Forensic Audit Report: Economic Footprint and Complicity Assessment of Allied Universal (formerly G4S) in the Israel-Palestine Conflict Zone
Date: January 17, 2026
To: Oversight Committee on Corporate Complicity / Strategic Divestment Task Force
From: Office of the Chief Forensic Accountant / Supply Chain Audit Division
Subject: Comprehensive Mapping of Economic Complicity: Allied Universal, G4S Legacy Assets, and the Attenti Group Nexus
.1. Executive Intelligence Summary
1.1 Mandate and Strategic Objective
This forensic audit was commissioned to rigorously map the economic footprint of Allied Universal (which acquired G4S plc in 2021) within the sovereign territory of Israel and the Occupied Palestinian Territories (OPT). The primary directive is to determine the entity’s current “Economic Complicity” status regarding the occupation of Palestine, specifically addressing Core Intelligence Requirements (CIRs) related to aggregator nexuses, importer status, settlement laundering, investment flows, and seasonality.
The analysis operates on a continuum of complicity ranging from ‘None’ to ‘Structural Pillar’. This report synthesizes financial disclosures, regulatory filings from the Tel Aviv Stock Exchange (TASE), divestment timelines, corporate structure analyses, and supply chain data to provide a definitive ranking of the entity’s involvement as of the 2024-2026 reporting cycle.
1.2 Verdict: The “Laundering” of Structural Complicity
Historically, G4S plc was classified as a Structural Pillar of the occupation due to its direct contractual management of Israeli prisons, checkpoints, and police training facilities. Following a complex, multi-stage divestment strategy culminating in the 2023 agreement to sell its stake in the Policity police academy, the entity has attempted to shift its classification to ‘None’ to satisfy Environmental, Social, and Governance (ESG) investors.
However, a forensic examination of the asset flows reveals that Allied Universal has not achieved a total neutralization of its footprint. Instead, it has executed a strategic pivot:
1.Settlement Laundering: It has successfully offloaded “reputational toxic” physical assets (prisons, guards) to a local entity, G1 Secure Solutions, effectively capitalizing the occupation infrastructure while washing its own hands of direct operational liability.1
2.Technological Entrenchment: It has simultaneously deepened its economic integration into the Israeli economy through the acquisition of high-value surveillance and electronic monitoring Research and Development (R&D) assets, specifically Attenti Group (formerly Dmatek), headquartered in Tel Aviv.3
Consequently, the entity is re-classified from a Structural Pillar (direct enforcer) to a Technological Enabler (strategic partner). The economic footprint has shifted from the visible enforcement of the occupation (walls/checkpoints) to the invisible infrastructure of surveillance (electronic monitoring/R&D), maintaining a robust flow of Foreign Direct Investment (FDI) into the Israeli military-industrial ecosystem.
1.3 Key Findings Summary
| Intelligence Requirement
|
Forensic Finding
|
Complicity Implication
|
| Aggregator Nexus
|
Indirect/Infrastructural. Allied/G1 provides the checkpoint scanners that enable Mehadrin/Hadiklaim exports.
|
The entity acts as the “Gatekeeper,” facilitating the logistics of settlement agriculture.
|
| Importer Status
|
Service Importer. Allied imports R&D/IP from Tel Aviv (Attenti); exports Capital (FDI).
|
Deep integration into the “Start-up Nation” security sector rather than goods trade.
|
| Settlement Laundering
|
Confirmed. The sale of G4S Israel to FIMI created “G1,” which continues settlement work using G4S legacy assets.
|
Divestment was a financial transaction, not an ethical dismantling of infrastructure.
|
| Investment Flows
|
High FDI / Low Trade. Major capital injection via Attenti acquisition (~$200m+ valuation context).
|
Direct financial support of the Israeli high-tech security labor market.
|
| Seasonality
|
Legacy Operational. Historical data confirms checkpoint staffing surges during Date/Citrus harvests.
|
Highlights the dependency of the agricultural settlement economy on private security.
|
.2. Corporate Genealogy and Restructuring: The Architecture of Liability
To accurately map the current economic footprint, one must first audit the restructuring of the corporate entity. The transition from G4S plc (UK) to Allied Universal (US) fundamentally altered the mechanism of exposure but preserved the underlying asset logic. This section traces the “DNA” of the occupation infrastructure from its inception to its current fragmented state.
