Netanyahu backs U.S. embassy move to Jerusalem though signals no urgency

giant banner congratulating Donald Trump in Jerusalem, Israel

By Jeffrey Heller

JERUSALEM (Reuters) – Prime Minister Benjamin Netanyahu voiced support on Sunday for moving the U.S. Embassy to Jerusalem but mentioned no time frame, after a Republican activist accused Israel of pressing the Trump administration to delay the pledged step.

In an interview with Israel’s Haaretz newspaper, Marc Zell, head of the Republicans Overseas Israel branch, said new U.S. President Donald Trump was “proceeding cautiously because of concerns raised by Israeli officials”.

Trump’s team spoke often during the presidential campaign about shifting the embassy from Tel Aviv to Jerusalem, Israel’s self-proclaimed capital and a holy city at the heart of the Israeli-Palestinian conflict.

But a week ago, Trump’s press secretary, Sean Spicer, lowered expectations of an imminent announcement about an embassy move that would anger the Arab world and possibly touch off violence. [ID:nL5N1FD5Y9]

Palestinian officials said the embassy’s relocation would kill off any prospects for peace. The Palestinians want East Jerusalem – which Israel captured in a 1967 war and annexed in a move not recognized internationally – for the capital of a state they seek in the occupied West Bank and the Gaza Strip.

Israeli officials said last Sunday the embassy issue was barely discussed in a 30-minute telephone call between Trump and Netanyahu, who are to meet in Washington early next month.

Netanyahu addressed the matter in general terms in public remarks to his cabinet on Sunday that were described by Israeli media as a response to Zell’s accusation of foot-dragging.

“I want to take the opportunity to make it unequivocally clear that our position has always been, and remains so now and at all times, that the U.S. embassy should be here, in Jerusalem,” Netanyahu said, without directly mentioning Zell.

Currently, no country has its embassy in Jerusalem, the Israeli foreign ministry said. Costa Rica and El Salvador did until a few years ago, but they are now in Tel Aviv.

“Jerusalem is Israel’s capital and it is right and proper that all of the foreign embassies, and not only the American embassy, move here. I believe that in time, most of them will indeed come to Jerusalem,” Netanyahu told the cabinet.

The international community says Jerusalem’s final status should be determined via direct negotiations between Israel and the Palestinians – talks that collapsed in 2014.

Israeli officials have said they do not want a U.S. embassy move rushed and political commentators have noted that its relocation would damage the stronger relations Israel has been quietly building with the Sunni Muslim world.

(Editing by Mark Heinrich)

Israeli parliament to vote on bill legalizing settlement outposts

Jewish settlers preparing for eviction

By Jeffrey Heller

JERUSALEM (Reuters) – Israel’s parliament is widely expected to vote into law on Monday a bill retroactively legalizing about 4,000 settler homes built on privately-owned Palestinian land, a measure the attorney-general has said is unconstitutional.

Passage of the legislation, backed by the right-wing government and condemned by Palestinians as a blow to statehood hopes, may be largely symbolic, however, as it goes against Israeli Supreme Court rulings on property rights. Critics and some legal experts say it will not survive judicial challenges.

Prime Minister Benjamin Netanyahu had privately opposed the bill, which won preliminary parliamentary approval in November amid international denunciations and speculation in Israel it would subsequently die a quiet death in committee.

But the far-right Jewish Home party, a member of the governing coalition looking to draw voters from the traditional base of Netanyahu’s Likud, pressed to revive the legislation.

With Netanyahu under criminal investigation over allegations of abuse of office, and Likud slipping in polls, the right-wing leader risked alienating supporters and ceding ground to Jewish Home if he opposed the move. He has denied any wrongdoing.

While the measure seems certain to stoke further international condemnation of Israeli settlement policies – the Obama White House described the first vote two months ago as “troubling” – Netanyahu could get a more muted response from Republican President Donald Trump.

An Israeli announcement last week of plans for 2,500 more settlement homes in the West Bank caused no discernable waves with the new U.S. administration, whose spokesman responded to by describing Israel as a “huge ally”.

The government sought parliamentary approval of the bill despite Attorney-General Avichai Mandelblit’s description of it as unconstitutional and in breach of international law since it allows the expropriation of private land in territory Israel seized in the 1967 Middle East war.

