US calls Israel's move to withhold PA funds 'unfortunate'
Palestinians call decision 'piracy' after Israel moves to implement economic sanctions against Palestinians for unilateral bid to join international organization, which it claims violates peace talks' conditions.
The comments came a day after an Israeli official said Israel would stop the tax money transfers in retaliation for the Palestinians pushing to sign up for more recognition from international agencies and treaties. A move which comes after Israel failed to release Palestinian prisoners as promised and moved forward with more settlements in land Palestinians want for their future capital.
Israel announced its intention Thursday, and an official told Ynet that the move was a response to the Palestinians attempt to join some 15 international organizations and treaties, a move which Israel says is in breach of the conditions agreed on for resorting peace talks.
The Palestinians owe Israeli companies hundreds of millions of dollars for electricity, power and other services. An Israeli official said Thursday that Israel would deduct the debt against its monthly transfer of tax money is collects for the Palestinians.
That money is some $100 million a month. It wasn't clear how much money would be withheld. Under interim peace accords, Israel collects taxes on behalf of the Palestinians. Without it, the Palestinian Authority can't pay its workers.
After being asked about the move, State Department Spokeswoman Jen Psaki said the US has yet hear an official Israeli announcement on the issue, but nonetheless noted that the US "would regard such a development as unfortunate."
Stressing the importance of the economic cooperation between Israel and the Palestinians, she further said "We believe that the regular transfer of the Palestinian Authority's tax revenues and economic cooperation between Israel and the Palestinian Authority have been beneficial and is important to the well-being of the Palestinian economy."
Psaki further stressed that the US thinks "unilateral actions by either the Israelis or the Palestinians that do not contribute to moving the peace process forward but do the opposite are not helpful." A claim echoed by White House Spokesperson Jay Carney.
Israel collects about $100 million a month in taxes for the Palestinians. It isn't clear how much would be withheld or for long it would go on.
An Israeli diplomatic official criticized the move and said "the prime minister cannot control himself, he feels a relentless need to punish the Palestinians. At a time like this we should move forward and not get stuck up on the UN petition."
Earlier Friday, some twenty-five years after making their first bid for membership, the Palestinians joined the Geneva Conventions governing the rules of war and military occupations, the Swiss government said.
Both the United Nations and the Swiss government have accepted the Palestinian Authority's requests to join 14 international treaties and conventions.
Israel had opposed the move, arguing that there is no universally recognized Palestinian state and that it would complicate peace talks.
The Palestinian Authority signed letters of accession to several international treaties after Israel failed to carry out a planned prisoner release that had a March deadline.
Switzerland's Foreign Ministry, as the depositary of the Geneva Conventions, said Friday that "the state of Palestine" acceded to the conventions effective April 2.
The US has tried to downplay the move, calling it "technical" and "administrative."
Attila Somfalvi and the Associated Press contributed to this report
