JERUSALEM MEDIA REACTION (07/06): Abbas Calls for Cessation

UNCLAS SECTION 01 OF 03 JERUSALEM 001137

SIPDIS

STATE PASS BBG
STATE FOR NEA, NEA/IPA, NEA/PPD
WHITE HOUSE FOR PRESS OFFICE, SIT ROOM
NSC
CMC WASHINGTON DC FOR POLAD

JERUSALEM ALSO FOR ICD
LONDON FOR HKANONA AND POL - TSOU
PARIS ALSO FOR POL
ROME FOR MFO

E.O. 12958: N/A
TAGS: PREL KMDR KPAL KWBG KPAO IS
SUBJECT: JERUSALEM MEDIA REACTION (07/06): Abbas Calls for Cessation
of all Settlement Activities Before Resumption of Negotiations

--------------
Main Stories:
--------------
Al-Ayyam and Al-Hayat Al-Jadida front pages report on remarks by
Palestinian Authority (PA) President Abbas during the inauguration
of a new public park in Ramallah (July 5),that the PA will not
accept the continuation of settlement activities on Palestinian
land. Abbas called for a solution to the issue of the Palestinian
refugees, based on road map obligations, the Arab Peace Initiative
and UN Resolution 194. Abbas also added that the two-state solution
is the best mechanism for ending the Palestinian-Israeli conflict,
and all settlement activities must cease -- including "natural
growth." Abbas pointed that only then will negotiations resume
between the two parties. Regarding the national reconciliation talks
in Cairo, Abbas noted that the PA will fully support bringing an end
to the internal division and achieving national unity. Concerning
the Fatah 6th congressional conference, Abbas confirmed that the
conference will be held in Bethlehem on August 4.

Al-Quds, Al-Hayat Al-Jadida, and Al-Ayyam run front page coverage of
Israeli Prime Minister Benjamin Netanyahu's statements made during
the Israeli weekly cabinet meeting, in which he presented his
government's achievements during his first 100 days in office.
Netanyahu pointed out that he believes in the two-state solution.
However, he noted that his government will not stop settlement
activities, asserting that the Palestinians must recognize Israel as
a Jewish state as a precondition to any future agreement between the
Israelis and Palestinians. Netanyahu noted again that the issue of
the refugees must be resolved without resettlement inside Israel and
further that any Palestinian state has to be disarmed.

All dailies run front page coverage on comments made by US Vice
President Joe Biden, who stated that the US will not intervene to
stop Israel from conducting an attack against Iranian nuclear
facilities.

Al-Quds and Al-Ayyam report on the Jerusalem municipality's
endorsement of construction of 20 new housing units in the area
surrounding the Shepherds Hotel in Sheikh Jarrah, East Jerusalem.
Palestinian Authority experts on settlement issues condemned the
decision, contending that it jeopardizes the chances of establishing
a Palestinian state with Jerusalem as its capital.

Al-Ayyam and Al-Hayat Al-Jadida run front page coverage of two new
cases of swine flu in Ramallah, increasing to 61 the total number of
reported cases in the West Bank and Gaza.

Al-Hayat Al-Jadida reports that a number of Palestinian Legislative
Council (PLC) members protested in front of the PLC in Ramallah on
July 5, calling for the release of colleagues jailed by the
Government of Israel for more than 3 years.

Al-Ayyam's front page reports that the Palestinian Authority will
start paying salaries for civil servants of the PA working in the
West Bank and Gaza on July 6, despite the PA's current severe
financial crisis.

--------------
Weekend Stories:
--------------

Sunday, July 5:

Al Quds, Al Ayyam, and Al Hayat Al Jadida report on an announcement

JERUSALEM 00001137 002 OF 003


by Fatah Central Committee member Ahmad Qurei', that final steps
have been taken to convene the movement's sixth general conference.
The conference will take place on August 4 in Bethlehem, to be named
"the conference of the founding martyr Yasser Arafat." The number of
members included in the conference will be limited to 1550. Measures
are being taken to facilitate the travel of Fatah members from Gaza
and abroad.

Al Quds' front page reports that Palestinian legal sources revealed
a series of new Israeli decisions and laws related to the 'Holy
Basin' area to ensure Israeli control over the surroundings and
vicinity of the Old City of Jerusalem, including a network of parks
and roads encircling the Old City. According to the report, this
project is to be funded with over one billion dollars in Israeli
and Western financial support over the next four years.


