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TAGS: OPRC KMDR IS
 
SUBJECT: ISRAEL MEDIA REACTION 
 
-------------------------------- 
SUBJECTS COVERED IN THIS REPORT: 
-------------------------------- 
 
¶1.  Mideast 
 
¶2.  Iran 
 
------------------------- 
Key stories in the media: 
------------------------- 
 
The Jerusalem Post and Israel Radio reported that yesterday State 
Department Spokesman Ian Kelly dismissed as QinaccurateQ a report 
published in an Israeli media outlet [Yediot] that  Israel and the 
U.S. administration have struck a deal which would allow the 
construction or the completion of 2,500 more housing units in the 
West Bank.   (The Jerusalem Post reported that officials in the PMQs 
Office would not confirm those media reports.)  Stating that the 
United StatesQ position has not changed, Kelly said: QThis activity 
has to stop. This is laid out in the Roadmap.Q  Yet, Israel Radio 
quoted Israel sources as saying that negotiations are taking place 
on the subject.  The Jerusalem Post reported that Israel and the 
U.S. are moving toward a compromise solution on the settlement issue 
that might allow both sides to claim "victory."  According to senior 
GOI officials, under this type of solution, Israel would declare a 
moratorium of a few months on the settlement issue, possibly half a 
year, while the U.S. would give Israel a green light to complete a 
still-to-be-determined number of housing units in the settlements 
that are in advanced stages of construction.  Under this type of 
arrangement, President Obama would be able to claim a victory in 
getting Israel to agree to a moratorium on any new housing starts in 
the settlements, while PM Benjamin Netanyahu could claim that he did 
not agree to a complete freeze, and that housing construction was 
continuing. 
 
The Jerusalem Post quoted National Security Adviser Uzi Arad as 
saying at a Knesset press conference marking Netanyahu's 100th day 
in office that Netanyahu expects Obama to honor the agreements 
reached with the Bush administration on West Bank construction. 
Arad revealed that ahead of Netanyahu's meeting with Obama in May, 
the National Security Council prepared reports that articulated the 
American commitments in great detail.  Netanyahu also quizzed his 
predecessor, Ehud Olmert, in a meeting on Friday about the 
behind-the-scenes agreements he had reached with President George W. 
Bush. 
 
Israel Hayom reported that a senior diplomatic official in Jerusalem 
told the newspaper yesterday: QThe Americans are completely confused 
and their foreign policy is collapsing.Q   He was further quoted as 
saying : QThis chaos is discernible in nearly every sphere in which 
the administration operates, as well as the political sphere in our 
region and in the Iranian and North Korea issues.Q  According to 
Israel Hayom, the senior Israeli official did not speak in order 
merely to convey his own opinions. His statements accurately reflect 
the prevalent 
discourse among Israeli government officials, including officials in 
the Prime MinisterQs Bureau, the Foreign Ministry, the Defense 
Ministry, and senior cabinet ministers. 
 
Media (banners in HaQaretz and Israel Hayom) quoted DM Ehud Barak as 
saying yesterday at a ceremony marking three years since the 
outbreak of the Second Lebanon War, in which 121 IDF soldiers died, 
that the courage of soldiers repeatedly compensated for the mistakes 
of decision-makers during the war. 
 
The Jerusalem Post, Israel Hayom, and Maariv quoted National 
Security Adviser Uzi Arad as saying in an interview with the AP that 
comments by President Obama and Vice President Biden about a 
possible Israeli attack on Iran's nuclear facilities were directed 
at Iran and meant to "distinguish" the U.S. from Israel.  In an 
interview with HaQaretz, Arad said that the Netanyahu government has 
inherited a "scorched earth" policy on the Iranian nuclear threat 
from the last administration.  Israel displayed an "abominable" 
failure to address Tehran's nuclear development between 2003 and 
2007, Arad said, and while he suggests a potential naval blockade on 
the Islamic Republic, he added "The more credible and concrete the 
option, the less likely that it will be needed."   Regarding the 
Palestinian arena, Arad says, "I also do not see a Palestinian 
leadership or a Palestinian regime, but a disorderly constellation 
of forces and factions."  When it comes to relations with 
Washington, however, Arad is more conciliatory: "When President 
Obama says he is committed to Israel's security, he is speaking the 
truth.  He is committed in the full sense of the word." 
 
The Jerusalem Post cited Defense Ministry data that almost no 
progress has been made toward completing the West Bank security 
barrier in the past 15 months. 
 
