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Arafat has $20m. Iraqi escape plan

JERUSALEM (March 13) - Palestinian Authority Chairman Yasser Arafat, over the years, has put aside $20 million which he has deposited in a Swiss bank account, a nest egg which Israeli security sources believe he has now offered Iraqi President Saddam Hussein in exchange for a safe haven if forced to leave the Palestinian areas, The Jerusalem Post has learned.

An Israeli security official said yesterday that Arafat began preparing his latest fallback plan shortly before the outbreak of the intifada last September and sent a delegation, headed by West Bank Fatah leader Abbas Zakki, to Baghdad to clinch the deal. The $20 million is in addition to other funds he is believed to control.

"He wanted to ensure his future before initiating the violence," he said. "He continues to portray the Palestinians as the victims of Israeli occupation, and yet a lot of the funds received have gone into his own pocket, instead of to his people."

The money has been carefully invested over the years by Arafat's business confidante Mohammed Rashid, the official added.

Last month, it was reported that Rashid had established a line of communication between Arafat and Prime Minister Ariel Sharon prior to the election.

A delegation made up of Sharon's son and aide Omri, former Foreign Ministry director-general Eytan Bentsur, and attorney Dov Weisglass met with Rashid in Vienna.

"Arafat is a very good actor but, at the same time, he is a cool calculator and realizes that he has to prepare for all scenarios," said the official, noting that many Arab countries refuse to assist Arafat. "Tunis has already distanced itself from him."

He added that Israeli security officials are closely monitoring Palestinian ties with the Iraqi leader, but are powerless to act.

Last week, Arafat sent a letter to Saddam seeking help and assistance for the Palestinian people.

"It is no coincidence that Iraqi volunteers have begun military training in order to assist the Palestinians," the official added.

Preparing for all possible eventualities, Israeli officials have stepped up meetings with key Palestinians, such as West Bank Fatah leader Marwan Barghouti and West Bank Preventive Security Service chief Jibril Rajoub, maintain ties.

"A person like Barghouti would be very pleased to see Arafat leave," said the official. "But Israel must be prepared for all possibilities, it is very hard at this point to envision the outcome. However it is clear that Arafat was never really interested in reaching the 'peace of the brave.'"

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