Secy. of State Baker meets with Pres. Mubarak in Cairo, then travels to Damascus to meet with Pres. Asad, FM Faruk al-Shara'. (Syrian Arab Republic Radio 7/22 in FBIS 7/22; WP 7/23)
Peace Now reports there are 10,443 housing units under construction in W. Bank and Gaza Strip, 8,000 of which are in advanced stages. Population of these units could add 50,000 settlers to the current total of about 120,000. (WP 7/23)
Political committees in o.t. headed by Sari Nusseibeh issue statement warning against "excessive optimism" in Palestinian approach to negotiations. (ITV 7/22 in FBIS 7/24)
Mahmud Abu Hasan al-Zarini, "no. 2 fugitive in the o.t." and leader of Fateh-affiliated Black Panthers in Janin, is shot dead by undercover Border Police in Janin. Suspected collaborator and his father are killed in Kafr Ra'i, near Janin, by Palestinian militants. (MM 7/23; Qol Yisra'el 7/23 in FBIS 7/24)
IDF squad breaks into, searches Gaza home of Palestinian delegation mbr. Zakariya al-Agha. IDF later states that his home was not searched, but that the roof was needed as a temporary lookout post. (Al-Agha, who lives on the 2nd floor of a 4-story building, asserted that soldiers entered and remained only in his apartment.) (Qol Yisra'el 7/22 in FBIS 7/23)
IDF upholds restriction of Gazan laborers under the age of 20 from travelling to Israel for work, stating most violence is committed by those under 20. (Ha'Aretz 7/22 in FBIS 7/24)
After meeting with Gaza Strip farmers, Israeli ag. min. upholds ban on marketing Palestinian goods in Israel, but says Israel must better facilitate Gazan exports to EC. (HaAretz 7/23 in FBIS 7/24)
United Torah Jewry submits motion of no-confidence in Rabin govt. to protest appointment of Shulamit Aloni as education min. (Qol Yisra'el 7/22 in FBIS 7/22)
General Electric Co. pleads guilty to charges of fraud and corrupt business practices in connection with its sale of military jet engines to Israel in the 1980s, agreeing to pay nearly $70 million in fines. A GE manager had conspired with Israeli Gen. Rami Dotan to divert $27 million in U.S. military aid with fraudulent vouchers. Dotan is now serving 13 years in Israel, which refuses to hand him over to U.S. investigators. (WP 7/23)