Venezuela has emerged as a major financial hub for Hezbollah in the Western Hemisphere, with the group allegedly relying on drug trafficking, illegal gold mining and money-laundering networks to generate hundreds of millions of dollars, Erem News reported, citing intelligence assessments conveyed by Venezuelan sources.

Despite adopting increasingly tough rhetoric against Iran and its regional proxies, Venezuelan President Delcy Rodríguez has yet to take concrete action against Hezbollah’s alleged networks in the country, drawing criticism from political and legislative circles in Venezuela.

Rodríguez assumed power in Caracas in January, succeeding detained President Nicolás Maduro. Her government initially focused on managing the political transition and preparing for legislative and presidential elections. Its efforts were subsequently strained by a series of powerful earthquakes in June, which imposed additional financial and logistical burdens.

But Venezuelan political and legislative sources say these challenges do not explain the government's failure to act decisively against Hezbollah's presence.

The concerns extend beyond the group's financial activities. Venezuelan political, security and intelligence sources allege that former Vice President Tareck El Aissami issued more than 10,000 Venezuelan passports to individuals from Syria, Lebanon and Iran, many of whom reportedly had links to Hezbollah or the Palestinian group Hamas.

The alleged issuance of genuine passports and official identity documents containing falsified information has raised concerns about possible infiltration of Venezuelan security institutions and the ability of individuals linked to these networks to move freely across borders.

According to the sources, the documents could allow recipients to travel through Latin American airports and border crossings and enter the United States and European countries without attracting security scrutiny. They describe the practice as a major intelligence vulnerability with implications for U.S. and international security.

Venezuelan media reports have echoed warnings from U.S. lawmakers that Hezbollah's expansion across Latin America has been facilitated not only by sophisticated money-laundering networks but also by forged identity documents and alleged assistance from corrupt officials.

U.S. intelligence assessments cited by the sources estimate that roughly one-third of Hezbollah's funding comes from Latin America, with about $200 million generated annually through networks operating across the region.

Those networks allegedly combine transnational drug trafficking, proceeds from illegal mining, particularly gold, and money laundering. They are said to exploit weak oversight and widespread corruption within Venezuelan institutions, with corrupt officials helping facilitate the movement of funds.

Hezbollah is also accused of using free-trade zones and border areas to transfer and launder money. The sources specifically identify the La Guajira and Arauca regions, along the Venezuela-Colombia border, as well as the Colombian town of Maicao.

The group is also alleged to cooperate with armed organizations, including Colombia's National Liberation Army (ELN), in drug and gold smuggling. Intelligence sources say part of Hezbollah's financing operations has shifted toward Latin America amid mounting financial pressure on the group at the domestic, regional and international levels.

Security sources familiar with Hezbollah's activities say its presence in Latin America dates back nearly five decades. They say the group has recently intensified its operations, expanded its network of alliances and made greater use of connections across the region.

The expansion is aimed in part at offsetting the severe military and logistical losses Hezbollah sustained in its confrontation with Israel, while securing funds to compensate its support base for extensive damage to its infrastructure in Lebanon.

That damage includes homes in southern Lebanon demolished by Israeli forces, according to the sources.