Subscribe to Print Edition | Wed., June 18, 2008 Sivan 15, 5768 | | Israel Time: 06:27 (EST+7) web haaretz.com   Back to Homepage Rosner's Domain Diplomacy Defense Jewish World Opinion National Print Edition Car Rental Books Peres Conference Business Real Estate Easy Start Travel Week's End Anglo File

Last update - 12:51 10/06/2008 Palestinians: Israel transfers delayed tax money, but millions missing By Barak Ravid and Avi Issacharoff, Haaretz Correspondents and the Associated Press Tags: economy, PA, Salam Fayyad  Israel transfered vital tax funds to the Palestinian Authority Tuesday, after holding up the money for a week, a Palestinian offical said. The transfer was delayed after Palestinian Prime Minister Salam Fayyad called on the European Union and OECD (Organization for Economic Cooperation and Development) not to upgrade their relations with Israel. Yusuf Zumor of the Palestinian Finance Ministry says the $54 million arrived on Tuesday. But he says an additional $20 million is missing. Zumor says Israeli officials didn't say why they cut the amount. Advertisement Israel said it would deduct some NIS 70 million from the PA's money to cover debts. A senior Israeli official blasted Fayyad, saying: "He stabbed Israel in the back." Relations between Israel and the PA have been tense in the last few days due to Israel's withholding the Palestinians' tax money. Holding up the money has caused several days' delay in paying wages to some 150,000 Palestinians employed by the PA. An Israeli source said Israel had suspended the transfer because of two letters Fayyad had sent the EU and OECD, urging them to reconsider upgrading their relations with Israel, in view of its actions in the territories. Fayyad accused Israel of violating international law by continuing to build settlements, ignoring the International Court of Justice's ruling about the separation fence and infringing on the human rights of tens of thousands of Palestinian laborers. Israel sees its joining the OECD and upgrading relations with the European Union as enormously important, as they are expected to yield future gains of billions of shekels. Finance Minister Roni Bar-On heard of Fayyad's letters and reported this to Prime Minister Ehud Olmert and Foreign Minister Tzipi Livni. Israel is furious with Fayyad, officials said. "We go toward him and try to comply with every request he makes, and he goes and acts in such a contemptible way," a senior official said. "We permitted an additional 5,000 Palestinian workers to enter Israel, contrary to the defense establishment's recommendations, and he says we're infringing on their rights. This is unacceptable," the official said. Olmert broached the subject at his meeting with PA chairman Mahmoud Abbas Monday of last week. "This act is not in keeping with the present relations between Israel and the PA," Olmert told Abbas. "I strongly protest against it," he said. An Israeli source who attended the meeting said Abbas "fumed" at Fayyad's letters and said he had no part in it. Bar-On, who authorizes the PA's tax transfer every month, instructed treasury officials to reexamine the Palestinian debt balance to Israel. During the examination, which took a few days, no money was transferred to the PA. When treasury officials found that the PA owed NIS 70 million to the Israel Electric Corporation and Health Ministry, Bar-On told them to deduct these sums from the Palestinians' tax money. Following the Palestinians' complaints, United States Ambassador in Israel Richard Jones asked senior Finance Ministry officials for explanations. The officials told him they did not accept Fayyad's "double standards." "We're not an unfeeling ATM," one official told him. "We too are permitted to get angry when such scummy things are done to us." Palestinian Foreign Minister Riyadh al-Maliki said Israel decided to withhold the money as "a punitive act because of the [Palestinian] government's responsible national stance." Fayyad himself said in private conversations that it was clear to him that Israel was penalizing the Palestinian Authority in view of his firm positions against Israel on various issues, which he presented to the European Union. Bookmark to del.icio.us   Religious pressure Tel Aviv supermarket chain agrees gradual Shabbat closure. Overgenerous diplomacy UN envoy: Israel has given Syria a 'huge gift' for free.   1.   irresponsible national stance 15:13  |  Shlomo 10/06/08   2.   Palestinians: Israel delayed tax money, millions mi 15:56  |  Voice of Reason 10/06/08   3.   No surprises here,after all israel robs the Palestinians one way 17:08  |  lakshmi 10/06/08   4.   Take all our money and give us our Freedom ! 17:24  |  Khalid 10/06/08   5.   Why worry about the $20 million? 17:36  |  Sam C 10/06/08   6.   NOW PAY YOUR DEBT TO THE JEWS 18:26  |  RW 10/06/08   7.   RW 18:47  |  ClearCut 10/06/08   8.   Withhold enough PA tax money to pay for.. 19:19  |  David 10/06/08   9.   Money isn`t missing 19:53  |  * BEN JABO 10/06/08   10.   Deduct money for terror damage 21:35  |  MR 10/06/08   11.   #4 Khalid 21:40  |  MR 10/06/08   12.   Let`s just call it a co-pay for intentional damages 03:54  |  * BEN JABO 11/06/08   13.   #12 It is illegal, BEN 08:31  |  Johnboy 11/06/08   14.   #13 Johnboy - Israel doesn`t occupy Gaza 15:46  |  * BEN JABO 11/06/08   15.   Damages 16:36  |  MazalUK 11/06/08   16.   #14 BEN JABO dissembles..... 04:23  |  Johnboy 13/06/08   17.   #16 Johnboy - You`re the sad one 16:50  |  * BEN JABO 13/06/08   18.   #17 Johnboy - I see you went back into your gopher hole 15:31  |  * BEN JABO 15/06/08   19.   #18 Johnboy - You`re like an Arab tank 19:26  |  * BEN JABO 15/06/08   20.   #16 BEN JABO covers his ears and mutters to himself 06:28  |  Johnboy 16/06/08   21.   #20 Johnboy has returned 13:52  |  * BEN JABO 16/06/08   22.   #21 Read the Regulations again, BEN JABO 04:37  |  Johnboy 17/06/08   23.   #22 Johnboy fails to understand 07:01  |  * BEN JABO 17/06/08   24.   #23 Man, that`s bad even by your standards, BEN 08:57  |  Johnboy 17/06/08   25.   #24 Johnboy - No sense in continuing 22:45  |  * BEN JABO 17/06/08   26.   #25 Why not simply admit your argument is a crock`o`shit, BEN 04:06  |  Johnboy 18/06/08