Israel Radio reported that the G-8 leaders meeting in LQAquila, 
Italy, urged Israel and the Palestinians to resume negotiations. 
 
HaQaretz quoted Israeli defense sources as saying yesterday that a 
freeze in the attempted reconciliation of Fatah and Hamas has also 
brought efforts to negotiate Gilad ShalitQs release to a standstill. 
 The sources were quoted as saying that the likelihood of a speedy 
deal to release Shalit is slim.  Yediot cited a confidential report 
addressed to the Prime MinisterQs Bureau, according to which Egypt 
backs IsraelQs position that, when the negotiations with the 
Palestinians are resumed, the latter must pledge to declare the end 
of their [unspecified] demands on Israel.  Yediot reported that a 
few days ago in Egypt, Egyptian intelligence chief Omar Suleiman 
told Gilad Sher that Shalit will be released only after Israel gives 
up its demand that any Hamas prisoners who are released be deported 
to Gaza.  Sher managed Ehud BarakQs bureau during his term as PM. 
Yediot cited IsraelQs belief that the price that Hamas will demand 
for ShalitQs release will not change. 
 
HaQaretz recalled that, prior to the Knesset elections, Netanyahu 
presented his program for "economic peace," which he said would 
improve the quality of life for Palestinians in the West Bank. 
However, 100 days after having formed his coalition government, 
there is no practical progress on economic projects.  HaQaretz 
explained that the main reason for this is the refusal of senior PA 
officials to cooperate with Netanyahu and Vice Premier Silvan 
Shalom, who has been assigned the task of promoting the "economic 
peace" initiative. 
 
The Jerusalem Post quoted UN Secretary-General Ban Ki-moon as saying 
in a UN report that hostilities between Israel and Lebanon could 
erupt again.  Expanding on previous media reports, HaQaretz reported 
that Lebanese lieutenant colonel Daher Jarjoui has gone missing, and 
military officials there, as well as the officer's family, believe 
he fled to Israel after coming under suspicion of spying for Israeli 
intelligence.  Jarjoui, a resident of the southern Lebanese village 
of Qlayaa, was the Lebanese Armed Forces' liaison with a Spanish 
company in the UNIFIL peacekeeping force along the Israeli border. 
 
HaQaretz reported that FM Avigdor Lieberman convened a Qclandestine 
meeting about a week ago with several senior officials in his 
ministry to begin an internal reform.  Lieberman's principal message 
was that instead of being preoccupied with the Palestinians, the 
ministry should wage an international campaign against Iran and 
engage in public diplomacy to rehabilitate Israel's international 
image. 
 
The Jerusalem Post reported that, days after President Obama sent a 
letter to MoroccoQs King Mohamed VI urging the moderate North 
African nation to Qbe a leader in bridging gaps between Israel and 
the Arab world,Q Israeli experts on Moroccan-Israeli relations 
differed on the likelihood of a positive response from the KingQs 
government in the coming weeks. 
 
HaQaretz reported that QIsrael is tightening its borders. 
Passengers departing via Ben Gurion Airport will now have to pass a 
second passport control point before boarding a flight.  In addition 
to presenting their passports at immigration after checking their 
luggage, passengers will have them scanned once again at the gate 
before boarding the plane.  Until now, passengers had to present 
only a boarding card at that point.  The new regulations could serve 
several purposes -- a response to specific threats; closing a breach 
that lets passengers bypass immigration controls; or increasing the 
chances of catching people barred from leaving the country. 
 
Erratum: The Jerusalem Post did not report that President Shimon 
Peres attended the AmbassadorQs Fourth of July reception.  He was on 
an official visit to Kazakhstan. 
 
 
 
 
 
 
 
 
 
 
 
------------ 
¶1.  Mideast: 
------------ 
 
Block Quotes: 
------------- 
 
¶I.  "Outposts for Blocs" 
 
Senior commentator Ari Shavit wrote in the independent, left-leaning 
Ha'aretz (7/9): QTo avoid a head-on clash with its ally, Israel must 
change its ways immediately.  It must prove it will no longer make a 
fool of the world and stop sabotaging itself and start enforcing the 
law in the West Bank.  What we urgently need is a creative 
American-Israeli understanding. Israel must make a reality-changing 
move, and America must recognize the complexity of this reality. 
Israel must provide proof that the withdrawal is really beginning, 
and America must provide a preliminary commitment to the 
withdrawal's border.  The new American-Israeli deal must be simple 
-- outposts for blocs, i.e. evacuating the illegal outposts in 
exchange for recognition of the large settlement blocs.... If 
Benjamin Netanyahu insists on keeping the illegal outposts, he will 
be defending a criminal act of settlement as well as harming 
Israel's interests.  If Obama refuses to recognize that settlement 
blocs attached to the Green Line will remain within IsraelQs 
boundaries, he will be destroying Clinton's legacy.  But if Obama 
and Netanyahu formulate an outposts-for-blocs policy, they will be 
serving their states and administrations' joint interest -- a 
realistic peace process. 
 
