Occupied Jerusalem, July 9 (Petra) -- The Israeli Knesset plenum on Thursday approved in its first reading a bill that would allow the freezing of additional Palestinian clearance revenues, referring the legislation to the Foreign Affairs and Defense Committee for further deliberation before second and third readings.

According to the Hebrew newspaper "Haaretz", the bill, introduced by Likud Knesset member Moshe Passal, would freeze an annual amount equivalent to the funds the Palestinian Authority transferred to the Gaza Strip during the previous year.

Under the proposed legislation, the frozen funds would later be used to compensate individuals affected by what the bill describes as "terrorist acts originating from the Gaza Strip." The bill passed its first reading with the support of 12 Knesset members and no votes against.

Israel is withholding about 14 billion shekels (approximately $5 billion) in Palestinian customs revenues, known as clearance revenues, a move that has deepened the Palestinian government's financial crisis as the withheld funds continue to accumulate monthly in the Israeli Ministry of Finance's treasury.

//Petra// NQ