Report: Smuggling thousands of cigarette packs into Gaza for over a quarter of a million shekels

SadaNews Translation – Yedioth Ahronoth, the Hebrew newspaper, revealed an increase in concerns within the Israeli military establishment regarding the expansion of smuggling operations into the Gaza Strip. This comes at a time when the occupation police are preparing to file indictments against a smuggling network that includes more than 15 Israelis, among them a relative of the head of the Israel Security Agency (Shin Bet), David Zini, who is not considered a suspect in the case. These developments occur amid warnings that reconstruction contracts in Gaza, estimated at hundreds of billions of shekels, could turn into a fertile ground for corruption and smuggling in the absence of genuine oversight.

The case, which has sparked widespread controversy, involves an officer and a soldier from the Bedouin reconnaissance unit of the Southern Command, who were accused of smuggling approximately 4,500 packs of cigarettes into Gaza in May 2025 for 269,000 shekels in cash from a Palestinian merchant. Israel had prohibited the entry of tobacco into the sector since the onset of the war, which has allowed the smuggled cigarettes to be sold at multiple times their actual price. Intelligence investigations led to their arrest, while one of them attempted to obstruct the investigation and defied police orders.

Despite the seriousness of the case, the military prosecution downgraded the charges against them to include abuse of power, possession of smuggled goods, obstruction of justice, fraud, and breach of trust. Military sources criticized this approach, considering what occurred a form of high treason during wartime, as the funds flowing into Gaza are allegedly used, according to the Israeli narrative, to enhance resistance capabilities and rebuild its strength to confront the Israeli army.

Investigations revealed that the field reality at the border provides vast opportunities for smuggling, as hundreds of trucks pass daily through the Kerem Shalom crossing without real oversight, allowing soldiers or contractors to bring goods, equipment, and even weapons into Gaza. Military officials warned that the reconstruction of the sector, after the destruction of more than 70% of its cities, will open the door to projects worth billions of dollars in a region described as "out of control," making it an ideal environment for smuggling and illicit wealth.

Israeli intelligence sources estimated that Hamas maintains a capital ranging from 400 million to 1 billion shekels in its tunnels since the beginning of the war, while its budget has recently doubled thanks to the taxes it imposes on the massive supplies entering the sector weekly, which exceed by four times the basic needs of the population according to the United Nations. Despite the massive destruction, markets and banks in Gaza have begun to revive, reflecting the existence of sufficient financial liquidity to purchase the construction materials needed for the movement's reconstruction efforts.

At the conclusion of the investigation, the military prosecution announced the filing of charges against the detained officer and soldier, confirming that the case is being treated seriously and that they are subject to trial before the military court. However, observers believe that the expected penalties may not exceed a few years in prison, which raises critiques within the Israeli army that considers this phenomenon a direct threat to its security during wartime.