Read & React UN envoy: Israel has given Syria a 'huge gift' for free Responses: 142 Nazi sheltered by Austria as too ill for trial, seen enjoying Euro 2008 Responses: 109 IAF kills 6 in Gaza strikes, including gunmen linked to Shalit kidnap Responses: 145 Defense Minister Barak: It is too early to declare calm in Gaza Responses: 80 Israeli sources: Hezbollah deal possible next week Responses: 66 Rosner's Domain Guests: Weak relationship between later marriage and intermarriage To Republicans Iran's a threat, to Democrats not so much (WTR) Dovish Jewish lobby endorses seven candidates Poll: Cease fire in Gaza is an achievement for... Obama, McCain aides agree: Israel, U.S. must discuss strike on Iran More Headlines 02:58 Hamas, Egypt back Gaza truce, Israel yet to confirm deal 05:12 Meshal: Any Israeli violation of deal would not go unanswered 05:09 Czech leader pledges to advance EU-Israel relations 03:25 Syrian official predicts peace with Israel will produce harmonious Mideast 01:57 Syria lacks skills, fuel for nuclear facility, says ElBaradei 02:44 Civil Administration officials indicted in West Bank land steal 05:49 Holocaust survivors from former USSR denied reparations 02:59 ANALYSIS / Cease-fire deal means Hamas is in charge 05:23 New detection tool pinpoints virus behind cervical cancer 06:16 Katsav could face civil suits over sexual assault charges 23:27 Sex and the Old City / Star of hit TV show Kristin Davis makes first visit to Jerusalem 02:56 Will Olmert and Assad be sitting together at the same table? 22:22 Poll: Ashkenazi Israelis more content with their wages than Sephardis Previous Editions Select Day 17 jun 16 jun 15 jun 13 jun 12 jun 11 jun 10 jun 09 jun 08 jun 06 jun 05 jun 04 jun

Special Offers Advertisement Holyland Park Jerusalem Apartment Tower World Class Luxury In the heart of Tel-Aviv The Meier on Rothschild tower Jerusalem of Gold Luxury apartments in Jerusalem's finest location Your vacation starts here Israel Travel Center Guaranteed Lowest Rates Istudy Learn Hebrew in 3 months Pardes Institute Summer Sessions http://www.pardes.org.il/ Free the Palestinians from: Corrupt Kleptocracy, Tyrannical Theocracy, Abysmal Anarchy Fattal Hotel Chain Perfectly located hotels on best resorts of Israel. ISRAEL BONDS Build Israel Israel bonds - a multi-purpose way to celebrate Israel's 60th Eldan Rent a Car Israel's leading car rental company offers you a 20% discount on all online reservations Junkyard Junk a car - get free towing nationwide and a tax-deductible receipt

Home | TV | Print Edition | Diplomacy | Opinion | Arts & Leisure | Sports | Jewish World | Underground | Site rules |

Real Estate in Israel | Travel to Israel with Haaretz | Hotels Israel | Restaurants Israel | Tourist attractions Israel | Shops Israel

birthright Israel

Haaretz.com, the online edition of Haaretz Newspaper in Israel, offers real-time breaking news, opinions and analysis from Israel and the Middle East. Haaretz.com provides extensive and in-depth coverage of Israel, the Jewish World and the Middle East, including defense, diplomacy, the Arab-Israeli conflict, the peace process, Israeli politics, Jerusalem affairs, international relations, Iran, Iraq, Syria, Lebanon, the Palestinian Authority, the West Bank and the Gaza Strip, the Israeli business world and Jewish life in Israel and the Diaspora.

© Copyright  Haaretz. All rights reserved