In 1949, more than 700,000 Palestinian refugees were waiting to return home. America had two levers of influence on Israel. It set them both free. They were forced to leave the country during the 1948 war. In December of that year, the UN said that refugees who want to return home and live in peace should be allowed to do so. President Harry Truman sent Mark Etheridge, a Kentucky newspaperman, to help broker peace. For six weeks, Etheridge said, Israel has not made a single statement about its position on refugees. The first lever was the UN. In April 1949, Washington refused to sponsor the reception of Israel until it gave guarantees regarding the refugees. Within two weeks he was registered anyway. In May, Israel was accepted by an American vote. In May of that year, Israel's chief negotiator announced that he would do nothing more for the refugees for the time being. The Ministry of Foreign Affairs warned Truman that Israeli officials intend to change America's position with the means available to them in the United States. Truman told Prime Minister David Ben-Gurion that if Israel continued to reject the UN call, a reexamination of America's position would be inevitable. Israel refused. The second lever was money. The Export-Import Bank has given Israel $100 million. That summer, Truman approved the withholding of the final 49 million until Israel gave up land. By the end of August, his aide David Niles and Secretary of State Dean Acheson raised the issue with him. The record does not say what he decided. In September, the bank approved a loan to Israel for the money that was withdrawn, and in October another 20 million. Israel did not give up. In 1974, Etheridge looked back: Truman failed me on two fronts on the Palestine question. The refugees were never allowed home. Not in 1949. Not since. Sources: United Nations Resolution 194 (1948); Foreign Relations of the United States, 1949; Etheridge Oral History, Truman Library (1974); John B. Giudice, Genesis (2014).