Communicated by PM's Media Advisor Jerusalem, 10 June 1997 Prime Minister's comments on construction on Har Homa Prime Minister Netanyahu met yesterday evening (Mon.) 9.6.97, with members of the Likud-Tsomet-Gesher Knesset faction. At the meeting's beginning, the Prime Minister related to items published in the media on an Israeli commitment, as it were, concerning cessation of construction on Har Homa or the communities in Judea and Samaria. "No agreement or commitment was given whatsoever. Construction on Har Homa and the Jewish communities in Judea and Samaria and the Gaza Strip is continuing and will continue. There is no basis to these news items and one can also relate to the official denials from the Palestinian side." Concerning the political negotiations, the Prime Minister said, "We are in the midst of a process in which we are trying, first of all, to restore the Palestinian obligations to fight terrorism and to cease the murders of the land dealers and innocent people. We have had a meeting in Cairo in which we did not reach a stage of understandings regarding the resumption of the process, but we did set an additional meeting for this coming Thursday. I cannot say when we will return to the required path. In my opinion, I am still interested to see the Palestinian side fulfill their obligations, and afterwards, to convene accelerated negotiations on a final settlement." Concerning the subject of the final settlement and the existence of guidelines for the government, the Prime Minister said, "We are bringing up new and different ideas for the final settlement to the cabinet, which must lead in the end to a plan which can ensure the support of the majority of the Israeli public, and behind which we can firmly stand. The plan will take into account the existing realities in the field, and will work to maintain the maximum, and the key areas, in Israel's hands, so as to make possible the achievement of peace with security, and the retention of our key national assets, chief amongst them a united Jerusalem, and other sites important to our existence as a nation and as a Jewish state. We are discussing in the Cabinet certain principles which must guide us with regard to the permanent agreement: the most important thing is securing the eastern border with Jordan, and strengthening our control of the Jordan Valley and the ridges which dominate it. The question of the Jerusalem area must of course be dealt with in a context in which we retain full responsibility and sole sovereignty. I have stressed that I do not foresee Jewish settlements being left cut off and isolated, rather they will be united in blocs, and there will be security areas and buffer zones which must remain in our hands. In any case, this is not a complete list of our conditions and demands. The central difference between ourselves and others is that we are opposed to the creation of a Palestinian state in the area of the Palestinian Authority, because such a state will inevitably lead to a situation whereby an Arab army will pose a threat to the existence of the State of Israel."