DATE= 10/5/97 TYPE=CORRESPONDENT REPORT NUMBER=2-220849 TITLE= ISRAEL / HAMAS (S&L) BYLINE=MARK LAVIE DATELINE=TEL AVIV CONTENT= VOICED AT: INTRO: ISRAEL'S CABINET MET TODAY (SUNDAY) TO DISCUSS THE ASSASSINATION ATTEMPT AGAINST A LEADER OF THE EXTREMIST HAMAS ORGANIZATION IN JORDAN -- AN OPERATION ATTRIBUTED TO THE ISRAELI MOSSAD SECRET SERVICE. MARK LAVIE REPORTS FROM TEL AVIV THAT THE ISRAELI CABINET IS NOT CONFIRMING THAT ISRAEL WAS BEHIND THE ATTACK ... BUT IT ISN'T DENYING IT, EITHER. TEXT: THE ISRAELI CABINET, WHILE REFUSING TO SAY WHETHER MOSSAD WAS INVOLVED, SAID THE THE ASSASSINATION TARGET -- KHALED MASHAL -- IS RESPONSIBLE FOR THE MURDER OF INNOCENT ISRAELI CIVILIANS. AND IT DECLARED THAT THE RESPONSIBILITY OF THE ISRAELI GOVERNMENT IS TO DEFEND ITS CITIZENS. CRITICISM IS BUILDING AGAINST ISRAELI PRIME MINISTER BENJAMIN NETANYAHU FOR APPARENTLY APPROVING THE OPERATION. ANALYSTS HERE POINT OUT THAT IF IT HAD SUCCEEDED AND THE HAMAS OFFICIAL HAD BEEN KILLED, THERE PROBABLY WOULD HAVE BEEN WIDESPREAD PALESTINIAN RIOTING IN THE WEST BANK AND GAZA AND SERIOUS DAMAGE TO ISRAEL'S RELATIONS WITH JORDAN. ///OPT/// ISRAELI EXPERTS PIN THE BLAME SQUARELY ON MR. NETANYAHU. ON THE ISRAELI STATE RADIO'S MIDDAY NEWSREEL, MILITARY CORRESPONDENT CARMELLA MENASHE HEAPED UNPRECEDENTED CRITICISM ON THE ISRAELI GOVERNMENT AND ITS LEADER. /// ACT IN HEBREW, AN FADE UNDER /// SHE SAID THIS IS ONE OF THE WORST FAILURES IN ISRAELI OPERATIONS AND DECISION-MAKING. SHE SAID IT LED TO AN UNNECESSARY AND CONTEMPTIBLE AFFAIR, TO PROFESSIONAL DEGRADATION AND TO DEEP EMBARRASSMENT FOR ISRAEL, AS WELL AS DAMAGE IN RELATIONS WITH JORDAN. THE ISRAELI STATE RADIO REPORTER ADDED THAT THE PRIME MINISTER AND HEAD OF THE MOSSAD MUST ANSWER FOR THE FAILURE. // END OPT// THE TWO WOULD-BE ASSASSINS ARE STILL IN PRISON IN JORDAN. ON WEDNESDAY, ISRAEL RELEASED FROM PRISON THE AILING FOUNDER OF HAMAS, SHEIKH AHMED YASSIN, APPARENTLY BELIEVING IT WOULD GET THE ALLEGED AGENTS IN RETURN. NOW, JORDAN IS DEMANDING RELEASE OF DOZENS OF ADDITIONAL PALESTINIAN PRISONERS HELD BY ISRAEL. (SIGNED) NEB/ML/DW/RRM 05-Oct-97 11:25 AM EDT (1525 UTC) NNNN Source: Voice of America .