Shultz 'Distressed' By Israel Spy Case

David K. Shipler - New York Times - March 12, 1987

WASHINGTON, March 11 Secretary of State George P. Shultz today called the Israeli spy case ''very disheartening'' and said a decision by the Israeli Government to investigate would have ''a cleansing effect.''

Testifying before the Foreign Operations Subcommittee of the House Appropriations Committee, Mr. Shultz also confirmed reports that all United States officials in Israel had been ordered to have no contact whatever with Col. Aviem Sella or with the Tel Nof Air Base, which he commands.

Colonel Sella has been indicted by a Federal grand jury on charges of espionage in the case of Jonathan Jay Pollard, a United States Navy employee who has been sentenced to life in prison for giving intelligence information to Israel.

There has been considerable anger in Washington over the subsequent promotion of Colonel Sella to commander of one of Israel's major bases, and over the promotion of Rafi Eitan, a former Israeli adviser on terrorism who reportedly ran the spy operation, to head Israel's state-owned chemical industry. These promotions came after the Israeli authorities insisted that the spy affair was a ''rogue operation,'' not authorized by high officials. Promotion in Rank Delayed

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