
Assad sick?
HA'ARETZ 10/14/99: "Syrian President Hafez Assad's health has
deteriorated lately and he has weakened, although he still rules
the country, the chief of IDF intelligence, Major General Amos
Malka, told the cabinet yesterday. Malka did not provide a
medical diagnosis of Assad's illness. According to Malka, some
think that Assad does not wish to open negotiations with Israel
because of his illness; he fears that Syria would find itself in
a dangerous situation if the talks drag on. He is therefore
willing to start a dialogue only if his demands are met in
advance.
Malka added that Assad was awaiting the recovery of his
foreign minister, Farouk a-Shara, who underwent open heart
surgery last week, to examine the possibility of renewing talks
with Israel. However, Syria is only willing to make peace "on its
own conditions," which, according to the intelligence evaluation,
include an Israeli withdrawal from the Golan Heights to the June
4, 1967 lines; security arrangements "with an element of
symmetry"; continued Syrian control of Lebanon; and U.S.
financial aid.
According to Malka, the harsh stance presented by Syria as a
condition for renewing the talks with Israel have several causes:
--Assad cares about his personal prestige and does not wish to
appear as giving in to Israel.
--Syria is competing for the
leadership of the Arab world and must maintain its national
pride.
--Fear of undermining Syria's interests in Lebanon.
Malka said that the Syrian regime is stable, and that Assad's
son, Bashar, has a good change of succeeding his father, "but as
is always the case in the Arab world, everything is subject to
change." According to Malka, the power struggles between Bashar
and the factions loyal to Rifat Assad, the president's brother,
"are under control" and do not endanger stability in Syria.
Participants in yesterday's meeting understood from Malka's
report that he believed it impossible to reach a separate
arrangement in Lebanon independent of an overall agreement with
Syria. Prime Minister Ehud Barak promised the ministers that
programs for the army pullback from Lebanon will be presented and
discussed in the next cabinet meeting..."

Terrorist attacks imminent?
ARUTZ7 10/13/99: "The Security Cabinet convened this morning to
discuss the intelligence warnings of possible terrorist attacks
being planned by Islamic organizations. Hizbullah, Hamas, and
the Islamic Jihad were discussed. Prime Minister Barak, visiting
the northern town of Carmiel yesterday, repeated his warning that
terrorist organizations may strike in Israel or around the world.

Murderer's pardon reversal
ARUTZ7 10/13/99: "The Supreme Court, in a precedent-setting
ruling, nullified a Presidential pardon given to a murderer six
years ago. The late President Chaim Herzog pardoned convicted
murderer Ezra Shamsi, after the latter presented medical papers
showing that he was on the verge of death. The State Prosecution
appealed the decision, after it became clear that the papers were
fraudulent. Shamsi was returned to prison this morning after six
years of undeserved freedom."

Prince Hassan surprise visit
THE JERUSALEM POST 10/14/99: "Jordan's Prince Hassan will make a
surprise visit on Sunday for an international conference to mark
the fifth anniversary of the Jordan-Israel peace treaty, The
Jerusalem Post learned last night.
Jordanian participation at the
event at Tel Aviv University had been thrown into doubt by the
chill in relations after settlers heckled 20 Jordanian
legislators, including the parliament speaker, in an incident at
Hebron's Machpela Cave on Saturday. Hassan will deliver the
keynote address at the opening of the two-day conference
organized by the Yitzhak Rabin Center for Israel Studies, sources
close to the organizers said.
Former Jordanian prime minister
Abdel Salam Majali was originally scheduled to give the address,
but his participation had already been in doubt for scheduling
reasons before the heckling incident. Jordan on Monday asked
Israel to postpone a scheduled visit by Industry and Trade
Minister Ran Cohen, seen as a protest on behalf of the
parliamentarians..."

Why Wye aid?
THE JERUSALEM POST 10/14/99: "If the US Congress does not approve
the aid pledged by the Clinton administration under the Wye
accord, the peace process with the Palestinians could suffer,
Prime Minister Ehud Barak warned last night. "Without such aid,
it will be more difficult to move forward to the most crucial
stages of the peace process," Barak said. Speaking at a Knesset
dinner for the Prime Minister's Mission of United Jewish
Communities of the Federations of North America, he called on the
delegates to make their voices heard in Congress. "We have to
make sure the American people understand that the aid that was
pledged to Israel as part of the Wye River agreement is vital to
the peace process," he said. "Without Wye aid and the sustained
support of the American people for this process, I cannot
guarantee that peace will be a reality soon enough" He added that
"at the and of the day, war is more costly than peace."
Last
week, Congress narrowly passed the foreign operations
appropriations bill, which excludes some $2 billion in funding
sought by Clinton, including the funds designated to implement
the Wye agreement."