2.1 The Pre-Acquisition Footprint: G4S Israel as a Structural Pillar
Before the involvement of Allied Universal, G4S Israel (formerly Hashmira) was the quintessential example of corporate integration into a military occupation.
●Asset Origin: G4S entered the market in 2002 by acquiring Hashmira, Israel’s oldest security firm.4
●Operational Scope: The entity held contracts to secure the Ofer and Ketziot prisons (holding Palestinian political prisoners), the Kishon and Moskobiyyeh interrogation centers, and various military checkpoints in the West Bank.5
●Significance: This was not peripheral involvement. G4S provided the control room technology, the perimeter defense systems, and the maintenance for the physical cages used in the detention of minors and administrative detainees.2 This established the baseline classification of Structural Pillar.
2.2 The 2021 Acquisition: Allied Universal Enters the Arena
In April 2021, Allied Universal, a US-based security and facility services giant, acquired G4S plc for approximately $5.2 billion (approx. £3.8 billion).7 This merger created the world’s largest private security company, with a workforce exceeding 800,000 and revenues of approximately $18 billion.
●Acquirer: Allied Universal Topco LLC.
●Financial Backing: The acquisition was heavily leveraged and financed by CDPQ (Caisse de dépôt et placement du Québec) and Warburg Pincus.2
●Strategic Imperative & Due Diligence Failure: The merger was driven by a desire to combine Allied’s North American dominance with G4S’s global footprint. However, the forensic audit suggests a failure—or a calculated risk calculation—regarding the “toxic assets” in Israel. While G4S had ostensibly “sold” its Israel business in 2016, it retained a critical, radioactive asset: the Policity stake. This asset would become the focal point of post-acquisition activist pressure, particularly targeting CDPQ, which has strict ESG mandates.5
2.3 The “G1” Spin-off: A Case Study in Settlement Laundering (2016-2017)
The creation of G1 Secure Solutions represents the primary mechanism of “Settlement Laundering” identified in this investigation. By selling the subsidiary to FIMI Opportunity Funds (a private equity fund), G4S removed the direct contractual obligation to service checkpoints and prisons while capitalizing the value of those contracts.
●The Transaction: In December 2016, G4S agreed to sell “G4S Israel” to FIMI for NIS 400 million (approx. £88 million).1
●Operational Continuity: The sale explicitly included the retention of “senior management” and the workforce.1 This ensures that the capacity to secure settlements was not degraded by the sale; it was merely transferred.
●Rebranding as Camouflage: Upon completion in 2017, the entity was rebranded as G1 Secure Solutions.2 This cosmetic change allowed G4S/Allied to claim “we do not operate in settlements,” while G1 (using the infrastructure built by G4S) continued to service the Ariel settlement, the Mekorot water installations in the Jordan Valley, and the Erez Checkpoint scanners.9
●Economic Implication: The sale price effectively monetized G4S’s investment in the occupation. Rather than writing off the assets or dismantling the infrastructure (which would have impacted the occupation’s logistical capabilities), G4S sold it as a going concern. This is the definition of Economic Complicity through Capitalization.
.3. The Policity Nexus: The Last Physical Pillar
For six years (2017-2023), the Policity stake was the primary evidence of G4S/Allied Universal’s continued structural support for the occupation. Understanding this contract is vital to assessing the validity of the current “clean break” narrative.
3.1 The Asset: National Police Academy (Beit Shemesh)
Policity Ltd. is a special purpose vehicle (SPV) created to Build, Operate, and Transfer (BOT) the Israeli National Police Academy in Beit Shemesh.
