Israel sure didn't mind that Arafat was taking money from the Palestinians. Arafat agreed to a lot of things that weren't in the Palestinians' interest. Oslo was one of them. And then, when he set up his security apparatus, it wasn't for the purpose of protecting Palestinians. It was for the purpose of policing Palestinians on behalf of the government of Israel... essentially, doing Israel's job for it. If that's not working for the government of Israel, I don't know what is.