Talks are reportedly underway towards reaching a deal by which Corp. Shalit would be released in exchange for Israel setting free 800-1,000 terrorists, in three stages. Shalit’s immediate release would be accompanied by the setting free of 300 terrorists from Israeli prisons, and followed some weeks later by the release of another few hundred. The final stage, to be accomplished by year’s end, would demand the release of 200 prisoners.



According to a report appearing last week in the Saudi Okaz newspaper, an Israeli delegation visited Egypt in an effort to negotiate a prisoner release deal. Egypt is said to be active in prisoner-release efforts.



Shalit fell into captivity on June 25th, during a multi-pronged terror attack at Kerem Shalom, adjacent to the Gaza border. Two soldiers were killed in the attack, and Shalit was abducted from his tank. Terrorists quickly fled back, via the tunnel they had dug, into PA (Palestinian Authority)-controlled Gaza.



Noam Shalit, Gilad's father, told Voice of Israel Radio that he is not encouraged by the reports: "The progress is being made in the media, but nowhere else." He said that Israel demands to see concrete evidence that Gilad is alive before agreeing to free terrorist prisoners.



The Prime Minister’s Office released a statement saying, “We are unaware of any impending deal towards the release of soldiers."



Despite the denial from the Prime Minister’s Office, reports indicate that the deal in the works would coincide with the Muslim holiday of Id el-Fitr, which follows Ramadan, a holiday that is generally accompanied by pardons for prisoners in Muslim countries. This year, Id ed-Fitr is observed on Sept. 23rd.



It has been learned that Ophir Dekel, an aide to Mr. Olmert, traveled last week to Germany where he met with Ernst Uhrlau, head of the BND Intelligence Agency. Dekel reportedly discussed German mediation efforts towards obtaining the release of Shalit and two soldiers held by Hizbullah, Ehud Goldwasser and Eldad Regev.



Government officials are signaling that Fatah Tanzim leader Marwan Barghouti, who is serving multiple life sentences for his terrorist acts, will not be among those released - despite the considerable pressure applied by the PA in the past to obtain Barghouti’s release. In addition, Israel remains adamant in refusing to include Lebanese terrorist Samir Kuntar in a prisoner release deal, but Jerusalem is willing to release other Lebanese prisoners held by Israel, numbering fewer than 30. Israel is also prepared to hand over the bodies of Hizbullah terrorists.



The daily Yediot Achronot reports that Syria is also making demands, seeking the release of 20 Druse residents of the Golan Heights imprisoned in Israel. The Syrian demands are reportedly not tied to this negotiating effort.



Hamas Officials Will Not be Included in the Deal

Hamas PA ministers and elected PA officials imprisoned in Israel will not be included in the upcoming deal. It appears those members of the PA administration not facing criminal charges for their terrorist activities will remain incarcerated pending the formation of a unity PA government including Chairman Mahmoud Abbas’ (Abu Mazen) Fatah Party.