●Contract Duration: 25 years (opened in 2015, contract valid until 2040).10
●Total Project Value: NIS 2.2 billion (approx. $600 million).11
●Strategic Function: This is not a standard commercial facility. It is the central training hub for all Israeli police forces, including the Border Police (Magav) units that operate as the primary paramilitary force in the West Bank and East Jerusalem. Training modules include crowd control, urban warfare, and interrogation techniques often deployed in the OPT.11
3.2 The Ownership Structure (Pre-2023)
●Shikun & Binui: 50% (Major Israeli infrastructure group with deep settlement construction history).13
●G4S Holdings (B) B.V. (later Allied Universal): 25%.
●G1 Secure Solutions: 25%.
3.3 The 2023 Divestment and Regulatory Stasis
In June 2023, under intense pressure from CDPQ and the global BDS movement, Allied Universal announced the sale of its 25% stake in Policity to G1 Secure Solutions.12
●The Buyer: G1 Secure Solutions (increasing their stake to 50%).
●The Motivation: Explicit pressure from CDPQ regarding ESG compliance. CDPQ’s president publicly stated that Israeli actions against Palestinians are “not the kind of activity that we endorse at all”.5
●Status of Transaction: As of late 2024 reporting, the sale was listed as “pending approval” from the Israeli Antitrust Authority and the financing banks.9 The Israel Competition Authority (ICA) often reviews mergers between security firms (like G1) closely.
●Forensic Auditor Note: Until the transaction closes and the funds are transferred, Allied Universal remains a beneficial owner of the National Police Academy. Furthermore, the sale to G1 consolidates the academy’s ownership under an entity (G1) that is even more directly involved in settlement security, arguably strengthening the occupation’s domestic industrial base.
.4. The Aggregator Nexus: Supply Chain Securitization
The Core Intelligence Requirement (CIR) to investigate the “Aggregator Nexus” (Mehadrin, Hadiklaim, Galilee Export, Agrexco) reveals a complex, symbiotic relationship between the security sector and the agricultural settlement enterprise.
4.1 The Mechanism of Agricultural Export
Settlement agricultural production (e.g., Dates in the Jordan Valley, Grapes in the Hebron Hills) relies entirely on the ability to export produce to European and North American markets. This logistics chain requires passing through Israeli military checkpoints (e.g., Tarqumiya, Sha’ar Efraim, Gilboa/Jalameh) to reach the ports of Ashdod or Haifa.
4.2 The “Scanner Monopoly”
G1 Secure Solutions (formerly G4S Israel) serves as the “Gatekeeper” for this supply chain.
●Technology Provider: G1 is the exclusive representative of Rapiscan Systems (OSI Systems) in Israel.10
●Operational Role: G1 personnel maintain and calibrate the luggage and cargo scanners at the commercial crossings.10
●The Nexus: When Mehadrin or Hadiklaim export Medjool dates grown on occupied land, the cargo must pass through a scanner maintained by G1. Without this security certification, the cargo cannot enter Israel proper or be loaded onto ships.
●Liability: While Allied Universal no longer owns G1, the infrastructure used today was installed and integrated during the G4S era. The economic efficiency of the settlement export trade is a direct legacy of G4S’s technological implementation.
4.3 Seasonality and Security Surges
The audit confirms a strong correlation between agricultural seasonality and security operational tempo.
●The Date Harvest (August – October): The Jordan Valley date harvest places immense pressure on the Jordan Valley crossings. Historically, G4S Israel would surge technical maintenance staff to ensure scanner uptime during this window to prevent spoilage of high-value exports.15
●The Citrus Harvest (Winter): Similar surges occur for Galilee Export citrus shipments.
●Current Implication: While Allied Universal does not currently manage this staffing (G1 does), the system architecture designed by G4S was built to accommodate these seasonal flows. This demonstrates how the security firm acted as a logistical enabler for the economic viability of settlement agriculture.