The homes covered by the legislation are in outposts built deep in the West Bank without Israeli government approval.

The new law would allow settlers to hold on to land if, as stated by the bill, they “innocently” took it – ostensibly without knowing the tracts were owned by Palestinians – or if homes were built there at the state’s instruction. Palestinian owners would receive financial compensation from Israel.

Supporters say it will enable thousands of settlers to live without fear their homes could be demolished at the order of courts responding to petitions by Palestinians or Israeli anti-settlement organizations. Palestinians see it as a land grab.

Most countries view all Israeli settlement in occupied territory as illegal. Israel disputes this.

(Editing by Jeffrey Heller and Andrew Heavens)

Police question Netanyahu for third time in criminal case

Benjamin Netanyahu

By Maayan Lubell

(Reuters) – Israeli police questioned Prime Minister Benjamin Netanyahu on Friday for the third time this month as part of a criminal investigation into abuse of office, Israeli media reported.

A police source confirmed the questioning took place but would not provide further details. A Reuters cameraman at Netanyahu’s official residence, where the questioning took place, said investigators were on the scene for three hours.

Police confirm they are questioning Netanyahu as a suspect in two criminal cases, one involving gifts given to him and his family by businessmen and the other related to conversations he held with an Israeli publisher. He has denied wrongdoing.

If charges are brought, political upheaval in Israel would be likely, with pressure on Netanyahu, 67, to step down after 11 years in office, spread over four terms.

The first case — referred to by police as Case 1,000 — involves Netanyahu and family members receiving gifts on a regular basis from two businessmen. Israeli media have reported that the gifts include cigars and champagne.

The second involves a deal Netanyahu allegedly discussed with the owner of one of Israel’s largest newspapers, Yedioth Ahronoth, for better coverage in return for curbs on competition from a free paper owned by U.S. casino mogul Sheldon Adelson.

Adelson is a supporter of the prime minister and his newspaper is staunchly pro-Netanyahu.

Israel Radio said Friday’s questioning mainly focused on the second case.

Addressing parliament on Wednesday, Netanyahu said there was nothing wrong with receiving gifts from close friends and that it was common for politicians to hold conversations with newspaper publishers. He accused opponents of trying to overthrow him.

“The goal is to pressure the attorney-general to press charges at any cost. There is no limit to the hounding, the persecution, the lies,” Netanyahu said.

In a research note published this week, Moody’s rating agency said the investigations into Netanyahu “are sufficiently serious that they could end his tenure as prime minister”.

“Should Netanyahu be forced to resign, it is likely that new elections would need to be held, since there is no clear successor in his Likud party.”

Under Israeli law, the prime minister is not obliged to resign even after he is charged, but he could be pressured into stepping down. Opponents are calling for him to do so.

Netanyahu is not the first Israeli leader to have faced criminal investigation: former prime minister Ehud Olmert was convicted of breach of trust and bribery in 2014 and Ariel Sharon was questioned while in office over allegations of bribery and campaign financing illegalities.

Israel Radio and Channel Ten television reported this week that police were investigating two more cases involving Netanyahu. Police did not confirm or deny the reports.

(Editing by Luke Baker and Dominic Evans)

Israel completes advanced testing of mid-range missile interceptor

inactive version of Israel's air missile defense system

By Ori Lewis

JERUSALEM (Reuters) – Israel has completed successful tests of an advanced version of its ‘David’s Sling’ intermediate missile interceptor system that it is developing jointly with the United States, the Defence Ministry said on Wednesday.

The system is designed to shoot down rockets with ranges of 100 to 200 km (63 to 125 miles) such as those in the arsenal of Iranian-backed Hezbollah, a Lebanese group which last fought a war with Israel in 2006, or aircraft or low-flying cruise missiles.

An initial version of David’s Sling completed testing in December 2015 and has been handed over to the Israeli air force but it has not yet been declared operational, a ministry official said.

The system is being developed and manufactured jointly by Israel’s state-owned Rafael Advanced Defense Systems Ltd and Raytheon Co, a top U.S. arms maker.

The advanced testing announced on Wednesday included the interception of air-launched incoming test target missiles high over the Mediterranean, Moshe Patel of the Israel Missile Defense Organization said in a telephone briefing.

