
National
Security Council is approved
ARUTZ7 3/8/99: "The Cabinet unanimously approved yesterday the Prime Minister's
proposal to create a National Security Council.
The council will serve as a coordinating and supervisory body on matters of national
policy, and will operate as an arm of the Prime Minister's Office. Maj.-Gen. (res.) David
Ivry will chair the Council and serve as national security advisor; Netanyahu said that
there is no one in Israel who is more qualified than Ivry to hold the position.
The Prime Minister told the Cabinet, "The need to create a National Security
Council has been repeatedly raised by various parties - including commissions of inquiry,
statesmen, military officials, academics and the Knesset - over the past 25 years...
We are moving into an economic world where national security strength is directly
influenced by economic and technological power. These are two important dimensions which,
in the past, have not been addressed in an organized and expanded fashion."...

Deri decision
ARUTZ7 3/8/99: "The verdict in the trial of Shas MK Aryeh Deri will be handed down
on Wednesday of next week. The judges rejected Deri's request to postpone the verdict
until after the Knesset elections."
No charges will be filed against former Netanyahu-aide Avigdor Lieberman. It had been
claimed that Lieberman, who has started his own political party named Yisrael Beiteinu,
borrowed funds from a non-profit association which he did not repay. The file was closed
for lack of evidence.
Yisrael Bundak, who allegedly called for the murder of MK Yossi Sarid in the framework
of a Purim skit over Kol HaMizrach radio last week, was charged today. He is accused of
encouraging violence that could lead to murder, and similar charges.

Desalinating water
ISRAEL LINE 3/8/99: "Plans for desalinating sea water in Israel got their first
green light on Sunday when the Cabinet instructed the ministries of National
Infrastructure, Agriculture and Finance to begin laying the groundwork for the project,
HAARETZ reported. The executive body voted down a proposal by Foreign and National
Infrastructure Minister Ariel Sharon and Agriculture Minister Rafael Eitan to provide
funding this year for a plan that would have made desalination possible by the start of
the millennium.
Instead, it voted in favor of a slower approach advocated by the Finance Ministry.
Sharon and Eitan argued that Israel will be facing a shortage of fresh water within a few
years and asked for approval of a plan that would have aimed to desalinate some 50 million
cubic meters of water a year in the first five years of the next decade. But the Cabinet
adopted the position of the Treasury, which argued that moving toward desalination now
would cost taxpayers some $200 million."

Arens speaks on peace with Syria
THE JERUSALEM POST 3/9/99: "As the United States moves to revive the stalled
Israeli-Syrian peace talks, Defense Minister Moshe Arens said yesterday that the only way
Damascus will make peace is if Israel withdraws from the entire Golan Heights. He is
against paying that price.
"This is my position. There is no chance of reaching agreement with Syria without
totally conceding the Golan Heights. That is the price. There are those who are ready to
pay it. I think that this is a price we should not pay. I don't think the Syrians should
be allowed to come down to the water line," Arens told military reporters in his
office yesterday.
US Assistant Secretary of State Martin Indyk is to meet with Syrian President Hafez
Assad in Damascus on Sunday, reportedly to discuss the resumption of peace talks after the
elections here.
Indyk's Middle East sweep will apparently not include Israel. Reiterating what he told
The Jerusalem Post last week, Arens said that Israel is reexamining the Grapes of Wrath
understandings and looking at alternatives that will allow the IDF to benefit from its
might.
He noted that while Lebanon has the trappings of an independent state, it is controlled
by Syria. "Nothing happens there if Syria doesn't want it to happen," Arens
said...Indyk plans to hold meetings in Turkey, Syria, Jordan, and perhaps Morocco.
Officially his trip is to focus on issues pertaining to Iraq and the Iraqi opposition,
but US officials said it is expected he will take the opportunity to discuss Lebanon and
the peace process..."

