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Runaway colonel seen as spy for Israel

Israeli curbs stymie Palestinian economy: World Bank
Jerusalem (AFP) Sept 17, 2010 - The World Bank warned on Thursday that the Palestinians will be unable to build a viable state unless Israel lifts its restrictions that stymie private investment in the Palestinian territories. The economy of the West Bank and Gaza is expected to grow eight percent this year, but largely thanks to foreign aid, the Bank wrote in a report. The report's release coincided with the conclusion of two days of Middle East peace talks which a Palestinian official said "made no progress." "Unless action is taken in the near future to address the remaining obstacles to private sector development and sustainable growth, the PA (Palestinian Authority) will remain donor dependent and its institutions, no matter how robust, will not be able to underpin a viable state," the report said.

Among the obstacles to private investment in the West Bank caused by Israeli restrictions, the report listed the "severely curtailed" access to land and water, the unpredictability of access to Israel and the West Bank for investors, and the fact that the lucrative east Jerusalem market "is beyond reach." The Bank said it is still too early to assess the impact of the recent easing of Israel's blockade of the Hamas-run Gaza Strip, but added that in any case, "the impact on the private sector will be limited while the ban on exports continues." "Action can, and should be taken to remove the remaining obstacles to Palestinian private sector development," said Mariam Sherman, World Bank Country Director for the West Bank and Gaza. The report cited Palestinian Central Bureau of Statistics (PCBS) figures showing the economy in the West Bank and Gaza grew 11.5 percent in the first quarter of the year, compared with the same period in 2009.

In the West Bank, growth was about 10 percent and estimates indicate it reached 15 percent in Gaza. "The growth in Gaza has meant that, for the first time since 2005, per capita income increased in Gaza, whereas per capita income has been on the rise in the West Bank since 2006," the report said. While the main source of growth appears to be donor-funded government spending, another "important driver of growth has been the increase in the number of West Bank Palestinians employed in Israel and its settlements," it said. PCBS estimates show the number rose from about 70,000 in the first quarter of 2009 to nearly 83,000 in the same period this year. These include as many as 23,000 workers employed in Israeli settlements in the West Bank.

The issue of Jewish settlements is a major hurdle in the peace talks and Palestinian president Mahmud Abbas has threatened to walk out of the negotiations if Israel does not renew a partial ban on construction of settler homes in the West Bank that expires at the end of the month. The World Bank report also said unemployment fell in the West Bank from 15.9 percent in the second quarter of 2009 to 15.2 percent in same period this year, but it rose from 36 percent to 39 percent in the Gaza Strip. The report hailed what it said was progress on major reform initiatives, but said that despite the improved fiscal performance and expenditure control within budget ceilings, "the PA faces a shortfall in projected donor financing, possibly as high as 300-400 million dollars" (230-306 million euros).
by Staff Writers
Beirut, Lebanon (UPI) Sep 16, 2010
As tension mounts between Israel and the Iranian-backed Hezbollah militia, Lebanese authorities have launched a global manhunt through Interpol for a retired army colonel suspected of spying for Israel.

That's the latest twist in an espionage scandal that has sent political shock waves throughout a nation gripped by festering sectarian rivalries and led to the arrest of some 150 suspects. Five have already been sentenced to death by military tribunals.

The fugitive, Ghassan al-Jidd, was first publicly fingered by Hezbollah leader Hassan Nasrallah in August when he unveiled a list of alleged Israeli agents who hadn't figured in any disclosures by Lebanese authorities.

But al-Jidd, whom Nasrallah also suggested may have played a role in the 2005 assassination of former Prime Minister Rafik Hariri, Lebanon's leading statesman, is believed to have fled to Israel.

A half-dozen other suspects, including a serving army colonel, have also escaped to the Jewish state since the crackdown began in November 2008.

With Israel and Hezbollah ratcheting up their bellicose rhetoric, there are deepening fears that a new war is looming in the not-too-distant future.

That could account for the apparently massive effort Israeli intelligence has clearly mounted, particularly since the 2006 war between Israel and Hezbollah ended in a battlefield stalemate.

Hezbollah has been rearming heavily since that 34-day conflict and building elaborate defense lines that run from south Lebanon, cockpit of the conflict, to the Bekaa Valley in the northeast, Hezbollah's heartland.

Israeli leaders claim the powerful Shiite movement has more than 45,000 missiles and rockets, supplied by Iran and Syria -- nearly four times the number it had when the 2006 war erupted. These are believed to include several hundred weapons capable of hammering Tel Aviv and other strategic targets across all of Israel.

For Israel's Military Intelligence and the Mossad, its foreign intelligence service, their highest priority is locating the launching sites and underground bunkers where these weapons are stored so the air force and army commandos can knock them out quickly if war erupts.

The crackdown was apparently initiated by Hezbollah's security apparatus following the February 2008 assassination of the movement's iconic military chief, Imad Mughniyeh, in Damascus, Syria.

Hezbollah accused Israel. But although Mughniyeh had been a prime Mossad target for nearly three decades, he had many enemies and who was behind his assassination remains a mystery.

The continuing roundup of the spy suspects has been one of the biggest counterintelligence operations mounted anywhere in the world over the last six decades.

It has surpassed, in numbers at least, any espionage scandal that occurred during the Cold War.

One of the first to be arrested in this extraordinary counterintelligence coup was Adib al-Alam, a retired brigadier general of Lebanon's principal security agency, the General Security Service, locally known as the Surete Generale.

After he was apprehended April 10, 2009, with his wife and nephew, Alam confessed that he had been recruited by the Mossad as far back as 1982, when Israel invaded Lebanon to crush the Palestine Liberation Organization.

The most prominent catch was Fayez Karam, 62, a highly respected former army general who headed the military's counter-terrorism and counterintelligence unit during the 1980s.

Karam, arrested Aug. 2, was also a prominent member of the Free Patriotic Movement, a Maronite Catholic party that is a key Hezbollah ally.

Although he didn't have an official position in FPM, he was close to its leader, former army commander and Prime Minister Gen. Michel Aoun.

Even after nearly two years of one arrest after another, Karam's capture stunned the nation and left Lebanese wondering which of their leaders would be next.

Yet it had been clear for some time that the sheer scale of the network underlined just how deeply the Israelis had been able to penetrate all levels and branches of Lebanese society.

The Israeli network covered the entire spectrum of sects and political doctrines, Muslims and Christians, the high and the low, security officials and businessmen, politicians and humble artisans.

The security services have been a particular target. The suspects include two former generals and at least four serving army colonels.

Nasrallah echoed the alarm of many Lebanese when he asked in a recent speech, "How many more spies do we have in this country?"



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