A Palestinian court sentenced three Palestinians to prison terms for killing an Israeli cab driver. Two received life sentences, while the other received 17 years. They

did not appear to be politically motivated. Israeli Prime Minister

Benjamin Netanyahu dispatched a close aide to thank Palestinian

Authority Chairman Yasser Arafat for his help in apprehending the

murderers quickly.

þ Palestinian Authority Chairman Yasser Arafat said the Palestinians

are willing to return to the hardships of the years before the 1993

Israeli-Palestinian accords. Arafat made these remarks, interpreted

as referring to the intifada, the six-year uprising in the territories, to

the Palestinian Cabinet session in the West Bank town of Nablus.

þ The Palestinian self-rule government said it would consider a

boycott of Israeli products to counter the sanctions imposed by Israel

after last month’s twin suicide bombing in Jerusalem. The proposed

boycott would apply to such products as cigarettes, soft drinks,

chocolate and cookies. Israel has closed its borders with the West

Bank and Gaza Strip and refuses to pay taxes owed the Palestinian

Authority until it cracks down on Islamic militants.

þ Police arrested hundreds of neo-Nazis in Germany and

approximately 50 extremists in Denmark who were marking the 10th

anniversary of the death of Hitler deputy Rudolf Hess. Scuffles

between right-wing supporters of Hess and their opponents broke out

at a few of the pro-Hess rallies, which had been banned in much of

Germany. Hess, who committed suicide in 1987 in Spandau prison,

has become a cult figure among the extreme right.

þ Israeli, Palestinian and American security officials were due to

hold another round of talks Sunday night on security coordination.

Meanwhile, the British newspaper Sunday Telegraph reported that

Israel’s Shin Bet security service chief, Ami Ayalon, flew to Britain to

investigate claims that the July 30 twin suicide bombing in Jerusalem

were planned in London.

þ Israel’s High Court of Justice ruled that the woman who pasted

posters on West Bank storefronts depicting the Islamic prophet

Mohammed as a pig must stay in detention until the end of her trial.

The action by Tatyana Suskin, 26, sparked riots in Hebron and

elsewhere in the Muslim world. Suskin is a supporter of the late

Rabbi Meir Kahane’s Kach movement.

þ The international and Australian Maccabiah Games organizations

are establishing a central office to deal with last month’s bridge

collapse at the opening of the 15th annual Maccabiah Games. The

office will deal with the ongoing investigation into the Yarkon River

and the filing of lawsuits. Four Australians have died so far as a

result of the tragedy.

þ Germany’s national bank set up a secret branch in Monaco during

World War II to hid assets, according to news reports. Citing recently

released documents, the reports say that the bank operated for

approximately a year until it was closed down due to the opposition of

Monaco’s Prince Rainier.

þ Israel’s Histadrut trade federation authorized its members to go on

strike beginning Sept. 2. The Histadrut is upset over the proposed

1998 budget, endorsed by the Cabinet last week, which contained

plans to privatize state companies. A Histadrut official said contacts

with the government before then could prevent a strike.