DEBKAfile, Political Analysis, Espionage, Terrorism, Security: "'Israel is one of our closest allies and we and the Israeli people have a special bond that's not going to go away,' said President Barack Obama to Fox News Wednesday, March 17, after denying any crisis in the relationship. debkafile's Washington sources note that denial makes a lot of sense for the president because it lets him off the hook for dealing with it.
However, in Jerusalem, prime minister Binyamin Netanyahu called his inner cabinet into its second session on the crisis that same night. The seven ministers were asked to review the situation after President Obama and secretary of state Hillary Clinton turned down their initial proposals for easing the upset and laid down three pre-conditions for restoring normal relations with Jerusalem:
1. The Netanyahu government must extend the 10-month freeze on West Bank settlement construction to include East Jerusalem;"
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