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Expect Government to Restore $7.5 Million Grant for Israel in 1960

May 1, 1959
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The Administration, faced with a rising tide of Congressional criticism on its severance of direct assistance to Israel, may restore Israel to the aid list partially to appease a Senate that might make a last ditch fight against confirmation of Ogden Reid as Ambassador to Israel and other nominations. capital observers said today.

Some Senators have criticized the Reid appointment as political. Senate sources today not only questioned Mr. Reid’s qualifications but voiced doubts about some efforts that have been made to expedite confirmation. Chairman J. W. Fulbright of the Senate Foreign Relations Committee is studying the propriety of the Reid nomination.

While the nomination and special assistance issues are not directly linked, a general displeasure is evident in Congress about matters involving the State Department. Officials at the Department are now well aware that the loudest outcry on any recent issue involving Israel to come from Congress came from the Department’s proposal to terminate grant aid to that State.

If the State Department finally agrees to restore Israel to the grand aid list, as is now expected, it is thought likely Israel would get aid on the level of the last fiscal year. That amounted to $7,500,000.

Meanwhile, another voice was raised in the House to protest the exclusion of Israel from grant aid. Rep. Alfred E. Santangelo, New York Democrat, criticized what he called a “grievous error of judgment” by State Department officials who recommended that Israel be dropped from the special assistance program. He said “their claim that Israel no longer needs such aid is not justified, because in recent months Israel has admitted a large number of immigrants from Eastern European countries and their integration into the economy of this little country is a prime necessity.”

Rep. Santangelo expressed hope “that our responsible officials will reconsider their stand in the matter and will continue to render economic aid to Israel as in previous years. If our program in Israel is proving to be a success, let us help bring it to a successful conclusion.”

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