Property left behind by Arabs who fled during the fighting in 1948 (ie, absentee property) was turned over to Israel’s Custodian of Absentee Property, which transferred title to state or related bodies for public purposes, such as housing the hundreds of thousands of Jewish refugees from Arab countries who found refuge in Israel. The Custodian held the value of the property in trust for the registered Arab owner (with adjustments for inflation and interest). These actions were completely within international norms, and the office itself and its functions were inherited from the similar British Mandate office.
Those registered Arab owners who are citizens or residents of Israel (including Palestinians resident in East Jerusalem) are eligible to file for compensation from the Custodian, but they were pressured not to make claims, lest that legitimize Israel’s existence and sovereignty. Still, over the years at least 14,692 claims have been filed, claims have been settled with respect to more than 200,000 dunums of land, more than 10,000,000 NIS (New Israeli Shekels) has been paid in compensation, and more than 54,000 dunums of replacement land in Israel has been given in compensation.
Israel has followed this generous policy despite the fact that not a single penny of compensation has ever been paid to any of the more than 500,000 Jewish refugees from Arab countries, who were forced by the Arab governments after 1948 to abandon their homes, businesses and savings.
Times of Israel Clarifies on Land Compensation Laws for Arabs, Jews
