Israel Matzav

Hamas: Decision to cut funds won't frighten our people

In a decision that the New York Slimes insists puts us "at odds with the United States in terms of timing," the caretaker government of Ehud Olmert decided today to stop transferring $50 million per month in 'tax payments' to the Hamas-led Palestinian Authority.

The cabinet on Sunday approved a halt in monthly transfers of tens of millions of dollars to the Palestinians in the first response to Hamas's assumption of control of the Palestinian parliament.

In response to the decision, Hamas's designated prime minister Ismail Haniyeh said, "This decision is an attempt to bring the Palestinians down on their knees. It does not frighten the Palestinian people. We will not be intimidated. We have faced challenges before and will face challenges in the future."

Hamas' new parliament speaker, Abdel Aziz Duaik, denounced the move as a ploy motivated by political concerns ahead of Israel's March 28 elections. "This is a wrong decision, and the Israelis must reconsider it," Duaik said.

The ministers voted to adopt a gradual, measured approach which would be sensitive to what happens on the ground.

...

The government said that Israel would expand its assistance "to the operations of humanitarian organizations that work with assisting the Palestinian population." [So what have we accomplished? Money is fungible! CiJ]

The ministers also decided to prevent the transfer of any security or military related equipment to the PA from any outside source. This comes amid reports that the Russians had requested to send APCs to the PA.

This clampdown would also entail coordination with the Egyptians to ensure material did not come in through the Rafah crossing, the government noted. [I would guess that the odds of that happening are somewhere between 'slim' and 'none.' CiJ]

In addition, those affiliated with Hamas would be prevented access at the border crossings into areas under Israeli control, including those elected to the Palestinian Legislative Council.

The government also decided that in light of the increased terror action from Gaza, security checks at crossing points from Gaza would be heightened, specifically at the Erez and Karni Crossings.

Update 10:35 PM

Hamas may claim not to be frightened, but Abu Mazen sure sounds like he is:

Palestinian Authority Chairman Mahmoud Abbas said on Sunday that Palestinians were in a financial crisis because Israel halted tax revenue payments and the United States demanded to return its aid after a Hamas-led parliament was sworn in.

"Unfortunately, the pressures have begun and the support and the aid started to decrease ... therefore we are currently in a financial crisis," he told reporters in Gaza, ahead of a planned meeting this week with Hamas leaders.

posted by Carl in Jerusalem @ 9:26 PM