Defense Minister Benny Gantz over the weekend extended the moratorium on an order imposing criminal sanctions on Palestinian Arab banks that hold accounts of terrorists and their families and which are budgeted by the Palestinian Authority, Yediot Aharonot reports.
The imposition of sanctions was initiated by former Defense Minister Naftali Bennett, and Gantz froze the sanctions a month and a half ago.
The cancellation of the sanctions allows the Palestinian Authority to transfer funds to terrorists through the banks and has caused an uproar among bereaved families.
Bennett had signed the initial order last February. The order allows the seizure of property and terrorist money through the banks. Following the order, the banks asked the Palestinian Authority to stop transferring the money through them.
The Defense Minister's Office stated in response that the decision was made in light of the recommendations of all parties in the defense establishment.
PA officials have remained defiant and have made clear that the PA will never cease paying terrorists' salaries.
PA chairman Mahmoud Abbas has in the past called the PA's continued payments to terrorists a "red line" that would not be halted under any circumstances.