.5. The New Front: Attenti Group and “Surveillance Capitalism”
While the physical assets (Policity/G1) are being shed, Allied Universal has aggressively re-entered the Israeli market through the technology sector. This represents the most significant finding for the 2024-2026 period: a pivot from “Boots on the Ground” to “Code in the Cloud.”
5.1 The Acquisition of Attenti (2022)
In April 2022, Allied Universal acquired Attenti Group from Apax Partners.3
●Company Profile: Attenti (formerly Dmatek) is a global pioneer in electronic monitoring (EM) technologies—specifically GPS ankle bracelets, RF curfew monitoring, and alcohol monitoring systems.
●Headquarters: The company is legally headquartered in Tel Aviv (2 Habarzel Street, Ramat HaHayal).16
●Strategic Integration: Allied merged Attenti with its existing G4S Monitoring Technologies to create “Allied Universal Electronic Monitoring Services.”
5.2 The R&D Center: Deep State Integration
Attenti is not merely a sales office; it is an R&D powerhouse.
●Location: Ramat HaHayal is a hub for Israeli high-tech, often populated by veterans of the IDF’s elite intelligence units (Unit 8200).
●Personnel: The R&D center in Tel Aviv employs software engineers, algorithm developers, and hardware specialists.16
●Dual-Use Technology: The core competency of Attenti—tracking human movement, geofencing individuals, and predictive behavioral analytics—is inherently dual-use. While marketed for criminal justice (parolees), the underlying algorithms are identical to those used for population control in conflict zones.
●Economic Complicity: By maintaining this R&D center, Allied Universal is a direct contributor to the Israeli high-tech economy. It pays salaries, facility rents, and municipal taxes in Tel Aviv. It facilitates the “Brain Drain” into the security sector, reinforcing Israel’s competitive advantage in surveillance technology.
5.3 Investment Flows (FDI)
The Attenti acquisition represents a massive inflow of Foreign Direct Investment (FDI).
●Valuation Context: Apax Partners acquired Attenti (then 3M Electronic Monitoring) for $200 million in 2017.18 Allied Universal’s acquisition in 2022 likely exceeded this valuation.
●Capital Flow: This transaction moved hundreds of millions of dollars from Allied Universal (funded by CDPQ/Warburg Pincus) to Apax and arguably into the Israeli ecosystem via the valuation of the R&D assets.
●Ongoing OpEx: The operational expenditure (OpEx) to run a 75-person R&D center in Tel Aviv 19 is estimated at $15-$20 million annually, representing a sustained injection of capital into the Israeli economy.
.6. Settlement Laundering and Mislabeling: A Forensic Analysis
The User Query specifically requested an investigation into “Settlement Laundering (mislabeling).” This section deconstructs the specific mechanisms used to obscure the origin of security services.
6.1 The “G1” Laundering Mechanism
The transition from G4S Israel to G1 Secure Solutions is the definitive case study.
●The Problem: G4S brand visibility on prison vans and settlement checkpoints became a liability for global contracts (e.g., UN, EU).
●The Solution: Divest the legal entity but preserve the operational capability.
●The Laundering:
1.Legal Separation: G4S plc sells the shares of G4S Israel to FIMI.
2.Asset Retention: FIMI retains the vans, the scanners, the contracts, and the staff.
3.Rebranding: “G4S” logos are peeled off; “G1” logos are applied.
4.Market continuity: G1 markets itself to Israeli clients (settlements, prisons) as “formerly G4S,” citing decades of experience.
●Result: The service to the settlement (e.g., security for the Ariel University) continues uninterrupted.10 The economic activity is “laundered” through a local private equity firm, removing the multinational parent from the BDS target list, while the physical reality of the occupation remains unchanged.
6.2 Mislabeling of Technology Origins
With the Attenti acquisition, a new form of “technological laundering” emerges.
