This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS SECTION 01 OF 02 TEL AVIV 000480 
 
SIPDIS 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: PGOV PHUM KWBG KPAL KISL EG IR IS JO ISRAELI PALESTINIAN AFFAIRS GOI EXTERNAL SETTLEMENTS
SUBJECT: RIGHT-WING LIEBERMAN UNABASHEDLY ADVOCATES 
TRANSFER OF ISRAELI ARABS 
 
¶1.  (SBU) Summary: Right-wing Yisrael Beiteinu party leader 
Avigdor Lieberman told the Ambassador January 31 that 
separation of Israeli Jews from Israeli Arabs is necessary in 
order to promote Israeli security and maintain Israel's 
Jewish identity.  To accomplish this, Lieberman proposes that 
Israel redraw its border with the West Bank through 
negotiations to place some Israeli-Arab population centers 
that are close to the Green Line within Palestinian 
territory, and to include some Israeli settlement blocs 
within Israel.  He also would require that all Israelis -- 
Jews and Arabs -- take an oath of loyalty to the state or 
lose their citizenship.  Lieberman expressed concern that 
support for Hamas is growing among Israeli Arabs and asserted 
that most Israeli-Arab Muslims are not loyal to the State of 
Israel.  What he termed a "coalition" between Hamas, 
Hizballah, Iran, and Syria presents a dangerous prospect for 
the region's future, Lieberman asserted.  End summary. 
 
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Lieberman Fears Dangerous Coalition in Region 
--------------------------------------------- - 
 
¶2.  (SBU) The Ambassador met the leader of the right-wing 
Yisrael Beiteinu ("Israel, Our Home") party, Avigdor 
Lieberman, January 31 in Lieberman's modest Jerusalem office 
at Lieberman's request.  Lieberman emphasized that he seeks 
what he termed creative solutions to Israel's problems, 
arguing that the "traditional" approaches, including the Oslo 
Accords, did not work.  Israel is now in a worse security 
situation than prior to the 1973 Yom Kippur War, Lieberman 
asserted, and is threatened by a "coalition" between Iran, 
Syria, Hizballah, and Hamas.  Lieberman expressed concern 
over the instability in the region and the damage done by 
corruption in the Palestinian Authority (PA).  He 
characterized PA President Mahmud Abbas as "very weak," and 
predicted that Hamas will "use" Abbas as a fig leaf of 
legitimacy for two-to-three years and then "throw him out." 
The Ambassador said that Arafat had left a lasting negative 
impact on the evolution of Palestinian society. 
 
¶3.  (SBU) Lieberman predicted that Hamas would only grow 
stronger in two-to-three years, and he characterized Hamas as 
disciplined, with a track record of delivering services, and 
less corrupt than Fatah.  The Ambassador said that Hamas may 
not be able to deliver on the national level, especially if 
there are cuts in international assistance.  Lieberman 
asserted that, in this case, Iran will become more active in 
assisting Hamas, including through oil subsidies.  The 
Ambassador noted that while Iran may be able to help Hamas 
financially, it could not actually deliver services to the 
Palestinians, such as electricity, water, and fuel.  The 
Ambassador emphasized USG concern over Iran and its nuclear 
program. 
 
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Hamas and Israeli Arabs 
----------------------- 
 
¶4.  (SBU) Lieberman said that he now worries about the 
influence of Hamas in Israel.  "Within two years," Lieberman 
said, "Hamas will take over" the Israeli-Arab population.  He 
characterized Sheikh Raed Salah, a leader of the Northern 
Islamic Movement that rejects Israeli-Arab participation in 
the government, as Israel's version of a Hamas leader. 
Lieberman asserted that the only reason most Israeli Arabs 
want to remain in Israel is to receive their social benefits. 
 Lieberman said that the Druze, a sect of Arab Muslims who 
have a history of loyalty to Israel and who perform mandatory 
military duty, are, by contrast, loyal citizens.  He 
questioned the loyalty of Israeli Arabs who define themselves 
as "Palestinian."  The Ambassador made mention of Lieberman's 
campaign for better law enforcement, and suggested that 
effective law enforcement in Arab communities could prevent 
strong-arm tactics by extremist elements, give political 
space to moderates, and help win Israeli-Arab loyalty to the 
state.  The Ambassador also suggested that providing quality 
education to the Israeli-Arab sector could encourage moderate 
views in that community. 
 