“The tests were intended to simulate anticipated future threats and in the coming years our system will deliver to the Israeli air force more capabilities and more confidence,” Patel said.

David’s Sling will fill the operational gap between the already deployed Iron Dome short-range rocket interceptor and the Arrow ballistic missile interceptor, both of which are in service.

Last week Israel handed over control of its U.S.-funded Arrow-3 missile interceptor, a “Star Wars”-like extension of its capabilities which is designed to safely destroy incoming long-range missiles in outer space.

That system has been developed jointly by state-owned Israel Aerospace Industries and U.S. firm Boeing Co..

The U.S.-funded short-range Iron Dome interceptor built by Israel’s state-owned Rafael Advanced Defense Systems Ltd. was used extensively with high success rates in a 2014 Gaza war against Hamas militants.

(Writing by Ori Lewis; Editing by Gareth Jones)

Microsoft to continue to invest over $1 billion a year on cyber security

Microsoft

By Tova Cohen

TEL AVIV (Reuters) – U.S. software firm Microsoft Corp <MSFT.O> will continue to invest over $1 billion annually on cyber security research and development in the coming years, a senior executive said.

This amount does not include acquisitions Microsoft may make in the sector, Bharat Shah, Microsoft vice president of security, told Reuters on the sidelines of the firm’s BlueHat cyber security conference in Tel Aviv.

“As more and more people use cloud, that spending has to go up,” Shah said.

While the number of attempted cyber attacks was 20,000 a week two or three years ago, that figure had now risen to 600,000-700,000, according to Microsoft data.

Long known for its Windows software, Microsoft has shifted focus to the cloud where it is dueling with larger rival Amazon.com <AMZN.O> to control the still fledgling market.

In October it said quarterly sales from its flagship cloud product Azure, which businesses can use to host their websites, apps or data, rose 116 percent.

In addition to its internal security investments, Microsoft has bought three security firms, all in Israel, in a little over two years: enterprise security startup Aorato, cloud security firm Adallom, and Secure Islands, whose data and file protection technology has been integrated into cloud service Azure Information Protection.

Financial details of these deals were not disclosed.

“If you are talking about an ecosystem with more than 400 start-ups it’s not really a coincidence. Israel is huge in security,” said Secure Islands founder Yuval Eldar.

Microsoft’s venture arm has also made three cyber security investments in Israel, including this week an undisclosed amount in Illusive Networks, which uses deception technology to detect attacks and has been installed at banks and retailers.

Earlier this month Microsoft said it invested in Israel’s Team8, which created Illusive Networks.

Though Microsoft does not have any near-term plans to implement deception technology, “we look at lots of different technologies that might be of use in the future,” Shah said.

Shah believes that in the next year or so progress should be made in moving toward broader implementation of user authentication without need for a password.

Microsoft’s Windows 10 operating system includes Windows Hello, which allows users to scan their face, iris or fingerprints to verify their identity and sign in.

(Reporting by Tova Cohen; Editing by Steven Scheer and Adrian Croft)

Germany condemns Israel’s plans for more settlement homes on occupied land

Israeli settlement

BERLIN (Reuters) – Germany, in unusually strong criticism of Israel, said on Wednesday plans to build 2,500 more settlement homes in the Israeli-occupied West Bank put in doubt Israel’s stated commitment to a two-state solution with the Palestinians.

Israel announced the plans on Tuesday in the second such declaration since U.S. President Donald Trump took office signaling he could be more accommodating toward such projects than his predecessor Barack Obama.

Martin Schaefer, a spokesman for the German Foreign Ministry, said the announcement went “beyond what we have seen on it in the last few months both in terms of its scale and its political significance”.

He said the German government doubted whether the Israeli government still stood by its official goal of a peace agreement under which Palestinians would get a state in territory now occupied by Israel and co-exist peacefully with it.

If Israel were to move away from this goal, the basis of the whole Middle East peace process would be thrown into question, Schaefer added. The last round of U.S.-brokered peace talks collapsed in 2014.

The European Union has also warned that Israel’s settlement plans threaten to undermine the chances of peace with the Palestinians.

Germany went to great lengths to make amends for the Nazi era genocide of Jews, including establishing strong relations with Israel, which now considers Germany to be among its most important European allies.

