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Israel to bypass Hamas with aid funds

JERUSALEM, May 11 (UPI) -- Israel will begin releasing tax and customs revenues it has been withholding from the Palestinian Authority, but only for humanitarian purposes.

Israeli Foreign Minister Tzipi Livni said the money could not be used by the Hamas-led government to pay civil service employees, but only for such things as medicines and health needs.

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Israel suspended monthly payments of tax receipts it collects on behalf of the PA in February after Hamas won an election majority, upsetting the Fatah party. Israel, the European Union, the United States and other countries also froze funding, as they consider Hamas to be a terrorist group that does not recognize Israel as a country.

Defense Minister Amir Peretz said he would prepare a detailed plan for the repayments and present it to the Israeli Cabinet on Sunday, the Jerusalem Post reported.

Wednesday, the European Union, United Nations, United States and Russia also agreed to resume some funding, but only for humanitarian purposes, the Financial Times said.

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