The Israelis have nothing to apologize for. After the country was formed, they were brutally attacked by their neighbors and surrounding countries. As the paragraph from your story posted below shows they treated the Arabs who did not flee very decently in what is the only Democracy in the Middle East.
"At the cease-fire that ended the War of Independence in 1949, the population of Israel included 700,000 Jews and 150,000 Arabs. The Arabs were those who were living on the west (Israeli) side of the 1949 cease-fire line and had not fled.* These Arabs were given citizenship in the Jewish state, representation in the Knesset (Israel’s parliament), and just about all the rights and duties enjoyed by Jewish citizens."