by Shlomo Cesana, Daniel Siryoti, Eli Leon, Israel Hayom Staff and Reuters
Defense Minister Moshe Ya'alon: Claims that Israel will turn into an apartheid state are "nonsense" • Senior Hamas leader Hassan Yousef: Since reconciliation pact was signed, the gap between Fatah and Hamas has widened.
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Defense  Minister Moshe Ya'alon, center, and IDF Chief of Staff Lt. Gen. Benny Gantz on  Tuesday   
|Photo credit: Defense  Ministry  | 
Claims that Israel will turn into an apartheid state are  "nonsense," Defense Minister Moshe Ya'alon (Likud) said in an address at the  14th annual Herzliya Conference on Tuesday.
Ya'alon said that instead of a "land for peace" paradigm,  there has been "land for terror" and "land for rockets from Gaza" reality. 
"The Palestinian Authority, which is considered moderate,  denies our right to a national home," Ya'alon said. "If you don't understand  that, then you don't understand why the conflict remains unresolved."
"The Palestinian reconciliation is misrepresented,"  Ya'alon said. "If anything happens as a result of the reconciliation, it will be  Hamas' takeover of Judea and Samaria."
Meanwhile, a Hamas leader accused Palestinian Authority  President Mahmoud Abbas' Fatah party on Tuesday of jeopardizing the Palestinian  reconciliation deal, just a week after a unity government was formed.
Problems between the two sides surfaced just days after  the new administration took office, when it failed to pay some 40,000 civil  servants hired by Hamas in the Gaza Strip, saying the employees had to be vetted  before receiving their salary.
 
Credit: Reuters
Angry police loyal to Hamas in Gaza ordered the closure of all banks in the coastal enclave until the issue was resolved, dealing a fresh blow to an already sickly economy.
Credit: Reuters
Angry police loyal to Hamas in Gaza ordered the closure of all banks in the coastal enclave until the issue was resolved, dealing a fresh blow to an already sickly economy.
The tensions shifted to the West Bank on Monday, when  Hamas said that security forces loyal to Abbas used violence to break up a rally  organized by the movement and had assaulted senior Hamas leader Hassan  Yousef.
"Since the reconciliation pact was signed, the gap between  us and Fatah and the security services has got bigger," Yousef told reporters in  Ramallah on Tuesday.
"This is not a unity," Yousef said. "They are doing this  to push us to say we do not want reconciliation. We want reconciliation." Yousef  accused Abbas' policemen of confiscating green Hamas flags and detaining the  group's supporters.
A security source in the West Bank said police intervened  after protesters began chanting slogans against the Palestinian Authority.
Yousef denied that and called on the Palestinian Authority  to say "whether Hamas was a banned group in the West Bank."
In a sign of the mutual animosity that exists between the  two groups, Fatah accused Hamas activists of attacking their supporters in  Hebron on Monday, leaving four people needing hospital care.
Azzam al-Ahmed, a senior Fatah official, condemned the  closure of Gaza's banks and said the new administration was not to blame for the  problem. It could take four months to complete the vetting process, he said.
"We affirm our confidence in the unity government and we  reject attempts to doubt it or hold it responsible for the problem," he said.  "The government is not responsible for the latest problem [delay of  salaries]."
Israeli authorities have urged foreign allies to shun the  Palestinian unity government because it enjoys the backing of Hamas, a terrorist  group which refuses to recognize Israel's right to exist.
But Western governments, including the United States, have  pledged to work with Abbas' new administration.
Ordinary Palestinians had hoped that after years of failed  attempts to end the stand-off between the two factions, the creation of a  government of technocrats would pave the way to genuine reconciliation and  long-delayed elections.
However, tensions in Gaza have only worsened, with Hamas  employees furious that while they had not been paid, staff tied to the  Palestinian Authority had received a salary.
Hamas itself had struggled to pay its staff in recent  months, one of the reasons why the group decided to sign last week's accord with  Abbas and dissolve its own government in Gaza.
After Hamas violently seized control of Gaza in 2007, the  Palestinian Authority continued to pay its old 70,000-strong workforce in the  enclave, even though the majority of them no longer worked.
Some of them are now meant to return to their old duties,  but it was not clear how they would be reintegrated, or how long it would take  to vet all the civil servants hired by Hamas.
Looking to apply pressure on the new unity government,  Hamas police have ordered the closure of all of Gaza's banks, creating a fresh  headache for local businesses.
Merchants importing goods from Israel or abroad were  seeking new ways to pay their counterparts.
"It is catastrophic if we cannot pay for food and fuel.  Israeli merchants won't send goods here for free," said Sami Abu Ahmed, a Gaza  businessman. "It will cause a disaster here."
Ehab Bessaiso, a spokesman for the unity government, said the  administration was looking to resolve the problems and urged both sides to avoid  causing further tensions that "harm our interests and hinders the government  from doing its duties."
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