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The Media Line Daily News Focus

1. ISRAEL BATTLES HIZBULLAH ON NORTHERN BORDER… Multiple confrontations between Israeli troops and Hizbullah gunmen on Monday began with unsuccessful attempts by the Lebanese-based terrorist organization to infiltrate into Israel and kidnap soldiers, and continued late into the night. In mid-afternoon, Israeli forces killed four terrorists who were moving against army outposts on the Lebanese border in an attempt to abduct soldiers. Seven soldiers and four civilians were injured in that series of confrontations. Hizbullah shelling of northern Israeli communities later began and continued into the night. A house in the community of Metulah took a direct hit from an anti-tank missile, but no one was injured. Residents of the north spent the night in bomb shelters as Israeli forces responded with artillery and tank fire. The Israeli Air Force struck at thirteen Hizbullah positions inside of Lebanon. Israeli military authorities had expected a major attack by Hizbullah and praised the alertness of its soldiers which they credited with preventing a successful kidnapping.

2. SHARON TRIAL BALLOON: JUMP TO TALKS ON FINAL BORDERS… Observers believe Ariel Sharon has again used a trial balloon floated by confidante Ehud Olmert to signal a new policy shift. Olmert said on Tuesday that Sharon wants to negotiate borders with the Palestinians, a key element of the final status talks that he has vehemently opposed until now. Olmert told Israel Army Radio that he met with “one of the most important persons in the Palestinian Authority” in order to “create momentum” and “persuade [the Palestinians] to fight terror.” Meanwhile, Binyamin Netanyahu, the man most believe will win the battle to lead the Likud party, called Ariel Sharon a “dictator” who, along with his family, “is responsible for the corruption that has dogged the Likud in recent years.”

3. FIRST POLLS: SHARON SOARS TO THE TOP… The first Israeli opinion polls taken in the aftermath of Ariel Sharon’s resignation from the Likud party places the new party-in-formation ahead of the Labor Party and far outdistancing the abandoned Likud. The surveys show that various combinations of parties joining the new Sharon entity in a left-of-center coalition could reach as many as 71 of the 120 seats in Israel’s parliament, the Knesset. All of the variations indicate that the Likud, presently the ruling party, is nose-diving into obscurity. The surveys predict it will retain no more than 12 to 15 of its current 40 seats. Pollsters caution that all of the surveys reflect the excitement of the moment and will no doubt adjust as realities sink in. Nevertheless, the trend is considered to be significant.

4. ATTORNEY GENERAL CONTINUING CORRUPTION INVESTIGATION OF SHARON… Israeli Attorney General Menahem Mazuz will not suspend his investigation of Ariel Sharon’s alleged illegal loan from a South African supporter during the election cycle. His predecessor placed criminal investigations against candidates on hold during the election campaigns in order that the probes not be used as political tools. But Mazuz said through an aide that the Sharon investigation will continue uninterrupted. It is believed that a South African friend of Sharon who loaned the prime minister $1.5 million did so as a front for others who were trying to buy influence.