Israeli Defence Minister Benny Gantz yesterday signed four orders to seize money transfers going to families of Palestinian prisoners and martyrs, Anadolu reported.
"The orders targeted funds transferred by both Hamas and the Palestinian Authority to Palestinians serving prison sentences in Israeli jails," for alleged "terror attacks", Israeli newspaper the Jerusalem Post reported, according to Anadolu.
It also said that the orders targeted funds for family members of Palestinians "who were killed during the attacks."
"These payments are part of the systematic and organized activities of terror organizations to intensify terror attacks and to reward prisoners and their families," the paper quoted Gantz saying.
The orders included blocking the transfer of funds to the mother of Abdel-Rahman Shaloudi, from Silwan neighbourhood, who according to Israeli authorities was killed while ramming his car "into a crowd of people next to the light rail station" in East Jerusalem.
Israel has intensified its crackdown on Palestinian banks in order to monitor money transfers to the families of Palestinian prisoners.
Palestinian sources reported that Palestinian banks suspended or closed the accounts of more than 250 prisoners, martyrs and their family members this month.