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UNCLAS TEL AVIV 001699 
 
SIPDIS 
 
STATE FOR NEA, NEA/IPA, NEA/PPD 
 
WHITE HOUSE FOR PRESS OFFICE, SIT ROOM 
NSC FOR NEA STAFF 
 
SECDEF WASHDC FOR USDP/ASD-PA/ASD-ISA 
HQ USAF FOR XOXX 
DA WASHDC FOR SASA 
JOINT STAFF WASHDC FOR PA 
CDR USCENTCOM MACDILL AFB FL FOR POLAD/USIA ADVISOR 
COMSOCEUR VAIHINGEN GE FOR PAO/POLAD 
COMSIXTHFLT FOR 019 
 
JERUSALEM ALSO ICD 
LONDON ALSO FOR HKANONA AND POL 
PARIS ALSO FOR POL 
ROME FOR MFO 
 
SIPDIS 
E.O. 12958: N/A 
TAGS: OPRC KMDR IS
 
SUBJECT: ISRAEL MEDIA REACTION 
 
 
-------------------------------- 
SUBJECTS COVERED IN THIS REPORT: 
-------------------------------- 
 
¶1.  Israel Labor Party Primaries 
 
¶2.  Mideast 
 
¶2.  Democracy 
 
------------------------- 
Key stories in the media: 
------------------------- 
 
Ha'aretz cited the belief of unnamed officials that President Bush 
will make new suggestions for an Israeli-Palestinian agreement in a 
speech slated for June 24. The event will mark the fifth anniversary 
of the speech in which he unveiled his "two-state vision" to end the 
conflict.  The officials were quoted as saying that it is still 
unclear what new ideas the administration is formulating.  The 
newspaper reported that PM Ehud Olmert's aides Yoram Turbowicz and 
Shalom Turgeman left for Washington on Monday for preparatory talks 
ahead of Olmert's visit next week.  The officials were quoted as 
saying that Bush was expected to report progress on a memorandum of 
understanding to increase US military aid to Israel.  The current 
accord expires next year, as does the civil economic aid package. 
Israel wants the US to gradually raise military aid to more than USD 
2.4 billion annually, as the current accord stipulates.  The 
officials were quoted as saying that the US sees increasing military 
aid to Israel and supplying new American weapons to the Gulf states 
as important steps to bolster moderate countries in the region and 
counter Iran's rising strength.  Ha'aretz noted that this is why the 
US wishes to supply Joint Direct Attack Munition bombs to Saudi 
Arabia, despite Israel's objection. 
 
In its lead story, bylined by Aluf Benn and other correspondents, 
Ha'aretz reported that PM Olmert sent a new message to Syrian 
President Bashar Assad, in which "interesting nuances" were 
included, according to a senior political source in Jerusalem.  The 
message was sent through Greek FM Theodora Bakoyianni, who visited 
Israel Monday and then traveled to Damascus.  In response to the 
report, Greek Foreign Ministry spokesman George Koumoutsakos, who is 
accompanying Bakoyianni on her Middle Eastern tour, told Ha'aretz in 
a phone interview from Damascus that he was surprised at the news. 
Israel Radio cited a denial by Olmert's bureau that such a message 
was conveyed.  Yediot reported that on Monday Syria admitted for the 
first time that it had received messages from Israel regarding 
resumption of the peace process.  However, Yediot reported that the 
Syrian leadership said Israel was not serious, that it conveyed 
contradictory messages, and that it tried to dictate conditions. 
Israel Radio quoted a senior political source in Jerusalem as saying 
this morning that Syria is not responding to Israel's overtures 
because it wants contacts with Israel to go through the US.  The 
source was quoted as saying that Damascus is interested in making 
use of contacts with Israel to make gains in Washington and to lift 
the international boycott against it.  Media reported that on Monday 
Knesset members from the Israeli Arab parties were irritated by 
statements made before the Knesset's Foreign Affairs and Defense 
Committee by Farid Ghadry, the exiled head of Syria's tiny 
opposition Reform Party, that Israel should not start negotiations 
with Syria. 
 
