Pressure from pro-Palestinian groups has forced a French multinational to drop out of an Israeli light rail project that cuts into disputed east Jerusalem, a would-be Israeli partner in the project said Sunday.
France's Veolia disputed the assertion, which would bolster an international campaign to boycott companies supporting Israel's occupation of the West Bank and east Jerusalem. Palestinians claim both areas for part of their future state.
Veolia originally had planned to sell its 5 percent stake in the project to Israeli company Dan bus lines, but later sold it to a rival. Dan is now suing Veolia.