Egypt-Hizbollah clash

Four months ago the Egyptian secret police discovered a large cell of terrorists operating inside Egypt. Last week 49 of them were charged with various offences, including preparing bombs, smuggling weapons and explosives, planning attacks against Egyptian sites and planning to kidnap and kill Israeli tourists. It was also suggested that they planned to assassinate Pres. Mubarak of Egypt. They had set up a workshop in Sinai making bombs, rockets and suicide belts. Among the group were Egyptians, Palestinians, Sudanese and Lebanese. The last noted group are most significant because the planning and financing of the campaign was reported to have come from the head of Hizbollah, the Shi'ite terrorist organization in south Lebanon, Hassan Nasrullah. In fact the Egyptian Police issued a warrant for the arrest of Nasrullah, an unprecedented act within the Arab world.
In case any one thinks this was a provocation by the Egyptians, a few days ago Sheikh Nasrullah went on public television and in front of a large audience admitted that he had sent a group into Egypt. But, he claimed that it was appropriate for him to do so because his target was not Egypt itself, but Israel, and he claimed that Egypt was being a traitor to the Arab cause in honoring it's peace treaty with Israel. On the contrary, in response the Egyptian Government accused Nasrullah of attempting to undermine the Egyptian Government on behalf of Iran, under the guise of anti-Israel activities. They also accused Nasrullah of trying to convert Sunni Muslims to Shi'ism, a movement that has gradually been gaining adherents in Egypt for some time and which is anathema to Sunni Muslims.
What is the significance of this incident? The most significant fact is that it represents a further proof of the concrete actions of Iran in extending its tentacles into the Sunni Arab world. Many of those who oppose the Egyptian peace treaty with Israel, who wish to take action against Israel, consider the Egyptian Government traitorous, and so they side with Hizbollah and Iran. This is what the "moderate" Sunni Arab States (Egypt, Jordan, Saudi Arabia, the Gulf States) fear, namely the gradual infiltration and hegemony of Iran. They see Pres. Obama's attempts at dialog with Iran as a sign of US weakness that Iran will exploit. Note that Pres. Mubarak did not attend the recent Arab League summit in Qatar, but sent a low-level bureaucrat, because of the presence of Iran. Another example has come in Bahrain, that although it is a part of the Arab Gulf is largely Shia, and Iran has been accused of meddling in the internal affairs of Bahrain.
Apart from the group that has already been arrested, there are another 13 men that are still being sought. Also, the Israeli Government has warned of another terrorist cell in Sinai that is targeting Israeli tourists there. The Israeli Foreign Ministry has issued a strong warning against Israelis visiting Egypt for the Passover holidays, but there are still tens of thousands going, although most of them are Israeli Arabs, who think that they will not be targeted. According to previous bombing attacks in Sinai they are wrong.
It now remains to be seen if the Egyptian authorities will actually pursue Nasrullah for attempting to overthrow the Egyptian Government, and what reaction this induces from Hamas and Hizbollah as well as Iran. These are the opening shots in an ongoing war between the extremists and moderates in the Arab/Muslim world.