From my experiences I would believe this to be untrue. The Hutts were out of money as many of there workers were in debt to them. The Hutts began to lose their money. I would say the actual funds for the Death Star didn't exist as shown by some member of the Empire. I believe this was a controlled demolition as rocket explosions can't explode the core of the Death Star. This was an inside job.

No. The Rebels were primarily funded by angry Senators who wanted to reclaim the power and influence they held prior to the founding of the Empire. The Rebels did consist of those from a criminal background, but they joined independently and of their own accord. One clear example of them being sovereign entities is the fact Jabba the Hutt cryo froze a prominent Rebel member known as Han Solo. If they were allies such an act would've never occurred despite the rather unpredictable nature of the Hutts.