Organized crime backed by Palestinian officials flourishes in Ramallah

Monday, September 13, 1999

RAMALLAH [MENL] -- Ramallah, regarded as the most Western city in the Palestinian Authority, is racked by organized crime and Palestinian protection rackets.

Businessmen said the city's active night life has become a target for organized crime cells, nearly all of them operating under the sponsorship of various Palestinian security officials. They said the nightclubs in Ramallah have been the victim of extortion rackets and strong-arm tactics.

Last month, the most prestigious nightclub in Ramallah, the Flamingo, shut its doors. Its owner is now in the United States.

"What's happening is quite simple," an industry source said. "There is plenty of money to be found in nightclubs and criminal elements with links to the PA are taking advantage of it. Only a club with a powerful sponsor in the PA can survive."

The businessmen said Ramallah nightclubs have been forced to accept slot machines in their premises despite a PA ban on gambling. PA inspectors have not stopped the operation of the slot machines, they said.