Israeli Prime Minister Benjamin Netanyahu told parliament on Wednesday to expect more announcements on settlement-building and earlier this week told senior ministers that there were no more restrictions on construction.

“We can build where we want and as much as we want,” an official quoted Netanyahu as telling the ministers.

Most countries consider settlements illegal and an obstacle to Israeli-Palestinian peace, as they reduce and fragment the territory Palestinians need for a viable state.

Israel disagrees, citing biblical, historical and political connections to the land – which the Palestinians also assert – as well as security interests.

(Reporting by Andreas Rinke in Berlin and Ori Lewis in Jerusalem; writing by Michelle Martin; editing by Mark Heinrich)

Israel advises citizens in Egypt’s Sinai to leave, cites attack risk

Israel Egypt borders

JERUSALEM (Reuters) – Israel on Tuesday advised its citizens in Egypt’s insurgency-hit Sinai peninsula to leave the region, warning of the threat of an imminent attack.

Israeli holidaymakers are often warned of the risks they face in Sinai, which borders Israel, but the “Level 1” alert issued by the anti-terrorism directorate is its most severe warning.

It described the threat as “very high and concrete”.

“The directorate warns of the possibility of attacks against tourist sites in the Sinai area in the immediate term,” a statement said.

An Islamist insurgency in the rugged, thinly populated Sinai has gained pace since the military toppled President Mohamed Mursi of the Muslim Brotherhood, Egypt’s oldest Islamist movement, in mid-2013 following mass protests against his rule.

Militants have launched a number of deadly cross-border attacks on Israel in the past few years and have occasionally fired rockets across the border into the southern Israeli resort city of Eilat.

The anti-terrorism directorate said that while there was a “constant high threat” in Sinai, Jan. 25, the anniversary of the 2011 revolution in Egypt, was a day that had witnessed attacks in previous years.

Israel and Egypt signed a peace treaty in 1978 and the eastern coast of the peninsula is a popular international tourist destination.

(Writing by Ori Lewis; editing by Richard Lough)

Israel plans more than 2,500 new settler homes to start Trump era

Palestinian man next to Israeli settlement

By Ori Lewis

JERUSALEM (Reuters) – Israel announced plans on Tuesday for 2,500 more settlement homes in the occupied West Bank, the second such declaration since U.S. President Donald Trump took office signaling he could be more accommodating toward such projects than his predecessor.

A statement from the Israeli Defence Ministry, which administers lands Israel captured in a 1967 war, said the decision was meant to fulfil demand for new housing “to maintain regular daily life”.

Most of the construction, it said, would be in existing settlement blocs that Israel intends to keep under any future peace agreement with the Palestinians. However, a breakdown provided by the prime minister’s office showed large portions of the planned homes would be outside existing blocs.

Trump spoke by phone on Sunday with Israeli Prime Minister Benjamin Netanyahu. On Tuesday, the new president’s chief spokesman refrained from stating a position on the settlement announcement but said the two leaders would discuss settlement building when they meet in Washington next month.

Asked whether Trump supports the latest settlement announcement, White House press secretary Sean Spicer told reporters: “Israel continues to be a huge ally of the United States. He wants to grow closer with Israel.” Pressed again on the issue, he said: “We’ll have a conversation with the prime minister.”

The muted response from the Trump White House, which has promised an approach more aligned with Israel’s government, was a clear departure from Trump’s predecessor, Barack Obama, whose aides routinely criticized settlement construction plans.

U.N. Middle East envoy Nikolay Mladenov is due to brief the U.N. Security Council behind closed doors on Wednesday at the request of council member Bolivia, diplomats said.

About 350,000 settlers live in the West Bank and a further 200,000 in East Jerusalem, which Israel seized in the 1967 Middle East war. Beyond the major blocs, most of which are close to the border with Israel, there are more than 100 settlement outposts scattered across hilltops in the West Bank.

Nabil Abu Rdainah, a spokesman for Palestinian President Mahmoud Abbas, condemned the Israeli announcement and said it would have “consequences”. The West Bank and East Jerusalem are home to more than 2.6 million Palestinians.

“The decision will hinder any attempt to restore security and stability, it will reinforce extremism and terrorism and will place obstacles in the path of any effort to start a peace process that will lead to security and peace,” he said.

Palestinians want the West Bank and Gaza Strip for an independent state, with its capital in East Jerusalem. Israeli troops and settlers withdrew from Gaza in 2005.

