Centred around a May 1970 shooting at the Israeli embassy in Asunción, this article traces a chain of actions and reactions that began with Israel's victory in the Six-Day War in June 1967 and ended after the June 1972 verdict of a Paraguayan court regarding two Palestinians. Situated among Israeli officials, Palestinian refugees and Syrian-Lebanese elites, authoritarian Paraguay was not only encompassed by but also accommodated the post-1967 Arab–Israeli conflict, revealing the connection between the ‘areas’ of South America and the Middle East through ideas about relocating Palestinians as well as their actual displacement.