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                             ISRAEL
                              FAXX

Publisher\Editor Don Canaan

                      Sept. 9, 1996 V4, #166
All the News the Big Guys Missed

Peres Agreed to Palestinian State

Another secret Peres-Arafat agreement has been uncovered. The French Jewish weekly "Tribune Juive" revealed that in a meeting last spring, it was agreed that the establishment of a Palestinian state is inevitable and unavoidable in light of the Oslo agreements, and that Jerusalem would be a joint capital of both states.

Palestinians Building Third Mosque

Arutz Sheva has learned that Palestinian Authority employees are working feverishly to complete the construction of another mosque adjacent to the southern section of the Temple Mount. A restraining order has been served against the works, and municipal officials will visit the site to ensure that the orders are being honored.

Jerusalem Mufti Achram Sabari announced he will not honor the order issued by a Jerusalem court to halt the construction works being carried out by the WAQF at the Temple Mount. Palestinian employees are reportedly working feverishly to construct a third mosque at the site, which they plan to complete within a month, in honor of the Ramadan fasts.

Netanyahu Will Meet Clinton Today

By Deborah Tate (VOA-White House), Ron Pemstein (VOA-London)

President Clinton meets with Israeli Prime Minister Benjamin Netanyahu later today -- five days after the Israeli leader met with Palestinian leader Yasir Arafat. It will be Netanyahu's second visit to the White House since his election as prime minister last May, and it may be marked by a warmer tone than the first.

During that visit in July, the Israeli leader said he had no plans to meet with Arafat, even though the United States -- a co-sponsor of the Middle East peace talks -- had urged him to do so.

After Netanyahu's high-profile meeting with Arafat last Wednesday, it came as no surprise Clinton immediately welcomed the move as an indication the parties are willing to find peace.

But Netanyahu came under fire from his own Likud Party for meeting with Arafat, the man he had previously called "a terrorist."

The prime minister responded by defending the peace process while pledging to take a hard line in negotiations with the Palestinians. Netanyahu was elected on a vow to maintain Israel's security while searching for peace.

In a statement released last week, Clinton says he looks forward to reviewing progress in the peace process with Netanyahu.

Secretary of State Warren Christopher has met Israeli Foreign Minister David Levy in London, before today's meeting in Washington between Clinton and Netanyahu.

Christopher congratulated Israel on easing its economic blockade of Palestinians as a concrete step to build on the first meeting between Netanyahu and Arafat.

Israel has raised the number of work permits for Palestinians from 32,000 to 50,000. State Department officials say the United States would like further economic opportunities for the Palestinians.

Levy told reporters after their one-hour meeting, Israel still suffers scars from bombings earlier this year, blamed on Palestinians holding work permits in Israel. The foreign minister told Christopher Israel is putting together an economic package to help the Palestinians.

The secretary says the United States is trying to resume negotiations between Israel and Syria that were broken off before the Israeli election, but he gave no details.

Arafat Briefs Mubarak on Netanyahu Meeting

By Laurie Kassman (VOA-Cairo)

Palestinian Authority President Yasir Arafat briefed Egypt's president Saturday on his first meeting earlier in the week with Israeli Prime Minister Benjamin Netanyahu. The Palestinian leader warned that the slow pace of peace will fuel the extremists.

One of the most pressing issues for Arafat is the promised redeployment of Israeli troops from the West Bank town of Hebron. But his meeting Sunday with Israel's Defense Minister to pin down the timing of the move was postponed. The talks are now expected to take place sometime this week.

The Palestinian leader appealed to the European Union for help. Palestinians have been frustrated by the lack of progress in peace talks since Netanyahu was elected last May. Arafat says he warned the Israeli leader that the slow pace only helps extremists on both sides who want to sabotage the peace process.

Knesset Members to Visit Pollard Today

Three members of Knesset will be visiting Jonathan Pollard tomorrow in his South Carolina prison cell. The MKs are Gideon Ezra (Likud), Ofer Pines (Labor), and Yehuda Harel (Third Way). Pines said that this would be the first visit of MKs to Pollard, and that the composition of the delegation is a sign of the across-the-board support for his cause in Israel.

El Al Direct to Chicago

A spokesman for El Al Israel Airlines announced today that beginning Oct. 28, the company will commence direct flights to and from Chicago. The flights will depart from Israel twice a week on Mondays and Wednesdays, and continue from Chicago to Los Angeles.

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