the US-based Christian charity.  The money allegedly was used for finance construction of smuggling tunnels in and out of Gaza, weapons, and salaries for militants.

Australia has given around $5 Million over three years to World Vision for projects in Gaza, such as a strawberry farm toured by Australian Ambassador to Israel Dave Sharma earlier this year.

But World Vision Australia chief executive officer Tim Costello told the ABC that the group has "no reason to believe" the allegations against their employee are true.  Not only does World Vision International run its own yearly audits, but it also contracts Price Waterhouse Cooper - one of the biggest accounting firms in the world - to perform its own independent audits.  And so far, there has been no hint of wrongdoing. 

Mr. Costello is also concerned that Shin Bet has produced not one piece of evidence to back up its claims, and the conditions of Mr. El Halabi's detention seem mysterious:  "It certainly concerns me that a person can be in detention for 25 days without seeing a lawyer," Costello said.  "Over 50 days without seeing family members and even World Vision staff.  That certainly does concern me."

Foreign Minister Julie Bishop has not commented.  But a DFAT statement said it is "investigating this as a matter of the highest priority. Officials are urgently seeking more information from World Vision and the Israeli authorities".