Sorry Hassam, terror started long before 1954. Terror started when local Arabs in Palestine did not want Jews to legally purchase more land. In the mid to late 1800's Jews where legally purchasing land in Palestine which was under Ottoman rule. As Jews increased the legal purchase of land the local Arabs did not like what was happening and they began attacking Jews. And here we have the birth of terrorism in the Middle East. There were no settlements when they started their terror attacks on Jews, only legal purchase of land. It was only after a sustained period of terror that Jews were left with no option but to create settlements as purchasing of land became almost impossible. An added sad point about the Lavon affair was that it took way too long for the MI to come to the support of some of the families, especially the family of Max Benneth.
Manhunt in Memphis, Tennessee continues after officer, 33, fatally shot (AP)
from the article: MI figures out what went wrong in Lavon affair - 55 years later