Al Quds and Al Hayat both report that a Hamas source denies claims
that a heated argument occurred between senior Hamas figure Mahmud
Zahhar and Omar Suleiman, Chief of the Egyptian Intelligence Service
(EGIS),during the most recent round of the Cairo talks. The source
claimed that some parties are trying to disrupt relations between
Hamas and Egypt. The source also denied Hamas's accusation that
Egypt is biased towards Fatah .

Al Ayyam reports statements made by Dr. Zakariah Al Agha, member of
the Fatah movement Central Committee, that failure to reach an
agreement in the next round of unity talks will affect the
conducting of presidential and legislative elections on January 25,

2010. Dr. Al Agha further stated that "the failure to conclude
matters at the end of this current month, will cast doubts regarding
the timing of the presidential and legislative elections." Al Agha
indicated that issues of contention remained the same, despite some
progress, and stressed that the issue of political arrests was
accorded a lot of attention during the most recent round of
dialogue.

Saturday, July 4:

Al Quds, Al Ayyam, and Al Hayat Al Jadida include front-page reports
of statements made by President Obama calling for Palestinians and
Israelis to "fulfil their obligations" towards peace, in a letter
sent by the President to King Mohammad VI of Morocco. President
Obama is reported to have stressed the importance of negotiations
between Israelis and Palestinians, which would not succeed unless
both parties are committed to negotiations. For Israel, this means
halting settlement activities and removing checkpoints. For
Palestinians, this means enhancing their security forces and ending
to all incitement, as well as reforming their institutions for the
establishment of a Palestinian state."

Al Ayyam reports statements by western diplomats that in recent
discussions with leaders of Arab governments, the U.S. and its
Western allies tried to gauge the willingness of Arab governments to
remove some of the sanctions imposed on Israel if Israel stopped the
construction of Jewish settlements. According to the diplomats, the
positions of the Arab leaders were lukewarm and reserved.

Al Quds front page reports that information received by Israeli
military officials from American engineers working with the Egyptian
army that Hamas has dug tunnels that resist detection and
destruction by the Israeli army. According to Israeli assessments,
Hamas currently has hundreds of active tunnels under the Philadelphi
corridor despite Israeli air forces destroying around 200 tunnels

JERUSALEM 00001137 003 OF 003


during the war on Gaza in December 2008 and January 2009.

Al Quds, Al Ayyam, and Al Hayat Al Jadida report that Israeli
security agencies have recommended to the Israeli government that a
number of measures be taken to alleviate the situation for
Palestinians in the Gaza Strip, in an attempt to support efforts to
release the captured Israeli soldier Gilad Shalit. According to the
report in the Israeli daily Yediot Aharanot, the security agencies
recommend allowing the entry of certain products into the strip that
includes fuel, coffee, tea, and canned food.

Al Quds, Al Ayyam, and Al Hayat Al Jadida all reported on an
announcement by Bahrain that it sent an official delegation to
Tel-Aviv, in the first visit by Bahraini officials to Israel - a
country not recognized by the Kingdom of Bahrain. The Bahraini
delegation was sent to accompany five Bahrainis who were arrested in
the "Free Gaza" boat incident.
Friday, July 3:

Al Quds, Al Ayyam, Al Hayat Al Jadida ran extensive coverage of the
U.S. Independence Day celebration at the Consulate General in
Jerusalem (July 2). Al Quds and Al Hayat Al Jadida covered the
event on its front pages, with Al Ayyam reporting the event in its
inside pages. Photos of Consul General Jacob Walles delivering his
remarks were also included in Al Ayyam and Al Hayat Al Jadida.
Headlines emphasized Walles' affirmation of the importance of a
two-state solution, and President Obama's determination to achieve
peace between the Palestinians and Israelis.
--------------
BLOCK QUOTES:
--------------
1) Al-Quds editorial, "Israel tries to gain more time" (07/06):
"After the statements by the Israeli Prime Minister on not halting
any of the settlement activities, it is obvious to the US and the
international community that Israel is the real obstacle that
hinders the success of the peace process (and) all that Israel is
trying to do is to gain more time and mislead public opinion... the
US must now insist on the international peace conference with the
participation of all related parties so that Israel, [if it declines
to meet its obligations] can be accused of playing a negative role
in jeopardizing peace, security and order in the region."

2) Omar Hilmi Al-Ghoul, Al-Hayat Al-Al-Jadida, "What is still hidden
for Jerusalem" (07/06): "In light of the continued Israeli
violations and measures against the Judaization of Jerusalem, is
there any one to rescue the city? Would the Arabs think seriously of
punishing Israel and stop normalizing relations with her, would the
West and Obama's administration take a strict decision regarding the
settlements and the violations, would the West impose any pressure
on Israel other than the public announcements?"


WALLES