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The government contends that the Holy Land Foundation is a front for Hamas, an Islamic militant group that has claimed responsibility for suicide bombings in Israel. The charity was shut down Dec. 4 after federal agents raided its offices in Texas, California, Illinois and New Jersey. In announcing the freeze, the White House said millions of dollars raised by the foundation last year were funneled to Hamas.
Holy Land, which has been under FBI scrutiny for at least eight years, rejects the characterization that it is a front for Hamas. In its lawsuit, the organization said it "has never donated funds or provided services to Hamas or any other designated foreign terrorist organization."