Citibanking in Tel Aviv
THE JERUSALEM POST 10/14/99: "The Bank of Israel yesterday
approved a request from Citibank to open a full-service branch in
Tel Aviv. Insiders estimate that the bank should be fully
functional within a few months. Citibank has had a representative
office in Tel Aviv since 1996. While a representative office is
only permitted to refer customers to its other branches, a
full-service bank can provide all banking needs.
Central bank
Governor Jacob Frenkel was instrumental in getting Citibank
management to apply for the bank, with Prime Minister Ehud Barak
getting involved in the last few weeks. Citibank's decision was
made shortly after senior officials met with Frenkel during his
recent trip to Washington for the International Monetary Fund's
annual conference.
Citibank's decision can be interpreted as an
indication of further progress for the Israeli economy's
liberalization, stability, commitment to reduce inflation,
integration into the world's economy, as well as, perhaps,
progress in the peace process. The representative office was
established shortly after the signing of the Oslo Accords.
Citibank's bank in Tel Aviv is slated to become a branch of
Citibank New York, one of dozens of members of Citicorp..."

Prisoners' deal
THE JERUSALEM POST 10/14/99: "Israel will release 151 Palestinian
prisoners early tomorrow morning after both sides resolved a
dispute about who should be on the list to go free, Palestinian
officials said yesterday. The second prisoner release mandated by
the Sharm e-Sheik agreement was to have taken place on October 8,
but was postponed when the sides could not agree on who was to be
released. The delay came after the Palestinians insisted on
including prisoners jailed for killing Israelis, something Prime
Minister Ehud Barak has repeatedly said he will not countenance.
It was not clear what the compromise was, although Palestinian
negotiators had said Tuesday night the Israelis were close to
accepting the release of a number of Palestinians who killed
Israelis. Neither side would say who was included on the new
list. A statement from Internal Security Minister Shlomo
Ben-Ami's office confirmed the release, and said the list was
approved by the relevant government ministries.
The Prime
Minister's Office issued a statement saying: "An agreement in
principle has been reached on the list of prisoners. The
objective is to carry out the release toward the
weekend.
"...Among those being released, he said, are members of
Hamas and Islamic Jihad and 40 prisoners from Arab countries,
such as Egypt, Jordan, and Iraq. Sufian Abu Zeideh, a member of
the prisoner committee, said that the Palestinians are pleased
with the compromise. A Palestinian Authority source said the
General Security Service had made the compromise possible,
because it supported the release of pre-Oslo prisoners who have
some blood on their hands, meaning those who had seriously
wounded Israelis..."

Disney controversy goes on
THE JERUSALEM POST 10/14/99: "The controversy over Israel's
exhibit at Walt Disney World refuses to fade away. Palestinian
Authority Chairman Yasser Arafat got into the fray yesterday,
when an Arab League spokesman in Cairo said Arafat had said that
Disney had approved a Palestinian exhibit at the Millennium
Village at Epcot Center.
A Walt Disney World spokesman dismissed
the report, saying that no such contacts have been made. "We have
always been open to hear from any potential sponsors or
exhibitors at Epcot," Disney's Bill Warren said, but added,
"There have been no discussions with our company."
Following the
October 1 opening of the Israel Pavilion at Epcot, Arab American
organizations had called for Disney to approve a Palestinian
exhibition. The Israeli exhibition focuses almost entirely on the
city of Jerusalem. Before the exhibit opened, the Arab League and
many Arab organizations protested what they called the depiction
of the city as Israel's capital. Foreign Ministry officials
insist there never were any such references.
Hussein Ibish, the
communications director of the Washington-based American Arab
Anti-Discrimination Committee, acknowledged that the Arab League
statement had been premature, but insisted that intense
discussions are under way with Disney. "There are fruitful
ongoing discussions between Disney and interested parties," Ibish
said. "I believe there is a willingness there, and I believe the
funds will be found. But if Disney wants to be discreet about it,
that's fine."..."