●Product Origin: An electronic monitoring bracelet developed in Tel Aviv by Attenti engineers is branded as an “Allied Universal Electronic Monitoring” product.
●Global Sales: This product is sold to a corrections department in Florida or the UK.
●The Mask: The end-user views it as a US/UK product. The “Made in Israel” intellectual property—developed potentially with insights from the Israeli security establishment—is obscured behind the Allied Universal global brand. This allows Israeli security tech to bypass potential boycotts or scrutiny by being wrapped in a US corporate shell.
.7. Financial Flows and Investor Complicity
This section maps the upstream financial sources enabling Allied Universal’s activities, addressing the “Investment Flows” CIR.
7.1 The CDPQ Paradox
Caisse de dépôt et placement du Québec (CDPQ) is the financial keystone.
●Position: Largest shareholder of Allied Universal.
●Conflict: CDPQ has faced immense public pressure in Quebec to divest from Israeli apartheid.5
●Action/Inaction: CDPQ forced the Policity divestment (the “visible” asset) but simultaneously financed the Attenti acquisition (the “invisible” asset).
●Forensic Conclusion: CDPQ is engaging in a Portfolio Shifting strategy—moving exposure from high-controversy physical occupation assets to lower-controversy high-tech assets, without reducing overall economic exposure to Israel.
7.2 The Role of Norges Bank and KLP
The Nordic sovereign wealth funds serve as the “Canary in the Coal Mine” for complicity.
●KLP (Kommunal Landspensjonskasse): Excluded G4S in 2019.21 KLP’s methodology is rigorous. Their continued exclusion of G4S/Allied assets suggests that the “G1 divestment” was viewed as insufficient or that the “supply chain responsibility” remains.
●Norges Bank: As of 2024/2025, Norges Bank actively monitors companies with West Bank ties.22 Allied Universal’s divestment of Policity was likely a direct response to avoid landing on this exclusion list permanently. The retention of Attenti (within Green Line Israel) is a calculated move to stay compliant with Norges Bank’s “Settlement-only” exclusion criteria, dodging the broader “complicity” definition.
7.3 AMAG Technology: The Minority Stake
The December 2025 sale of a majority stake in AMAG Technology to Shore Rock Partners 23 further dilutes the visible footprint.
●Residual Interest: Allied retains a minority interest.
●Relevance: AMAG produces access control systems. If AMAG integrates Israeli biometrics or software (common in the industry), the minority stake preserves a channel for technology transfer, even if management control is ceded.
.8. Detailed Supply Chain Audit: The Importer/Exporter Status
8.1 Goods vs. Services
The CIR regarding “Importer Status” requires clarification.
●Goods: Allied Universal is not a significant importer of physical goods from Israel. It does not import settlement produce (dates/wine).
●Services: Allied Universal is a major importer of R&D services. The Tel Aviv center (Attenti) exports intellectual property, software code, and engineering support to Allied’s global subsidiaries.
●Tax Implications: This structure involves Transfer Pricing mechanisms where the value of the IP developed in Tel Aviv is transferred to the US/UK parent. This generates tax revenue for the State of Israel, directly supporting the state budget.
8.2 The “Galilee Export” / “Hadiklaim” Connection
While Allied does not buy from these aggregators, the G1 divestment creates a “Phantom Supply Chain” link.
●Scenario: A container of Avocados from Galilee Export leaves a packing house in the Golan Heights.
●Checkpoint: It arrives at the Jalameh crossing.
●The Scanner: The truck passes through a Rapiscan Eagle scanner.
●The Service: A technician from G1 (formerly G4S) verifies the scan.
●The Audit Trail: Allied Universal created the G1 capability. Allied profited from the sale of G1. Therefore, Allied’s historical capital facilitated the current export capability of the settlement aggregators. The “Aggregator Nexus” is historical and structural, rather than transactional.
.9. Seasonality Analysis: The Pulse of Occupation
The economic activity of the occupation is not static; it is seasonal.
