Updated

The US Supreme Court refused to freeze a $656m judgement against the Palestinian Authority and the Palestine Liberation Organisation, after the two bodies argued they were too cash-strapped to compensate American victims of attacks in Israel during the Second Intifada. The decision was issued by Justice Sonia Sotomayor, who handles emergency applications from the relevant circuit, and was announced on Monday. Critics of the ruling described the financial penalty as a form of collective punishment against Palestinians, noting that the PA is already facing a severe fiscal crisis. The judgement stems from long-running litigation under US anti-terrorism statutes and could further strain the Authority's ability to pay salaries and maintain services in the West Bank.