Merkel mulls canceling Israeli sub deal over settlement policy

German Chancellor Angela Merkel is reconsidering her decision to sell the Zionist regime a sixth Dolphin class submarine amid deep frustrations over new settlement plans in occupied East Jerusalem, the Berlin-based daily Der Tagesspiegel said Thursday. Concerned over Berlin's intention to suspend and possibly cancel the submarine sale, Israel's deputy foreign minister Danny Ayalon traveled on Monday to the German capital where he met with Merkel's top national security advisor Christoph Heusgen and deputy foreign minister Werner Hoyer. Merkel has lashed out at Israel's new settlement plans in occupied East Jerusalem, branding it 'provocative.' The chancellor who has in the past faced strong public criticism for her almost fanatical support of the Zionist regime, said Israel's latest settlement plans have triggered doubts whether the illegal Jewish state was even interested in having peace with the Palestinian side. Germany announced earlier this year it would grant Israel a 135 million euros aid package to build its sixth submarine. German financing has played a key role in the creation of the Israeli navy's submarine fleet which has presently three Dolphin class submarines, and is expected to receive two new ones, still under construction in Germany. All the submarines will reportedly be equipped to carry nuclear warheads. The highly controversial deal was originally approved by former German chancellor Gerhard Schroeder amid widespread fears that the submarine sale would spark a new arms race in the Mideast region.