9.1 The Harvest Surges
●Dates (Hadiklaim/Mehadrin): August to October is the peak export window for Jordan Valley settlements. Security checkpoints must operate at maximum throughput.
●Forensic Evidence: Historical G4S logs (prior to 2016) showed overtime payments and equipment maintenance schedules peaking in Q3 (August/September) to support the date harvest export rush.6
●Current State: G1 Secure Solutions has inherited this operational rhythm. While Allied Universal no longer manages the roster, the profitability of the G1 entity (which Allied sold) depends on these seasonal surges.
9.2 The “Ramadan” Security Spikes
●Permit Regime: During Ramadan, the movement of Palestinians through checkpoints (like Qalandia and Bethlehem 300) increases dramatically for Friday prayers.
●Technology Stress: The biometric turnstiles and metal detectors (technologies maintained by G1/G4S legacy) are under maximum stress.
●Complicity: The efficiency of these checkpoints in processing massive crowds—which Israel frames as “security” and critics frame as “control”—relies on the uptime of the systems G4S installed.
.10. Economic Complicity Ranking and Conclusion
10.1 The Ranking Methodology
We utilize a weighted scale to determine the final ranking:
●Operational Control (40%): Direct management of facilities.
●Technological Enablement (30%): Provision of R&D and specialized tech.
●Financial Benefit (20%): Profit extraction from the zone.
●Legacy Impact (10%): Lasting effects of past infrastructure.
10.2 Final Verdict: Level 4 – Technological Enabler
Previous Status (2015): Level 5 – Structural Pillar (Running prisons).
Current Status (2025): Level 4 – Technological Enabler (Providing surveillance tech & R&D).
Justification:
1.Pivot to R&D: The acquisition of Attenti anchors Allied Universal in the Israeli economy. The Tel Aviv R&D center is a strategic asset that integrates the company with the Israeli cyber-security establishment.
2.Legacy Infrastructure: The divestment to G1 was a “soft exit.” The infrastructure G4S built (the scanners, the control rooms) remains the backbone of the occupation’s physical security. Allied bears historical responsibility for this capacity.
3.Financial Flows: Through CDPQ and the Attenti acquisition, Allied continues to channel significant FDI into Israel.
10.3 Outlook and Recommendations for the Task Force
●Monitor the Policity Sale: Verify the final antitrust approval and transfer of funds for the Policity stake. If the deal collapses, Allied returns to Level 5 status.
●Scrutinize Attenti’s Client List: Investigate if Attenti’s electronic monitoring tech is being sold back to the Israel Prison Service (IPS) for monitoring Palestinian detainees under house arrest. This would re-establish a direct link to the incarceration apparatus.
●Focus on “Double Materiality”: Assess not just the financial risk to Allied, but the impact of Allied’s R&D on the human rights situation. The “Made in Tel Aviv” algorithms are the new frontier of complicity.
Table 1: Comprehensive Entity Complicity Matrix (2025-2026)
| Entity
|
Relationship to Allied Universal
|
Activity in Israel/OPT
|
Complicity Type
|
Status
|
| Allied Universal
|
Parent Company
|
Owner of Attenti; Seller of Policity.
|
FDI / Tech Transfer
|
Active
|
| G1 Secure Solutions
|
Divested Spin-off (2016)
|
Checkpoints, Settlements, Prisons.
|
Physical Enforcement
|
Legacy / Laundered
|
| Policity Ltd
|
Divested Asset (Pending)
|
National Police Academy Operator.
|
State Security Training
|
Pending Exit
|
| Attenti Group
|
Wholly Owned Subsidiary
|
Electronic Monitoring R&D (Tel Aviv).
|
Surveillance R&D
|
High / Active
|
| AMAG Technology
|
Minority Owned
|
Access Control Systems.
|
Dual-Use Sales
|
Low / Monitor
|
End of Report
Office of the Chief Forensic Accountant
Works cited
