Netanyahu today said, regarding the Palestinian bid to join the International Criminal Court in the Hague that "The Palestinian Authority is an entity that maintains an alliance with a terrorist organization, Hamas, which commits war crimes." Netanyahu encouraged the ICC to reject the Palestinian application.
The only problem I see with Netanyahu's argument is that he seems to be forgetting that Europe, the home of The Hague and the ICC, no longer considers Hamas to be a terror organization. Europe recently removed Hamas from their list of terror organizations.
So, according to Europe's belief, there is nothing wrong or sinister with the Palestinian Authority's alliance with Hamas.
On that merit alone, I don't see why their alliance with Hamas would hurt their application. On the other hand, the argument that they are not a state might hold more water.
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