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Only Solution is Separation 
--------------------------- 
 
¶5.  (SBU) Lieberman underlined his view that to avoid 
conflict, a separation of Israeli Jews from Israeli Arabs 
must occur.  He said his proposal for such a separation is 
based on the Cyprus model, where, he said, the island's Turks 
are separated territorially from the island's Greeks. 
Lieberman said that the roadmap makes a mistake by advocating 
a two-state solution, wherein Israel retains two peoples 
within its borders, Jewish and Arab, while the Palestinian 
state retains only Palestinians.  Lieberman asserted that 
states that are composed of different "nations" continue to 
experience conflict.  The Ambassador noted that the United 
States maintains its diversity without experiencing such 
conflict.  He also pointed out that the roadmap does not 
specify borders, which would be subject to negotiation by the 
paties. 
 
¶6.  (SBU) Lieberman said that under his proposal, Israel 
would negotiate a shift in its borders with the West Bank to 
place Israeli-Arab population centers, such as the city of 
Umm el-Fahm, in the Palestinian territories, and some Jewish 
settlement blocs near the Green Line within Israel.  (Note: 
Lieberman did not indicate what would happen to Jewish 
settlements, such as Ariel, located deeper within the West 
Bank.  End note.)  Lieberman claimed he has had meetings with 
Palestinian leaders and that they expressed willingness to 
consider this type of land swap.  In response to the 
Ambassador's query, Lieberman said that the actual border 
would be the result of negotiations with Egypt, Jordan, and 
the PA.  He said that the plan would also require the 
endorsement of the U.S. and at least one other member of the 
Quartet.  His proposal would "not be a unilateral move," but 
one negotiated with "several partners."  He added that Egypt 
should also be a part of the solution by providing some of 
its territory to Gaza, which Lieberman described as too 
densely populated.  Jordan needs to be involved, Lieberman 
said, asserting that the Hashemite Kingdom will be directly 
threatened by the rise of Hamas.  Asked if his plan was to 
negotiate with Hamas, Lieberman said negotiations could take 
place with Abbas, since Abbas would remain as head of the PA. 
 
 
¶7.  (SBU) Asked about the status of Israeli Arabs living 
throughout Israel and in mixed cities, Lieberman acknowledged 
that this is "more complicated."  He advocated that all 
Israelis be required to take a loyalty oath, and that those 
who refuse be stripped of their citizenship.  Lieberman 
emphasized that under his proposal, Israeli Jews would also 
be subjected to the same requirement.  Lieberman said that 
some ultra-Orthodox religious Jews who do not accept Zionism 
may have a problem with such an oath.  He also said his 
proposal would also require that ultra-Orthodox Jews who 
decline to serve in the military sign up for alternative 
national service.  Lieberman asserted that "very few" Muslim 
Arabs -- except for the Bedouin in the North -- would sign a 
loyalty oath. 
 
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Election Prospects 
------------------ 
 
8  (SBU) In response to the Ambassador's query, Lieberman 
said he would consider it a "great success" if Yisrael 
Beiteinu receives anywhere from nine to 11 seats in the March 
28 elections.  He questioned whether the Kadima Party has a 
real identity, since it is composed of some Likud and some 
Labor members.  "Everyone feels we're going in the wrong 
direction now," Lieberman claimed.  "We need radical 
changes," he asserted.  If not, he said, "we are heading for 
big troubles." 
 
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Bio note 
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¶9.  (SBU) Lieberman's office is manned by several young, 
Russian-speaking staffers.  Lieberman, a 46-year-old 
immigrant from Moldova, was dressed in a suit and tie -- 
unlike most Israeli politicians -- and appeared confident and 
friendly -- quick to smile and joke.  Lieberman is a strong 
nationalist and settlement supporter who lives in the West 
Bank settlement of Nokdim with his wife and three children. 
Lieberman is not currently an MK. 
 
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JONES