Ha'aretz reported that Mahmoud Abbas told Meretz Knesset members 
Zahava Gal-On and Avshalom Vilan on Monday during their visit to 
Ramallah: "I will not meet Israeli Prime Minister Ehud Olmert until 
he agrees to unfreeze Palestinian tax revenues."  Ha'aretz said 
that, in the meeting, Abbas added that the tax funds would allow him 
to bolster the security forces under his command and begin 
constructing a naval port in Gaza.  The two Israeli guests presented 
their plan for the deployment of an international force in Gaza 
under the auspices of the Arab League, as was recently reported in 
Ha'aretz.  Abbas was quoted as saying that he found the plan 
"interesting," adding that he could not say at this stage whether he 
would adopt the plan and promote its implementation.  In addition, 
Abbas reportedly asked the visiting MKs about the reaction of the 
Israeli leadership to their plan. "The current situation is 
threatening to deteriorate into utter chaos.  An Israeli incursion 
will bring about total anarchy," he warned.  As for Abbas's decision 
to cancel his scheduled meeting with Olmert last week in Jericho, 
the PA Chairman explained: "Olmert gave me no answers, and I have no 
need for a photo op." 
 
All media -- banners in Yediot, Maariv, and The Jerusalem Post -- 
reported on the second round of the Labor Party primaries that is 
taking place today, in which former PM Ehud Barak and former Israel 
Navy commander and former Shin Bet head Ami Ayalon are running neck 
and neck, according to polls released on Monday.  Ha'aretz said that 
voting in the kibbutzim and the Israeli Arab sector will determine 
the winner.  Yediot reported that the key to the election by the 
Knesset of Israel's next president on Wednesday -- be it Kadima's 
Shimon Peres or Likud's Reuven Rivlin -- lies with the votes of 
Labor Party Knesset members.  Israel Radio reported that MK Colette 
 
Avital, the Labor Party's official candidate, complained about 
harassment by supporters of Peres. 
 
All media reported that at least 11 Palestinians died in Fatah-Hamas 
clashes in the Gaza Strip, and that more than 40 were injured, hours 
after an Egyptian-brokered cease-fire was supposedly implemented. 
 
The Jerusalem Post reported that, "in a significant diplomatic 
shift," French President Nicolas Sarkozy will invite Hizbullah to 
take part in a conference on Lebanon scheduled for later this month 
in Paris, and begin "engaging" Syria.  New French FM Bernard 
Kouchner has invited delegates from across Lebanon's political and 
religious divide to the conference aimed at quelling Lebanon's 
violence and political strife.   The Jerusalem Post said that, in 
another sign that France has decided to step up its involvement in 
the Middle East, Sarkozy is to meet PA Chairman [President] Mahmoud 
Abbas in Paris next week.  Regarding Syria, The Jerusalem Post 
quoted diplomatic sources in Jerusalem as saying that France had let 
Damascus know that it is willing to reengage with it, but that it 
would not in any way back down from its firm support for an 
international tribunal to try suspects in the 2005 assassination of 
former Lebanese premier Rafiq Hariri, or from its demand that 
Damascus "keep its hands off" of Lebanon.  The Jerusalem Post said 
that the view in Jerusalem is that Sarkozy wants to bring about a 
gradual thaw in ties, in order to play the "honest broker" and 
stabilize Lebanon.  The conference in Paris, according to this 
assessment, is part of this effort.  The newspaper wrote that the 
invitation to Hizbullah largely puts an end to hopes articulated in 
Jerusalem after Sarkozy's election victory that he might be 
persuaded to place Hizbullah on Europe's list of terrorist 
organizations, a position that was opposed by Chirac. 
 
Electronic media reported that four Qassam rockets were fired at the 
western Negev this morning, lightly wounding several Israelis. 
 
Ha'aretz and Israel Radio quoted the IDF as saying on Monday that it 
would allow a protest rally to be held at the former West Bank 
settlement of Homesh today, the first time protesters have been 
legally allowed to demonstrate at the site since it was evacuated in 
¶2005. 
 
