JERUSALEM Ñ Israeli intelligence officials said Arafat controls all PA assets and
finances, contributed by Arab states and the European Union. They said
Arafat, confined to the West Bank city of Ramallah, continues to sign on
virtually all PA expenditures.
Israeli military intelligence chief Maj. Gen. Aharon Zeevi-Farkash told
the Knesset Foreign Affairs and Defense Committee on Tuesday that Arafat has taken personal
control over $1.3 billion in PA assets.
The intelligence chief said Arafat's
chief aide, Mohammed Rashid, directs PA finances despite increasing
accusations of corruption by Palestinian critics, Middle East Newsline reported.
Israeli officials said the government has issued various assessments
regarding Arafat's personal finances. They said some estimates have asserted
that Arafat earned $2.4 billion from PA revenues since 1994. The revenues
stemmed from Arafat's control over PA-operated monopolies in imports and
energy sales.
The control of PA finances, officials said, remains the leading element
in Arafat's muted but tight control over Palestinian society. They said
Arafat's authority is being threatened by a combination of eroding domestic
support and absence of international recognition.
An Israeli government report said Arafat faces increasing opposition
within his regime amid his failure to reap military or political benefits
from the insurgency war against Israel. The report, quoted by Israel Radio
on Wednesday, said Arafat could choose exile rather than face a significant
reduction in power.
The report, drafted by Israel's intelligence agencies and the Foreign
Ministry, stressed that Arafat still has sufficient power to consolidate his
authority. The report did not identify a clear successor to the PA chairman.
