New point of contention: US probes Israeli firms with dubious finances

By Al Mayadeen English
Source: Israeli media
28 Feb 2024 13:53
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Despite sending large arms to the Israeli military, the US is investigating Israeli metals manufacturers for dubious financial activities.

A missile is launched from the Israeli anti-air system in order to intercept a rocket fired from the Gaza Strip, in occupied Asdod, occupied Palestine, on March 11, 2012. (AP)

A "fresh confrontation" has ignited between Washington and the Israeli occupation, this time manifesting in the realm of economics and finance, as highlighted in Wednesday morning's headline of the Israeli newspaper Maariv.

Israeli factories have entered into illegal competition with American factories, contrary to prior agreements between the two that govern the production of Israeli weapons.

In particular, the affairs of Finkelstein Metals have come under scrutiny, as US authorities investigate the company, which exclusively produces a component for the Israeli Iron Dome anti-air-system, according to Maariv.

Finkelstein Metals has established plants in both the United States and occupied Palestine — near the Lake of Tabarayya.

The newspaper also says that activities that breach agreements have prompted Washington to investigate other companies and impose sanctions on some of them. Maariv says it learned from US officials that Washington is currently investigating Finkelstein Metals and "examining the behavior of the Israeli government."

Moreover, the US officials told Maariv that grants that the company had received for development projects have enabled the company to sell its products in the United States at artificially low prices.

It is worth noting that the company in question produces alloys and metals that could be used for both civilian and military purposes. The company is also the sole metals supplier for the Israeli arms company, "Rafael Advanced Defense Systems," which uses these supplies to produce anti-air missiles.

The issue might spur legal challenges and lawsuits if exacerbated and would extend to other Israeli exporters to the United States, according to Maariv.

US-Israeli relations: Absurd

Just earlier, US President Joe Biden had stated that the United States must replenish "Israel's" anti-air systems and ensure that the occupation does not suffer from "regional threats", especially those from Iran. The President's statements and the recent coverage from Maariv highlight the absurdity of current US-Israeli relations, as the former claims to restrict the latter's military arsenal while offering it unwavering support.

The US constitutes a hub of production for Israeli weapons, filling gaps in air-defense equipment, cartridges, bombs, and missiles which have promoted "Israel's" genocide on Gaza.

To acquit his administration from responsibility, Biden issued the NSM-20 document on February 8, which represents a new global policy allegedly aimed at strengthening safeguards and accountability for arms transfers, the spokesperson for the US Department of State told Al Mayadeen earlier.

The new policy mandates that all partners receiving US-funded arms, under security assistance and cooperation authorities, must provide written assurances. These assurances include a commitment to using the weapons and equipment in compliance with the law of war, as well as facilitating the delivery of US and US-supported humanitarian aid in war zones.

Earlier, Axios reported that the Biden administration has set a mid-March deadline for "Israel" to sign the commitment letter agreeing to abide by international law when employing US-supplied weapons and munitions in the Gaza Strip.