"Israeli presence and `occupation` in any of these places is not at all illegal under international law, and Kofi Annan admitted as much. Israel is permitted to remain in all of these places indefinintely pending a final agreement on their status." Kofi Annan was talking about the military presence and military occupation. Absolutely not about the profiteers of the occupation.
Israeli soldier collapses, dies from heatstroke during visit to Jerusalem's Old City (Haaretz)
from the article: Misuse of the army