August 3, 1986

Social/Economic/Political

Occupied Palestine/Israel: P.M. Peres meets with 25 non-PLO Palestinians from West Bank and Gaza, mostly pro-Jordanian Israeli-appointed mayors not previously involved in peace process, to discuss plans to appoint Arabs from the occupied territories to head various departments of the Israeli military govemorates in the occupied territories and to give these officials powers to run daily affairs; Peres also suggests Arabs may be appointed mayors to West Bank cities which are currently run by Israeli officers [BG, JTA 8/4; FJ 8/8]. Chicago Tribune reports that P.M. Peres and Defense Minister Rabin approved plan to send $2 billion worth of weapons to Iran, in violation of U.S. policy [CT 8/3].