Article Photos: Israel feels heat from allies over settlements 3/3

The E1 project at the Jewish West Bank settlement of Maaleh Adumim, near east Jerusalem, Sunday, Dec. 2, 2012. Israel on Sunday roundly rejected the United Nations' endorsement of an independent state of Palestine, and announced it would withhold more than $100 million owed to the Palestinians in retaliation for their successful statehood bid. Israel has a master plan to build 3,600 apartments and 10 hotels on the section of territory east of Jerusalem known as E1. The Palestinians have warned that such construction would kill any hope for the creation of a viable state of Palestine. (AP Photo/Ariel Schalit)