Cabinet Approves Compromise Resolution Calls for Strengthening Existing Settlements in Sinai, but Do

The Cabinet approved a compromise resolution today that called for strengthening existing settlements in the Rafah salient and other parts of northern Sinai but did not mention the establishment of additional settlements in the region. The resolution pleased neither the moderate ministers nor the hard-liners. The matter is expected to be discussed by the Knesset’s Foreign Affairs and Security Committee tomorrow.

Premier Menachem Begin declined to elaborate on today’s discussions, which lasted more than five hours. He told newsmen after the meeting adjourned only that the joint Israeli-Egyptian military committee would convene in Cairo this Wednesday and that the political committee would begin its deliberations in Jerusalem on Jan. 16, after the arrival here of U.S. Secretary of State Cyrus Vance. (Related story P. 3.)

The disagreement in the Cabinet was apparently between Agriculture Minister Ariel Sharon, chairman of the Ministerial Settlement Committee, who proposed creating new settlements in Sinai and moderates, chiefly of the Democratic Movement for Change (DMC), who argued that now is no time to escalate settlement in the administered areas. Interior Minister Yosef Burg of the National Religious Party (NRP) cast the decisive vote when he agreed with the DMC that the prospects for peace justified a restrained settlement policy.

The DMC and NRP ministers said they would exercise their privilege, under the coalition agreement with Likud, to bring up their reservations before the Foreign Affairs and Security Committee which would have the final word. The subject of settlements in Sinai and on the West Bank was on the committee’s agenda before today’s Cabinet meeting.

BEGIN SUFFERS FIRST DEFEAT

Today’s session was also significant in that it was the first time a motion submitted by Begin was defeated by the full Cabinet. Begin had proposed that Sharon be designated Foreign Minister Moshe Dayan’s deputy at the political committee talks. Ordinarily such a proposal by the Premier would have been tantamount to a fait accompli. But the Cabinet rejected Sharon’s participation in the political committee partly because of his hawkish views. Opponents also argued that if Sharon is appointed to the committee, why not other ministers who are no less qualified.

The rejection of Sharon and the unsatisfactory compromise on the Sinai settlements constituted a double blow to hard-liners in the government. The Cabinet’s moves today were explained by observers as a reaction to the widespread publicity over what was described in the media as Sharon’s new settlement plans for Sinai and party to anti-Sharon sentiment among the Agriculture Minister’s colleagues.

There is also a growing feeling among ministers that any extreme measures now could jeopardize the momentum toward peace. It was implied that an understanding exists with the U.S. that “thickening” existing settlements would have adverse effects on peace negotiations.

Government secretary Arye Naor issued a communique on the Cabinet’s resolution on settlements to newsmen and loosed a blast at Israel’s print and broadcast media. He accused it of having “run wild in the past few days by publishing a lot of things which have no foundation and which only harm the interests of Israel.” The communique said.

“The Cabinet decided to strengthen existing settlements in the Rafah approaches sector and along the Shlomo Gulf (Gulf of Aqaba) by expanding land for agricultural use and increasing the civilian population, both rural and urban. These civilian settlements, as proposed in the Israeli peace plan, will remain as they are, in accordance with the arrangements made known to Egyptian President Anwar Sadat at the Ismailia conference.”