OBSTACLE TO PEACE

The European Union said Israel’s settlement plans “further seriously undermine the prospects for a viable two-state solution”.

Most countries consider settlements illegal and an obstacle to Israeli-Palestinian peace as they reduce and fragment the territory Palestinians need for a viable state.

Israel disagrees, citing biblical, historical and political connections to the land – which the Palestinians also assert – as well as security interests.

During the U.S. election campaign, Trump indicated he would dispense with Obama’s opposition to settlement building, a stance that delighted Netanyahu’s government. He was sworn in on Friday.

On Sunday, Israel announced plans for hundreds of new homes in East Jerusalem, and the right-wing Netanyahu told senior ministers he was lifting restrictions on settlement construction across the board.

“We can build where we want and as much as we want,” an official quoted Netanyahu as telling the ministers.

Following Tuesday’s announcement, the prime minister’s office listed some of the West Bank areas scheduled for new construction. Not all were in settlement blocs.

“I have agreed with the defense minister to build 2,500 new homes in Judea and Samaria (the West Bank) – we are building and will continue to build,” Netanyahu wrote in a tweet. Defence Minister Avigdor Lieberman is himself a settler.

The Defence Ministry statement said 100 of the new homes would be in Beit El, a settlement which has received funding from the family of Trump’s son-in-law, Jared Kushner, now a White House adviser.

David Friedman, Trump’s choice for ambassador to Israel and a staunch supporter of settlers, has served as president of the American Friends of Beit El, a group that raises funds for the settlement.

(Additional reporting by Maayan Lubell in Jerusalem, Nidal al-Mughrabi in Gaza, Matt Spetalnick in Washington and Michelle Nichols at the United Nations; writing by Ori Lewis; editing by Mark Heinrich, Howard Goller and Andrew Hay)

Israel lifts restrictions on building more homes in East Jerusalem

Israeli settlements being built

By Ori Lewis

JERUSALEM (Reuters) – Israeli Prime Minister Benjamin Netanyahu has told senior ministers he is lifting restrictions on settlement building in East Jerusalem, a statement said on Sunday, immediately after the city’s municipal government approved permits for the building of hundreds of new homes in the area.

“There is no longer a need to coordinate construction in the Jewish neighborhoods in East Jerusalem. We can build where we want and as much as we want,” the statement quoted Netanyahu as saying, adding that he also intended to allow the start of building in the West Bank.

“My vision is to enact sovereignty over all the settlements,” the statement also said, pointing to Netanyahu’s apparent bid to win greater support from settlers and appeal to a right-wing coalition partner.

Netanyahu told the ministers of the move at a meeting where they also decided unanimously to postpone discussing a bill proposing the Israeli annexation of the West Bank settlement of Maale Adumim, home to 40,000 Israelis near Jerusalem.

A brief statement issued after the discussion by the ministerial forum known as the Security Cabinet, said work on the bill would be delayed until after Netanyahu meets the new U.S. President, Donald Trump.

Netanyahu held his first phone conversation with the president on Sunday, saying afterwards that the conversation had been “very warm” and that he had been invited to a meeting with Trump in Washington in February.

“Many matters face us. The Israeli-Palestinian issue, the situation in Syria, the Iranian threat,” Netanyahu said in remarks broadcast at the start of his weekly cabinet meeting.

Meanwhile the housing projects approved by the Jerusalem municipality on Sunday are on land that the Palestinians seek as part of a future state and had been taken off the agenda in December at Netanyahu’s request to avoid further censure from Trump’s predecessor Barack Obama.

However, Israel’s right wing believes that Trump’s attitude towards settlements built in the West Bank and East Jerusalem — areas Israel captured in the 1967 war — will be far more supportive than that of Obama.

Jerusalem’s City Hall approved the building permits for more than 560 units in the urban settlements of Pisgat Zeev, Ramat Shlomo and Ramot, areas annexed to Jerusalem in a move not recognized internationally.

Jerusalem Mayor Nir Barkat said in a statement that the eight years of the Obama administration had been “difficult with pressure … to freeze construction” but that Israel was now entering a new era.

The Palestinians denounced the move. “We strongly condemn the Israeli decision to approve the construction,” Nabil Abu Rdainah, spokesman for Palestinian President Mahmoud Abbas, told Reuters.

