'1 NEWS I
■
RESIDENTIAL
Baker Claims
Israel To Blame
New York (JTA) — Israel
\
• did not get the $10 billion in
), loan guarantees it sought
• from the United States be-
) cause it violated an under-
standing with Washington
not to increase settlement
activity in the administered
territories, Secretary of
State James Baker said.
Mr. Baker made the
) statement to a delegation
from the American Jewish
Committee, according to
AJCommittee President
• Alfred Moses.
It may have been the first
\
• time the Secretary of State
had recounted on the record
private Israeli assurances
against expanding set-
tlements. These com-
\_, mitments were not raised
/-
publicly during the negotia-
• tions earlier this year bet-
ween Israel and the White
House over terms for secur-
ing the guarantees.
The commitment not to in-
• crease the pace of building
settlements in the West
\, Bank and Gaza was made in
February 1991 as a condi-
tion for receiving guarantees
for $400 million in loans to
finance housing for new im-
migrants. Those guarantees
had been authorized by Con-
gress the previous autumn.
The meeting with eight
\--, AJCommittee leaders, like a
similar one the previous
week with leaders from the
American Jewish Congress,
seemed designed to help
repair the rift between
American Jewry and the
administration.
The earlier set of loan
guarantees was accom-
panied publicly by an Oc-
tober 1990 letter from Israeli
Foreign Minister David
Levy to Mr. Baker, in which
Israel promised to keep the
— United States informed
/---
about expenditures in the
territories.
The Government Accoun-
ting Office charged subse-
> quently that "incomplete in-
formation was provided"
and that Israel had failed to
live up to the letter's prom-
ise of full disclosure.
But reports of private
commitments not to expand
settlement activity beyond
the existing "baseline" rate
\—, of growth, as Mr. Baker put
it, surfaced in the Israeli
press last year.
As recounted through a
series of leaked documents,
the United States had ex-
pressed concern over re-
ported Israeli plans to build
12,000 new housing units in
the territories over a three-
year period.
(----
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