Trump-Linked Contractors Race to Profit From Gaza Reconstruction and Aid, Report

Trump-Linked Contractors Race to Profit From Gaza Reconstruction and Aid, Report

Trump-linked contractors and White House insiders are maneuvering to control Gaza’s aid and reconstruction, as a Guardian investigation reveals plans that could turn postwar recovery into a multi-billion-dollar profit scheme amid ongoing Israeli blockade and attacks.

 

Gaza (QNN)- Trump administration insiders and well-connected Republican businesses are competing to control future humanitarian aid and reconstruction logistics in Gaza, the Guardian reported.

Sources and documents reviewed by the newspaper show growing interest in contracts linked to postwar Gaza. The United Nations estimates reconstruction costs at about $70 billion after two years of Israeli strikes damaged or destroyed three-quarters of Gaza’s buildings.

No long-term contracts exist yet. A so-called ‘Board of Peace’, chaired by US President Donald Trump, has not started work. A new Civil-Military Coordination Center also holds a limited mandate.

Alongside official efforts, the White House has formed its own Gaza taskforce. Jared Kushner, Steve Witkoff, and Aryeh Lightstone lead the group, according to the Guardian.

Two former Doge officials now shape discussions on humanitarian aid and reconstruction. They previously worked on Elon Musk’s project to cut government spending and staff. Sources say they circulated slide decks with logistics plans, prices, projections, and warehouse locations.

US companies are positioning for future contracts. One contender was Gothams LLC, a politically connected contractor. The firm previously won a $33 million contract to help run a Florida immigration detention center known as “Alligator Alcatraz.”

Documents and sources said Gothams had an inside track to win what could have been its largest contract. After Guardian questions, founder Matt Michelsen said he pulled out of the Gaza bid due to security and reputational concerns.

Sources said contractors have already traveled to the region. They aim to meet US officials and business partners before the holidays.

One contractor told the Guardian that companies are treating Gaza like past US invasions. “Everybody is trying to get a piece of this,” the source said.

In November, the UN endorsed Trump’s Gaza plan. While Trump and Kushner floated luxury resort ideas, most of the international community supports rebuilding Gaza as a livable home for its 2.1 million residents.

Israel still occupies about half of Gaza and besieges the other half. Israeli officials say reconstruction will not move forward in areas under Palestinian control.

Two former Doge officials traveled to the region as planning intensified. One is Josh Gruenbaum, now a senior adviser to the Gaza taskforce. The other is Adam Hoffman, a 25-year-old Princeton graduate and former Doge staffer.

Sources described Hoffman as a driving force behind new plans. One person said his views carry decisive weight.

Hoffman has long ties to conservative politics. He worked with Republican officials as a teenager and briefly served in Trump’s first administration. At Princeton, he accused the campus of antisemitism over a Gaza solidarity event.

Sources said Hoffman pushed ideas for a new Gaza logistics system. The Guardian reviewed a document titled “Gaza Supply System Logistics Architecture.”

The document calls for a “Master Contractor” to manage 600 truckloads entering Gaza each day. It proposes fees of $2,000 per humanitarian truck and $12,000 per commercial truck.

The report estimated such a system could generate up to $1.7 billion a year from trucking fees alone.

Before the genocide, about 500 trucks entered Gaza daily. Since October 7, 2023, Israel has often restricted access. Although a ceasefire deal set a target of 600 aid trucks per day, actual entry averaged about 140.

For decades, the UN led aid delivery in Gaza and supported most of the population. The future role of UN agencies now remains unclear.

Israel controls entry permits for all groups operating in Gaza. That includes private contractors seeking future work with the Board of Peace.

The report also reviewed a proposal from Gothams to the Board of Peace. The company offered a fully integrated humanitarian logistics system.

Sources said Gothams appeared to be the frontrunner. The firm lined up suppliers and subcontractors.

Michelsen is a major Republican donor. He has backed Texas Governor Greg Abbott and Florida Governor Ron DeSantis. His company received large government contracts during the pandemic and for detention operations.

Michelsen told the Guardian he could not discuss internal government plans. He said the scope of Gaza plans had changed rapidly in recent weeks.

After the Guardian inquiry, he said he withdrew from the Gaza effort. He cited security risks and negative publicity.

“Gothams will not be participating,” Michelsen said.