The Jerusalem Post reported that, in an effort to improve quality of 
life in the West Bank, the IDF and the Civil Administration in the 
territories have allocated 5 million shekels (around USD 1.2 
million) to upgrade the Hawara Crossing north of Nablus, the main 
passageway between Ramallah and the northern part of the West Bank. 
 
Britain's Higher Education Minister Bill Rammell was quoted as 
saying on Monday in an interview with The Jerusalem Post that the 
British media generally present all sides of the conflicts raging in 
the Middle Eat and that they are "more balanced" than their critics 
in Israel contend.  On an unrelated matter, The Jerusalem Post wrote 
that the Anti-Defamation League has launched a new series of print 
and online advertisements aimed at combating the campaign among 
British trade unions to boycott Israel. 
 
The Jerusalem Post reported that a Capitol Hill rally on Sunday 
against the Israeli occupation attracted smaller numbers than 
expected. 
 
The Jerusalem Post quoted the Israeli Committee Against House 
Demolitions as saying on Monday that an unnamed Orthodox American 
Jew has donated USD 1.5 million to fund a campaign against the 
demolition of Palestinian and Bedouin homes throughout Israel and 
the territories. 
 
Ha'aretz reported that Jewish residents of a house in the east 
Jerusalem neighborhood of Silwan, whose evacuation was ordered by a 
court, have a chance to stay, judging by the pressure exerted by the 
municipality. 
 
Maariv and other media quoted Iranian Admiral Ali Shamkhani as 
saying in the American magazine Defense News that, if Iran is 
attacked, it would bombard the Gulf states, mainly Qatar, Oman, and 
Bahrain. 
 
The Jerusalem Post reported that environmental activists are urging 
the GOI to rehabilitate the lower Jordan River after the cultural 
landscape was declared an "Endangered Cultural Heritage Site" by the 
Watch List of the World Monuments Fund, the leading body for the 
protection of monuments. 
 
Makor Rishon-Hatzofe quoted an organizer of the Cairo Film Festival 
as saying that the festival will not allow any Israeli movie to be 
screened. 
 
Ha'aretz reported that a court headed by former High Court Justice 
Theodor Or will soon announce that Maj. Gen. (Res.) Eli Zeira, who 
headed IDF Intelligence during the Yom Kippur War in 1973, leaked 
the identity of a senior Mossad agent who operated in Egypt before 
the war. 
Ha'aretz reported that the Israel Broadcasting Authority (IBA) 
decided on Monday not to cancel its English-language radio news 
broadcasts, despite earlier threats to do so as a cost-saving 
measure.  The future of IBA TV news broadcasts, however, remains 
unclear. 
 
The Jerusalem Post reported that North America is the latest 
marketing target of the Tourism Ministry, which said on Monday that 
it will spend USD 11 million to attract more visitors from the 
continent to Israel. 
 
Yediot ran a feature about Joel Covington (a.k.a. Rebel Sun), an 
African-American hip-hop singer from Baltimore, who, together with 
his wife Shoshana, visited Israel in 1999 and fell in love with the 
country.  The newspaper reported that he has just been granted 
Israeli citizenship. 
 
--------------------------------- 
¶1.  Israel Labor Party Primaries: 
--------------------------------- 
 
Summary: 
-------- 
 
The independent, left-leaning Ha'aretz editorialized: "The decision 
today is Labor's to make.  Starting tomorrow, the decision will move 
to Kadima: either a different leadership and a continued coalition 
partnership with Labor, or preparations for elections." 
 
Political parties correspondent Nadav Eyal wrote on page one of the 
popular, pluralist Maariv: "The Labor Party, which was the last hope 
of toppling Olmert, gave him a pardon for his sins." 
 
