Defence Minister Avigdor Lieberman has revoked a senior Palestinian official's permit to enter Israel over alleged attempts to destabilise society, sources said Wednesday.

Mohammad Madani, head of the Committee for Interaction with the Israeli Society, told AFP the decision to cancel his VIP card was proof of the "racist policy" of the newly appointed Lieberman.

The card enabled Madani to travel freely between Israel and the Palestinian territories in his role to cultivate ties.

Lieberman was widely reported to have said that Madani tried to form a joint Israeli-Arab party as a means of destabilising local politics.

Madani, member of the ruling Fatah party's Central Committee, rejected Lieberman's claims.

"If partnership between the Israelis, Arabs and Jews, in political life in Israel cause such misery and anger within Lieberman, it reflects how far Israel of today is from any attempt to achieve a just and comprehensive peace in the region," said Madani.

"It also confirms that the current cabinet in Israel is a government of war, not peace," he said in a statement.

A spokesman for Lieberman confirmed the details of the report, but added no further comment.

Source: AFP