In its final weeks, the Obama administration angered the Israeli government by withholding a traditional U.S. veto of an anti-settlement resolution at the United Nations Security Council, enabling the measure to pass.

Trump’s nominee to be U.S. ambassador to the United Nations, Nikki Haley, echoed his condemnation of the world body over its treatment of Israel at her Senate confirmation hearing last week.

Before taking over as president, Trump also pledged to move the U.S. embassy from Tel Aviv to Jerusalem and has nominated as new U.S. ambassador to Israel, David Friedman, who is seen as a supporter of settlements.

Israel views all Jerusalem as its capital, but most of the world considers its final status a matter for peace negotiations. The Palestinians have said that an embassy move would kill any prospect for peace. Negotiations broke down in 2014.

Commentators in Israel have said it is too early to tell what Trump’s policy on these matters will actually be although the White House said on Sunday it was in the early stages of talks to fulfill Trump’s pledge.

“We are at the very beginning stages of even discussing this subject,” White House Press Secretary Sean Spicer said in a statement.

Most countries consider settlement activity illegal and an obstacle to peace. Israel disagrees, citing a biblical, historical and political connection to the land — which the Palestinians also claim — as well as security interests.

(Additional Reporting by Ali Sawafta in Ramallah; Editing by David Goodman, Greg Mahlich)

Trump invites Netanyahu to Washington for visit: White House

US Embassy in Tel Aviv

By Ayesha Rascoe and Matt Spetalnick

WASHINGTON (Reuters) – President Donald Trump invited Israeli Prime Minister Benjamin Netanyahu to visit Washington in early February during a phone call in which they discussed the importance of strengthening the U.S.-Israeli relationship, the White House said on Sunday.

In his first call with Netanyahu since taking office on Friday, Trump stressed his “unprecedented commitment to Israel’s security.”

“The president and the prime minister agreed to continue to closely consult on a range of regional issues, including addressing the threats posed by Iran,” the White House said in a statement.

Trump also said peace between Israel and the Palestinians could only be negotiated between the two parties, but that the United States would work with Israel to achieve that goal.

Relations between Israel and the Obama administration ended on a contentious note, when the United States declined to veto a U.N. Security Council resolution calling for a halt to Israeli settlement-building.

The readout from the White House did not include any mention of moving the U.S. embassy in Israel to Jerusalem from Tel Aviv, an action that would likely spark anger in the Arab world.

Earlier on Sunday, the White House said it was only in the early stages of talks to fulfill Trump’s campaign pledge to relocate the embassy.

“We are at the very beginning stages of even discussing this subject,” White House spokesman Sean Spicer said in a statement. Aides said no announcement of an embassy move was imminent.

Washington’s embassy is in Tel Aviv, as are most foreign diplomatic posts. Israel calls Jerusalem its eternal capital, but Palestinians also lay claim to the city as part of an eventual Palestinian state. Both sides cite biblical, historical and political claims.

Any decision to break with the status quo is likely to prompt protests from U.S. allies in the Middle East such as Saudi Arabia, Jordan and Egypt. Washington relies on those countries for help in fighting the Islamic State militant group, which the new U.S. president has said is a priority.

The U.S. Congress passed a law in 1995 describing Jerusalem as the capital of Israel and saying it should not be divided, but successive Republican and Democratic presidents have used their foreign policy powers to maintain the embassy in Tel Aviv and to back negotiations between Israel and the Palestinians on the status of Jerusalem.

In early December, then-President Barack Obama renewed the presidential waiver on an embassy move until the beginning of June. It is unclear whether Trump would be able to legally override it and go ahead with relocation of the embassy.

U.S. diplomats say that, despite the U.S. legislation, Washington’s foreign policy is in practice broadly aligned with that of the United Nations and other major powers, which do not view Jerusalem as Israel’s capital and do not recognize Israel’s annexation of Arab East Jerusalem after its capture in the 1967 Middle East war.

Israel approved building permits on Sunday for hundreds of homes in three East Jerusalem settlements in expectation that Trump will row back on the previous administration’s criticism of such projects.

(Reporting by Ayesha Rascoe, Warren Strobel and Matt Spetalnick; Editing by Howard Goller and Paul Simao)