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Once Mr. Abu Sharif's plan appeared in the Wash- ington Post, the PLO leader, _ under enormous pressure from the Palestinians in the territories, West Europe leaders and U.S. officials, was set on a roller-coaster that would carry him to a special session of the UN General Assembly in Geneva six months later. Having been dragged back from the irrelevance of Tunis, Chairman Arafat was once again thrust into the media spotlight and, after an emotional, but inadequate, address to the Assembly, convened a late-night press conference in Room 19 of the Palais des Nations, Euro- pean headquarters of the UN. There, flanked by aides, he read a carefully prepared statement in which he re- nounced terrorism and ac- knowledged UN resolutions 242 and 338, which not only demanded Israeli withdrawal from occupied territories but also implicit- ly acknowledged Israel's right -to exist. The declaration contained the precise formulation of words that had been demanded by the U.S. and was the key to opening the door to an official dialogue with Washington, the first tangible — and most signifi- cant — fruit of the intifada. It was a platform from which the PLO leader could have launched a powerful and persuasive campaign for Palestinian self- determination. Instead, Chairman Arafat set about systematically squandering the diplomatic capital that had been ac- cumulated at such a high price by the intifada. In June 1990, after he declined to disavow an attempted seaborne terrorist attack on Israel by a senior PLO af- filiate, the U.S. suspended all official contacts with the PLO. Two months later, when Saddam Hussein's tanks rolled across Kuwait, he again misread the polit- ical map, enthusiastically embracing the Iraqi dictator. That was too much even for his European friends to swallow and regular min- isterial-level contacts with the PLO were suspended in most of their capitals. It also was too much for the Gulf states, which instantly se- vered the financial lifeline that had sustained and nur- tured the PLO. . As Chairman Arafat lur- ched from one gaffe to an- other, including endorse- ment of the abortive Soviet coup against Mikhail Gor- bachev in August 1991, the Palestinian masses exhausted themselves on the rock of Israeli determination not to answer violence with concessions. By the time of the Madrid peace conference in October 1991, the PLO had been so weakened that it was offi- cially excluded from the pro- cess and the Palestinians Chairman Arafat set about sysematically squandering the diplomatic capital that had been accumulated. were represented, as Israel had demanded from the outset, by delegates drawn exclusively from within the territories. Far from translating the diplomatic success of the in- tifada into tangible political gains, Chairman Arafat had sent the Palestinians down a series of self-destructive blind alleys. Today, simultaneously fac- ing the most compromising Israeli government and mounting pressure from elements opposed to the peace process, the PLO leader is threatening to pull the Palestinians out of negotiations as part of a strategy to hold out for max- imum Palestinian gains. If he does, and if they meekly follow, he will be leading them into the most dangerous impasse of all. As Israel moved to repeal the law against contact with PLO officials, it was clear that the Palestinians in the territories would be unlikely to conclude an autonomy agreement as long as they continue to defer to Chair- man Arafat. ❑