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Israel Line

15 Nov 2004
* Submarine Entered Israeli Waters
* Shalom: Post-Pullout Talks Possible if New PA Leaders Fight Terrorism
* Fatah Gunmen Storm Arafat's Mourning Tent, Kill Two of Abbas' Bodyguards
* Turkish Jews, Muslims Mark First Anniversary of Istanbul Bombings
* Other News in Brief
* Economic & Hi-Tech Briefs

Submarine Entered Israeli Waters
The Israeli Navy said today that it believes the submarine detected last week inside Israel's territorial waters off the shores of Nahariya belongs to a Western navy, THE JERUSALEM POST reported. Overnight on November 9-10, the Navy detected a submarine off the northern coast of the country, after it had penetrated two nautical miles into Israel's territorial waters, about 11 miles from shore.
Military sources said today that the submarine had probably been on an espionage mission, but that it could also have "strayed" into Israeli waters before it was detected. Navy defenses detected a "submerged" object, which they later classified as a submarine, but sources refused to reveal further details about its size. Israel's Navy immediately dispatched surface vessels to intercept the submarine. The Navy's 'Satil' and 'Dabur' boats could not reach their target in time, and the submarine slipped out of Israeli territorial waters before the confrontation. The IDF reacted to the penetration of Israel's territorial waters as a "hostile act". Helicopters and other measures were also deployed in the hunt for the submarine. "The main thing is that it was detected, and therefore it failed in its mission," a senior military officer said.

Shalom: Post-Pullout Talks Possible if New PA Leaders Fight Terrorism
Minister of Foreign Affairs Silvan Shalom said Israel would be able to negotiate with the new Palestinian leadership about the post-disengagement period, if it fights terror, Israel Radio, KOL YISRAEL, reported. Shalom made this comments while speaking to the General Assembly of the North American Jewish Federations that takes places this year in Ohio. Shalom told the GA delegates that Israel would not attempt to determine who leads the Palestinians. Shalom is due to meet in Washington with U.S. Secretary of State Colin Powell this evening.
Meanwhile, Minister of Defense Shaul Mofaz discussed in Jerusalem on Sunday possible ramifications of Yasser Arafat's death. He proposed giving the Palestinians time to organize themselves for elections. Mofaz added that he hoped the elected Palestinian would become a partner for dialogue with Israel. The defense minister said the Palestinians would find in Israel a willing partner for negotiations. Mofaz also addressed the question of whether eastern Jerusalem Arab residents would be permitted to vote in the Palestinian elections, saying Israel would try its utmost to respond to Palestinian democratic needs.

Fatah Gunmen Storm Arafat's Mourning Tent, Kill Two of Abbas' Bodyguards
Fatah gunmen stormed a tent set up for the mourners of Yasser Arafat in Gaza City on Sunday evening and opened fire to protest against the presence in the tent of PLO Head Mahmoud Abbas and former security minister Muhammed Dahlan, THE JERUSALEM POST reported. Two Palestinian policemen - who were among scores of security officers guarding Abbas and Dahlan - were killed in the ensuing gun battle, which lasted for more than 10 minutes. Abbas was unhurt, but his bodyguards threw him to the ground as the shooting intensified.
Palestinian security officials revealed today that this was not the first incident of its kind to erupt in the Gaza Strip since the death of Arafat last week.
The Sunday attack occurred shortly after Abbas and Dahlan arrived at the tent to receive condolences for the death of Arafat. Eyewitnesses said a group of 30 gunmen, clad in green and belonging to one of Fatah's splinter groups, raided the tent while chanting, "Abbas, Dahlan, go away, you American agents." The gunmen, who were not masked, also chanted slogans in praise of Arafat.
"When they came close to Abbas, some of them opened fire from their automatic rifles," said a Palestinian journalist who was in the area. In addition to Abbas and Dahlan, a large number of senior Palestinian officials were inside the tent when the gun battle erupted. They included General Musa Arafat, overall commander of the National Security Forces in the Gaza Strip; General Amin al-Hindi, head of the General Intelligence; Saeb al-Ajez, commander of the Civil Police; and Nasser al-Kidwa, the PLO's representative to the UN, who is a nephew of Yasser Arafat.
 
Turkish Jews, Muslims Mark First Anniversary of Istanbul Bombings
Turkish Jews and Muslims cried in the rain and recited prayers of mourning today as they marked the first anniversary of suicide bombings that struck two Istanbul synagogues in attacks blamed on a local Al-Qaida cell, HA'ARETZ reported. Some 60 people were killed on Nov. 15th, 2003 in attacks on the Neve Shalom and Beth Israel synagogues and in similar attacks five days later on the British Consulate and a London-based bank. Most of the dead were Turkish Muslims.
Today local officials, religious leaders, and family and friends holding photos of the victims laid red and white carnations on the streets where the suicide truck bombers detonated their explosives. A ceremony was held outside each synagogue and about 100 people attended each service.
"We're here today to show our national unity," Silvyo Ovadya, president of Turkey's Jewish Community, said at the memorial services. "Those who aimed to hurt Turkish Jews actually hurt Turkey." Outside Neve Shalom, Nermin Sahin, whose son Murat, a Muslim shopkeeper was killed, loudly shouted, "damned be the terrorists who killed my son."
Turkish prosecutors have said that Osama bin Laden suggested targets for an attack in Turkey and that his al-Qaida network later funded the Turkish Islamists who carried out the attacks.

Other News in Brief
* Chief of Staff, Lt. Gen. Moshe Ya'alon, has decided to appoint Brig Gen. Aviv Kohavi as the next Israel Defense Forces commander in the Gaza Strip, MA'ARIV reported. Kohavi, 40, will replace Brig. Gen. Shmuel Zakai who was discharged last week after failing a lie-detector test regarding leaks to the press. Kohavi, a former commander of the Paratroopers Brigade and a reservists' division, is considered one of the most respected commanders in the IDF.

* The Quartet - the United States, European Union, United Nations, Russia - will lead the efforts to help the Palestinian Authority organize their January 9th, 2005 elections, improve its security forces and crack down on terrorism, Israel Radio, KOL YISRAEL, reported. U.S. officials said the immediate priority is to get funding, monitors and technical assistance to the Palestinians in order to elect Arafat's successor. The officials said that Israel was also being asked to take steps that would make the elections easier to hold. The steps would include pulling the army out of certain Palestinian population centers.

Economic & Hi-Tech Briefs
* Michigan-based Perrigo signed an agreement to merge with Agis Industries, making the Israeli company a wholly owned subsidiary, HA'ARETZ reported. The deal, one of the largest buyouts of an Israeli company ever, will close at $29.87 per Agis share more than 21 percent higher than its market price. The price reflects a total value of $900 million for Agis, a generic drug maker that specializes in skin ailments and raw materials. Perrigo is the largest private label over-the-counter medicine and food additive maker in the United States, with factories and logistics centers across the country, as well as in England and Mexico.

* Hadassah Medical Center is planning to create a biotech park in partnership with the Hebrew University, THEMARKER.COM reported. The park will function as a greenhouse for life sciences startups. Hadassah and the Hebrew University have started an equal partnership company called UNIHAD to launch the venture. "Both Hadassah and the Hebrew University generate many startups, and the park can be a home for them," said Doctor Rafi Hofstein, managing director of Hadasit Medical Research Services.

[Today's Israel Line was prepared by Victor Chemtob at the Consulate General of Israel in New York.]

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