BONN (Aug. 26)
The German Cabinet, at a meeting here last week, considered a suggestion to establish a fund for Arab refugees in order to allay Arab anger at the conclusion of the German-Israeli reparations agreement, it was reported here today. Nothing was revealed as to what decision the Cabinet reached with regard to this suggestion.
In the meantime, it was learned here today that the German Union For Foreign Trade has received a warning letter from the Arab Higher Committee For Palestine threatening that the Arab countries will institute a general boycott of German goods should the Bonn Government sign a reparations agreement with Israel.
The Arab warning stated that a black list will be compiled, giving the names of all German firms supplying goods to Israel. This list will be circulated in all Arab countries, the letter said. It also indicated that the Arab Higher Committee would ask the Arab governments to prohibit the issuance of import licenses for commodities purchased from the German firms which appear on the black list.