Gunmen took over the governor's office in the Palestinian town of Khan Younis early today demanding compensation from the Palestinian Authority for destruction caused by Israeli raids.
They left about an hour later after authorities promised to set up a mechanism to compensate the Palestinian homeless.
The gunmen said they were not from any of the militant groups waging a 4-year-old intifada against Israeli occupation. They claimed to represents residents of a neighborhood where Israeli troops dynamited two apartment blocks last week.
"We need homes for the homeless," Mr Abu Mujahed, a spokesman for the gunmen said, adding that 160 families had been made homeless by the latest demolitions and previous raids.
"We are asking President Arafat to stand beside our fair demands," he added.