Block Quotes: 
------------- 
 
¶I.  "New Labor Leader Needs to Lead" 
 
The independent, left-leaning Ha'aretz editorialized (6/12): "On 
Monday Ha'aretz reported that Prime Minister Ehud Olmert will decide 
which senior ministerial portfolio in his restructured government 
will be offered to the Labor Party depending on who wins its 
primary: Ehud Barak or Ami Ayalon.  If Barak, a strategist par 
excellence, is victorious, he will be given defense, which will be 
taken from Amir Peretz.  However, if the victor is Ayalon, who is an 
ally of Peretz and is partnered with MK Avishay Braverman, then 
Olmert will give him the treasury and transfer defense to 
Transportation Minister Shaul Mofaz.  By revealing his intentions, 
Olmert is carrying out a twin maneuver: internally and externally. 
Internally, for the ears of his Kadima party, he is signaling that 
he is capable of promoting another senior minister as a potential 
rival along with Tzipi Livni, who called for his resignation, but 
has kept quiet and stayed in his government.  Externally, for the 
Knesset, the public, and perhaps even the Bush administration, which 
will host him next week, he is trying to give the impression of 
stability and that he is a survivor.  The message is that it does 
not matter who will head Labor tomorrow; the sole question is which 
portfolio in the Olmert cabinet he will hold.... The decision today 
is Labor's to make.  Starting tomorrow, the decision will move to 
Kadima: either a different leadership and a continued coalition 
partnership with Labor, or preparations for elections." 
 
II.  "The Real Winner: Ehud Olmert" 
 
Political parties correspondent Nadav Eyal wrote on page one of the 
popular, pluralist Maariv (6/12): "The race in the Labor Party is 
coming to an end, and in the short term, it has only one certain 
winner: Ehud Olmert. The two candidates began this battle determined 
to do away with Olmert within his party.... Both explained their 
position with an ethical and leadership concept that demands that 
the Prime Minister take responsibility for the fiascos in the 
Lebanon war.  And then the campaign grabbed hold of them.  The two, 
each for his own reasons, softened, compromised, became vague, 
withdrew, and wriggled.... The Labor Party, which was the last hope 
of toppling Olmert, gave him a pardon for his sins..... After 
Olmert, the second person to benefit is Binyamin Netanyahu, who 
gained public relations material for the Likud for free.  This was 
the dirtiest race in the Labor Party since Rabin-Peres in 1992." 
 
------------ 
¶2.  Mideast: 
------------ 
 
Summary: 
-------- 
 
Palestinian affairs correspondent Danny Rubinstein wrote in the left 
leaning, independent Ha'aretz: "In Gaza ... groups ostensibly 
operating in the name of Islam have already been spotted.  In this 
context it is perhaps worth reconsidering the boycott of the 
Palestinian unity government in which Hamas is a partner." 
The Director of the Interdisciplinary Center's Global Research in 
International Affairs Center, columnist Barry Rubin, wrote in the 
conservative, independent Jerusalem Post: "The irony [in the shift 
in US Mideast policy] is that this, except for refusing to withdraw 
from Iraq, means it is close to the views of Bush's more mainstream 
domestic enemies." 
 
The ultra-Orthodox Hamodi'a editorialized: "It would be hard to 
expect from those who do not feel pity for their own brothers and 
kinsmen that they behave humanely vis-a-vis others." 
 
Block Quotes: 
------------- 
 
¶I.  "In the Name of Islam?" 
 
Palestinian affairs correspondent Danny Rubinstein wrote in the left 
leaning, independent Ha'aretz (6/12): "It emerged last week that the 
group [Fatah al-Islam] is holding up, and all because of the weak 
and divided Lebanese government.  It is not a coincidence that the 
Muslim extremists have situated themselves in this refugee camp and 
in other camps in Lebanon where there is no government presence and 
no law and order.  This is precisely the direction the Gaza Strip is 
taking.  Abandonment by the government, lawlessness, and poverty are 
fertile ground for the organizing of terrorists.  In Gaza, similar 
groups ostensibly operating in the name of Islam have already been 
spotted.  In this context it is perhaps worth reconsidering the 
boycott of the Palestinian unity government in which Hamas is a 
partner.  The boycott is increasing the bitterness and distress, 
weighing down Hamas, and encouraging the development of 
organizations along the lines of Fatah al-Islam in Lebanon.  It is 
not only the Palestinians who will pay the price for this, but also 
Israel, which did not want Hamas and is getting Al-Qaida.  This 
appears to be the opinion of British Prime Minister Tony Blair, who 
said at the end of last week that Hamas is sending positive signals 
concerning peace, and hinted that these should be answered." 
 
