1. OLMERT BACKTRACKS ON LIVNI’S ‘’ABBAS IS IRRELEVANT’ COMMENT… Acting Israeli Prime Minister Ehud Olmert on Monday backtracked on remarks made by Foreign Minister Tzipi Livni that might have set his administration on a collision course with the United States. In a radio interview, Livni had called Palestinian Authority President Mahmoud ‘Abbas “irrelevant” in light of Hamas control of the cabinet and legislature. As was reported here, the United States – and the European Union as well – are focusing efforts on shoring up ‘Abbas before the Palestinian people as an alternative to Hamas. On Monday, Olmert told an audience in Tel Aviv that Livni’s remarks were “misunderstood” and that, “There is not even a smidgen of misunderstanding or a hint of disagreement” between his government and the United States. [Analysis: But analysts at The Media Line point out that the sequence of ‘statement by senior official’ followed by ‘modification by the prime minister’ is routine and that notwithstanding the retraction, the message has been sent: Israel will move toward a policy of unilateral action under the justification that there is no negotiating partner on the Palestinian side. The analysts point to simultaneous statements made by Defense Minister Shaul Mofaz on Sunday night in which he spoke of final borders with the Palestinians and listed communities within the post-1967 territories that will remain under Israeli control. This, Mofaz said, will happen either as part of a peace plan or unilaterally. Mofaz had made a similar statement regarding unilateralism simultaneous to Olmert’s first major speech as acting prime minister in which he swore allegience to the Road Map peace plan which prohibits unilateral acts by either Israel or the Palestinians. – Ed.]
2. PALESTINIAN AUTHORITY LINES UP $393 MILLION IN EMERGENCY AID… Iran has pledged an immediate infusion of $250 million in emergency aid to the Palestinian Authority while the European Union says it’s sending $143 million. According to a spokesman for the incoming Hamas-led government, what word of the $393 million in assistance means is that American and Israeli efforts to cut off aid to the P.A. have failed. The U.S., however, has adopted a position of support for what it calls “humanitarian aid.” On Sunday, State Department spokesman Adam Ereli said the U.S. welcomed the EU contribution, saying it demonstrated that, “We are all working together to prevent a collapse of the interim [Palestinian] government and to support the Palestinian people.” On Monday, the Associated Press published a letter from Quartet envoy James Wolfensohn in which he warned that the Palestinian Authority could suffer financial collapse “within two weeks,” blaming Israel’s decision to withhold the tax money it collects and transfers to the P.A. monthly.
3. ISRAELI ELECTION COMMISSION CONSIDERING BANNING ARAB PARTY… Israel’s Election Commission will decide on Tuesday whether to disqualify one of the Israeli-Arab parties from running in March’s general election. The move comes as the result of petitions filed by four other parties claiming that the Ra’am Ta’al Party has publicly expressed support for Hamas. One of the petitions was filed by the Likud party. It charged that Ra’am Ta’al “expressed, in a press conference, the aim of negating the existence of Israel by supporting the Hamas terror group.” The position of Ra’am Ta’al is being supported by Israel’s Attorney General.
4. ISRAEL’S HIGH COURT STRIKES DOWN GOVERNMENT DESIGNATION OF PRIORITY REGIONS AS DISCRIMINATORY AGAINST ISRAELI ARABS… Israel’s High Court of Justice unanimously struck down a government plan that establishes “regions of national priority” that would receive extra benefits in education. By extension, other areas will be affected. The Court’s decision was based on two points: that the plan discriminates against Israeli Arabs and that the government was usurping a power rightfully held by the parliament (Knesset). The decision included the illustration that communities designated “area A” (most deserving of extra assistance) received a 75% subsidy for teacher-training tuition, an 80% subsidy for teachers’ housing, additional teaching hours and large grants-in-aid to encourage immigrant absorption. These benefits were juxtaposed against what were described as “severe socioeconomic conditions” in the Israeli-Arab sector.