Ohio charity accused of terrorist ties sues feds

Treasury Department ordered banks to freeze its assets in 2006

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updated 11:41 a.m. ET Oct. 10, 2008

TOLEDO, Ohio - An Ohio-based charity that the U.S. government says is linked to Hamas is demanding that officials unfreeze its assets.

Attorneys for Kindhearts for Charitable Humanitarian Development sued Thursday in federal court in Toledo. The charity says the government hasn't given it a chance to defend itself.

The Treasury Department in 2006 ordered U.S. banks to freeze the charity's assets. The government says it was funneling money to organizations affiliated with the militant Islamic group Hamas.

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Kindhearts denies any terrorist connections. The Treasury Department did not return a message left Thursday by The Associated Press.