II.  "Identifying America's Top Mideast Priority" 
 
The Director of the Interdisciplinary Center's Global Research in 
International Affairs Center, columnist Barry Rubin, wrote in the 
conservative, independent Jerusalem Post (6/12): "What has happened 
in the last few months is that the [US] administration has heeded 
the criticisms of its mainstream and, to a lesser extent, more 
extreme critics.  In the latter case, it has reduced the policy of 
pressuring Syria and Iran through isolation.  High-ranking US 
officials met with both.... The democracy policy is downgraded or 
dead.  And Fatah, despite its continued terrorism and radicalism, is 
seen mainly as a bulwark against radical Islamism.... In addition, 
US policy wants to keep European countries happy by not going 
further than they want on Iran while showing them that it is 
energetically pursuing Israel-Palestinian negotiations.  The bottom 
line is that US policy has now become pretty much a historically 
mainstream one, a new Cold War with the names changed, a traditional 
alignment of more moderate against more radical Arabs and Muslims. 
The irony is that this, except for refusing to withdraw from Iraq, 
means it is close to the views of Bush's more mainstream domestic 
enemies." 
 
III.  "How Will They Treat Others?" 
 
The ultra-Orthodox Hamodi'a editorialized (6/12): "Current events in 
the Gaza Strip apparently are a domestic Palestinian affair.  But it 
would be a mistake to treat those episodes only this way.  This is 
because those bloody riots might have repercussions in the entire 
region.  As we witnessed in the past, terrorists from various groups 
tried to vent internal frustration by carrying out terrorist attacks 
against Jews.  This is also because the brutality they are 
demonstrating among themselves should kindle warning lights and 
indicate with whom exactly Israel is dealing.  It would be hard to 
expect from those who do not feel pity for their own brothers and 
kinsmen that they behave humanely vis-a-vis others." 
 
-------------- 
¶3.  Democracy: 
-------------- 
 
Summary: 
-------- 
 
The conservative, independent Jerusalem Post editorialized: "Israel 
should not fail to recognize, in the words of the Prague Charter, 
'the profound moral difference between free societies and societies 
ruled by fear.'" 
 
Block Quotes: 
------------- 
 
"Support the Prague Charter" 
 
The conservative, independent Jerusalem Post editorialized (6/12): 
"Just before the G-8 leaders met in Germany last weekend, an 
international summit took place that was arguably of greater 
historic significance.  It was a summit of top dissidents from all 
over the world, and was attended by the world's most famous 
'dissident,' President George W. Bush.... The Prague Charter, signed 
by [Natan] Sharansky, [Vaclav] Havel, and [Jose Maria] Aznar, listed 
10 ways that 'governments and peoples throughout the free world 
[can] help those trying to build free societies'.... Even small 
nations, such as Israel, can do their part to support dissidents and 
stand for those struggling for freedoms that we often take for 
granted. Australia, for example, was the first nation to raise the 
issue of Soviet Jewry in the United Nations.  Israel, for its part, 
can do more to examine its relationship with unsavory regimes, such 
as the one in Beijing. It is not enough anymore to act as if human 
rights concerns are a luxury we cannot afford when considering 
military relationships.   Israel should not fail to recognize, in 
the words of the Prague Charter, 'the profound moral difference 
between free societies and societies ruled by fear.'  Nor is this 
only a matter of morality.  'The protection of human rights is 
critical to international peace and security,' the Charter argues, 
because "countries that do not respect the rights of their people 
are unlikely to respect the rights of their neighbors." 
 
JONES