784A.00/6–1251: Telegram

The Ambassador in Israel (Davis) to the Department of State 1

confidential

865. Harold B. Hoskins arrived Tel Aviv Friday June 8 and left Sunday June 10. His visit was of great value to Emb because of [Page 711] his knowledge of area and recent tour of whole ME. While here he had interviews with PriMin, FonMin and Shiloah. PriMin postponed trip to Tiberias in order see Hoskins Sunday morning.

Ben Gurion spoke with enthusiasm of his impressions US saying we are not making most of our opportunities acquaint world with achievements. Mentioned TVA and Ford plant as examples US accomplishments which made deep impression on him. “As to policy objectives, he said maintenance of peace most important, and reiterated view expressed earlier to asst secy McGhee and Dir of NE Lewis Jones that Israel considers Egypt key to situation. He regards that country leader of Arab nations and one that wld dare change its policy toward Israel. Accordingly he declared it to be his intention to do everything possible persuade Egypt to lead way in making peace. Deplored reactionary nature Arab govts but recognized no time wait for change for better.

Mr. Hoskins stated frankly believed PriMin had exaggerated opinion of Egypt and might find he was leaning on broken reed; wld do better to look to Turkey for cooperation in improving relations with Arabs. Mentioned also Saudi Arabia. Made point Arab countries distrust intentions both Israel and US hence any idea that US in position persuade Arab countries change attitude is unrealistic. We must strive build confidence. PriMin while somewhat disappointed appeared accept the views as coming from a source he respects. He agreed Turkey best friend in ME. Said Abdullah means well but not in hands Pal Arabs and powerless. Although obviously displeased over SC action Huleh controversy, he avoided subject. His manner nevertheless was very cordial throughout interview.

FonMin Sharett expressed disappointment over SC res, but he also did not dwell on subject. Seemed interested some constructive means improve gen situation. Ref his last mtg with Amb Palmer when possibility move toward payment compensation was discussed, Sharett said there are two schools of thought: (1) that compensation powerful factor in inducing Arab countries to make peace and that Israel wld not therefore make any concessions this connection except as part of gen settlement; (2) other school of thought is that Israel shld take initiative in making some payment as evidence sincerity in recognizing obligations and in order create confidence its intentions. He intimated he is ready give latter point of view careful consideration. Seemed responsive to argument that former policy had not produced results and that something needs be done to counteract distrust (he expressed some misgivings lest concessions be interpreted as weakness and desperate move in effort make peace before collapse).

We urge view that such action wld be act of strength which wld improve Israel’s moral position here and abroad, particularly in US and Europe. Hoskins suggested it wld be advisable ensure that initial [Page 712] payment is distributed to refugees themselves to have maximum psychological effect.

Justification wld be moral one, namely that Israel recognizes obligation and is discharging it because she regards it right thing to do. FonMin did not reject these ideas but on contrary seemed to be giving them very serious considerations. He did not dwell on difficulties of financing, but remarked that his govt wld have to have some assistance from the UN or other source in meeting such obligations.

Davis
  1. Repeated to Jerusalem for the information of Ambassador Palmer.