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And now, the US and Israel will have the opportunity to accuse Mr Arafat of being in the embrace of two of US President George Bush's three "axis of evil" countries - Iraq and Iran. The New York Times reported on Sunday the suspicion of US and Israeli intelligence agencies that Mr Arafat had developed an alliance with Teheran to import weapons worth millions to be used by Palestinian fighters.
Mr Arafat has denied any knowledge of a recent shipment of Iranian arms seized by the Israelis on its way to Palestinian territory. But he may be hard-pressed to deny knowledge of a public ceremony on his own territory, during which supporters of President Saddam handed out $500,000 and encouraged others to become suicide bombers with the blessing of the Iraqi leader.
The US will also be keen to use President Saddam's provocative intrusion into the Palestinian-Israeli conflict as another reason for its planned military strike on Iraq.
Yesterday's ceremony at Tulkarm, about 90 kilometres north of Jerusalem, was the first public distribution organised by the Arab Liberation Front, a PLO faction aligned with President Saddam's Baath party. Previously the cheques were privately delivered by ALF officials to the homes of "martyr" families.
Later, a senior ALF official, Maa'moon Tayeh, told The Age that the extra $US15,000 was to encourage more Palestinians to volunteer as suicide bombers to help "confirm the legitimacy of our national questions".
He said: "Saddam Hussein considers Palestine to be a governate of Iraq and he thinks the same of the Palestinian martyrs as he does of Iraqi martyrs - they all are martyrs for the whole Arab nation."
Dr Hassan Khraisheh, a member of the Palestinian Legislative Council who told the crowd he had just returned from a solidarity conference in Baghdad, said that some families believed the money should be sent back to Iraq because of the hardships imposed by sanctions and that others used the money to "buy weapons to defend Palestine".
He praised Iraq as the only Arab nation to officially donate to the Palestinian cause. "The Saudis used to give $4000 to the martyrs, but now it depends on public donations. Saddam Hussein's $25,000 is a message to those who might offer themselves as martyrs that their families will be supported - they have wives and children and some of them are very poor."
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