Arutz 7 and High Court drama
THE JERUSALEM POST 3/9/99: "Both sides claimed victory yesterday, as the High
Court of Justice issued an injunction against implementation of the law legalizing Arutz
7, but declined to temporarily repeal the measure.
Justices Theodor Orr, Dorit Beinish, and Tova Strasbourg-Cohen gave the sides 14 days
to prepare their arguments in writing regarding the petitioner's main demand - repeal of
the Bezeq Law amendment which retroactively legalized Arutz 7 and all other pirate radio
stations which have been broadcasting at least five years and reach most of the country.
The justices added that, because of its importance, they would ask Supreme Court
President Aharon Barak to expand the panel of justices dealing with the case.
It is one of the few times the court has been asked to rule on the legality of a law
passed by the Knesset. "The court prevented the implementation of the law," said
MK Haim Oron (Meretz), one of the six petitioners.
"It said it wouldn't allow it to be carried out for the time being. The
substantive issue, which is very problematic, very constitutional, will be aired during
the hearings on the petition itself."
MK Zvi Hendel (National Religious Party), who initiated the amendment in the form of a
personal addition to the Budgetary Arrangements Law, said the court "will discuss the
law in two weeks, as we requested. It did not repeal it, as the petitioners had
requested."...

Software buy-out big business
THE JERUSALEM POST 3/9/99: "BMC Software, a systems-management solutions provider
based in Houston, Texas, has bought Tel Aviv-based New Dimension Software, a specialist in
enterprise management, for more than $650 million in cash, making it the largest deal of
its kind in Israel's history, New Dimension said yesterday.
New Dimension, which is traded on NASDAQ and saw sales of $93.6m. in 1998, signed a
share purchase and tender agreement to be acquired by BMC, the world's 12th largest
independent software vendor, at a price of $52.50 per share...
BMC, the industry leader in delivering application service assurance solutions, expects
in the wake of its latest acquisition to gain a major center for software development and
a significant presence in Israel.
The company also became a major player in the enterprise management industry...BMC
would be joining a number of leading hi-tech companies, such as IBM, Intel and Microsoft,
that have already established significant operations in Israel, added Watson. He said the
company plans to maintain and expand New Dimension's Israeli operations..."

HA'ARETZ 3/9/99: "The phrase "for the first time in 20 years" is getting
a lot of play among Iran-watchers, as President Mohammed Khatami chips away at the
monolith of Islamic Orthodoxy built by Ayatollah Ruhollah Khomeini and fortified by his
successor, Ayatollah Ali Khameni - Iran's supreme spiritual leader.
Today, Khatami begins the first visit to the West by an Iranian head of state since the
1979 Islamic revolution. Khatami first breached the ideological firewall his country had
constructed to separate itself from the West in January 1998, when he spoke of a
"peace between cultures" during a television interview with CNN reporter
Christiane Amanpour.
Today, he begins implementing that peace, in Italy. Italy, and not France - because
Khatami is due to become the first president of Iran to meet with Pope John Paul II, the
leader of one billion Roman Catholics who has urged greater understanding between
Christians and Moslems.
Khatami, a student of Western philosophy, is expected to use the visit to develop his
idea of a "Dialogue of Civilizations," including a fresh discourse between Islam
and Christianity.
But with all due respect to Khatami's cultural peace mission, he still has a country to
run, and his country is strapped for cash.
And, last week, Rome did its part to help out Tehran - with Italian energy group ENI
and French oil giant Elf-Aquitaine signing a $1 billion deal to develop Iran's offshore
Doroud oilfield, expected to raise output of crude oil to 220,000 barrels a day.
Italy and France expect the United States to waive sanctions against the deal. American
sanctions legislation requires Congress to fine any company which transacts serious
business with Iran, but Congress has so far turned a blind eye to the deal.
U.S. President Bill Clinton led by example, after all, when he found a loophole to
allow a $2 billion deal with Iran signed by the French company Total, Russia's Gazprom,
and Malaysia's Petronas in 1997..."

PA violations on Palestinians
AP 3/8/99: "Human rights complaints from Palestinian citizens against Yasser
Arafat's Palestinian Authority nearly doubled in 1998, a human rights group said Monday.
The Palestinian Independent Commission for Citizen's Rights dealt with 825 cases in 1998,
up 97 percent from 1997, according to its annual report released Monday.
Half the complaints were against Palestinian security forces, while others dealt with
various government ministries and the attorney-general's office. Haidar Abdel Shafi, the
human rights group's commissioner, blamed the increase on the absence of a constitutional
system of checks and balances.
A basic law, or constitution, that would limit Arafat's authority was drafted by the
Palestinian legislative council, but the Palestinian leader has not signed it. "Power
is in the hands of one man, and if we want progress we have to set the laws and separate
the powers," Abdel Shafi said...
Ali Jirbawi, the director-general of the commission, said one positive development was
the increased cooperation his group has received from Palestinian officials. However, full
cooperation has still not been achieved, he said, and requests by the group to visit
political detainees have been rejected."