The Pentagon has reportedly elevated its assessment of Israeli intelligence activity targeting U.S. officials to a "critical" threat level, according to intelligence findings cited by The New York Times, raising fresh questions about trust between Washington and one of its closest allies as President Donald Trump's administration pursues sensitive negotiations with Iran.

The reported assessment centers on allegations that Israeli intelligence agencies may have sought to monitor communications involving senior American officials engaged in diplomatic efforts with Tehran. Among those reportedly identified in intelligence reviews were Steve Witkoff, President Trump's lead negotiator, along with Elbridge A. Colby, the Pentagon's under secretary for policy, and deputy Michael P. DiMino IV.

The claims emerge at a particularly delicate moment for U.S.-Israel relations. While the two countries remain deeply aligned on military and security matters across the Middle East, disagreements over Iran have periodically created friction behind closed doors. Intelligence professionals have long acknowledged that even close allies collect information on one another, though public discussion of such activities is uncommon.

According to officials cited in the reports, internal intelligence assessments concluded that Israeli collection efforts directed at American personnel had become increasingly aggressive as negotiations with Iran intensified. One assessment reportedly upgraded Israel's counterintelligence risk rating from "high" to "critical," a classification that would place it above most allied nations in terms of intelligence concern.

Neither the Pentagon nor the Defense Department has publicly confirmed the reported assessments. The Defense Department declined to comment on the intelligence reports.

The White House also pushed back strongly against the allegations. A White House official characterized the account as false, while the Israeli Embassy in Washington categorically rejected the claims, stating that Israel does not conduct espionage operations against U.S. officials or institutions.

The dispute highlights a longstanding reality of international intelligence work. Despite decades of close military cooperation, intelligence-sharing agreements, and strategic coordination, Washington and Jerusalem have periodically faced allegations of espionage against one another.

Former intelligence officials have frequently noted that allied relationships often include parallel intelligence collection efforts designed to provide independent assessments of diplomatic negotiations, military planning, and political decision-making.

At the center of the reported concerns are ongoing efforts to negotiate a potential agreement between Washington and Tehran. The Trump administration has maintained diplomatic contacts with Iran while simultaneously applying military and economic pressure throughout the region.

Several major issues remain unresolved in those discussions, particularly sanctions relief and access to frozen Iranian assets.

Key points reportedly dividing the two sides include:

  • Iran's demand for access to approximately $24 billion in frozen funds.
  • U.S. insistence that sanctions remain in place until a final agreement is reached.
  • Continuing military activity despite ongoing diplomatic contacts.
  • Efforts by third-party mediators to restart formal negotiations.

President Trump has repeatedly stated that sanctions relief will not occur before a comprehensive agreement is finalized, a position that Iranian officials have resisted.