Nonsense.  An additional three million of Hitler's victims were Gypsies.  Why was not a 'homeland' given to THEM?  Indeed, if someone had to be displaced and dispossessed, why dispossess those that even Ben Gurion ADMITTED where innocent of the atrocities committed against the Ashkenaziim?  If reparations were due them, the Germans were the ones to pay, not the Palestinians--ceding the best parts of the Rhine Valley and/or other German property would have been more just.

"...the 1948 war was as needless and unnecessary for the "security" of Israel as was the Israeli invasion of Lebanon of 1982.  ... the 1948 war was not defensive, but a war to gain more territory than the U.N. had allotted for the Jewish state and to "cleanse" the area of Palestinian Arabs...the Jewish population of Palestine in 1948 was only about 600,000...the Ben-Gurion leadership REQUIRED WAR to rid the new Jewish state of most of its Arab population."

(Simha Flapan--"The Birth of Israel: Myths and Realities")