II.  "Better a Doormat" 
 
Far left columnist Gideon Levy wrote in Ha'aretz (7/9): QThe Prime 
Minister will be judged by his results, not by his character or the 
route he takes to get there.  Some who criticized Netanyahu's latest 
zigzag -- the U-turn he did by canceling the value-added tax on 
fruits and vegetables -- admit that his decision may have been 
sound.  Yet the most important thing, in their eyes, is that we not 
have a prime minister who surrenders, who yields, who folds with 
such ease.  This logic is twisted.  Instead, we ought to sing the 
praises of a prime minister who changes his mind, adjusts his views 
to prevailing circumstances, and yields on issues to his and our 
benefit.  Only such a Netanyahu can do well by us.  Heaven forbid if 
he were to entrench himself in his positions.  We would be better 
off having a doormat for prime minister than a hero. We have had 
more than enough of the latter. 
 
III.  "The Lesser Evil" 
 
Editor-in-Chief Amnon Lord wrote in the nationalist, Orthodox Makor 
Rishon-Hatzofe (7/9): QThe Americans still continue to demand a 
construction freeze in the settlements, but it appears that the 
negotiations are going on and that there is no concurrence, to say 
nothing about an agreement.  If there is something that the Prime 
Minister should be warned about while Barak is holding contacts with 
the Americans, it is signing an agreement.  Any agreement about the 
settlements would haunt the government during its entire term, as 
 
RabinQs surrender to [Bill] ClintonQs pressure to return the Hamas 
deportees in 1993 haunted him and caused the Oslo Accords to fail. 
That surrender continues to haunt us until this very day.  Thus it 
is better, at a certain stage, to get entangled in a serious crisis 
with the U.S. rather than risk surrendering to pressure.  In the 
mean time, the settlement issue serves as fuel in the persistent 
contacts with the U.S., the exact contents of which are unknown to 
anyone.  It is hard to believe that Mitchell and Barak continue to 
turn around the same point for such a long time.... It is preferable 
to hold contacts with the Americans about far-flung outposts than to 
be within reach of Qpeace,Q as every pressure in the world would be 
applied on Israel to agree to a redeeming QcompromiseQ formula 
regarding the assimilation of [Palestinian] refugees. 
 
--------- 
¶2.  Iran: 
--------- 
 
Block Quotes: 
------------- 
 
¶I.  "Sanctions instead of Military Force" 
 
Veteran journalist and television anchor Dan Margalit wrote in the 
independent Israel Hayom (7/9): QThe U.S. administration is 
conducting a complex policy on the harsh issue of a [possible] 
Israeli attack on Iran.... There is room for attempting a different 
move.  If the world had seriously pressed Iran, there would have 
been no need for a military action.  For this, Russia needs to apply 
its whole force.  What could cause this?  Obama visited Moscow, 
offering a deal: Russia would join the pressure on Iran in exchange 
for an American renouncement of NATO missile deployment around its 
borders.  Israel, which is constantly occupied with itself, would do 
well to be attentive. 
 
II.  "IranQs Regime Only Got Stronger" 
 
Columnist and former intelligence officer Amos Gilboa wrote in the 
popular, pluralist Maariv (7/9): QNow that the dust around the 
Iranian elections is settling, I believe that  neither was there a 
coup in that country, nor an uprising against the regime, nor a true 
rift among the ruling elite.... Furthermore, the regime never truly 
risked being overthrown.... I believe that the Iranian regime 
actually got stronger.... At the regional level, support for Hamas 
and Hizbullah increased.... The chances for the yearned dialogue 
between the liberal Obama and IranQs security-imbued fanatics are 
low.  In any case, if the United States wants to cope with Iran with 
any amount of success, it must act in cooperation with Russia. 
Therefore, the results of ObamaQs visit to Moscow are highly 
important to Israel. 
 
CUNNINGHAM