The fate of the Lavi, Israel’s second-generation jet fighter plane, was debated by the Cabinet Sunday for the third time, but no decisions were reached. Several Ministers, backed by leading industrialists, urged a mandatory public loan to finance the project, which may have to be abandoned because of excessive costs.
That idea was rejected by the Finance Ministry — and reportedly by the Prime Minister’s Office as well — because it would amount to a new tax only weeks after the government reduced taxes for individuals and corporations.
Senior Israel Defense Force officers and Defense Ministry officials who attended the session presented differing assessments of the financial aspects and the military utility of the Lavi.
CREATOR NOW OPPONENT
Minister-Without-Portfolio Ezer Weizman, who originated the project when he was Defense Minister in the late 1970’s, was its most outspoken opponent. Weizman, a former Air Force commander, said when the plane was conceived it was intended to be a modest workhorse for the Air Force to replace the aging American-made Skyhawk. But it has since evolved into a costly high technology frontline aircraft, he said.
Health Minister Shoshana Arbeli-Almoslino, on the other hand, wants the Lavi built. She called for a mandatory loan or other means of public financing including a tax on the national lottery or a rise in the travel tax, which now stands at 200 Shekels per airline ticket.
Labor MK Dov Ben-Meir is also in the Lavi camp. He introduced a mandatory loan bill in the Knesset and is pressing for a debate this week.
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