Pallywood is a phenomenon where many Palestinians have been caught, many times, faking news stories, or staging photos, etc., to try to make it look like when Israel retaliates to their violence, that the response is asymmetric, or just misrepresenting what happened and having their allies in the left leaning media regurgitate the lies. Which of course ignores the point that justice is SUPPOSED to be asymmetric to deter the behavior in the first place. The point is not that every story about injustice done to the Palestinians is false: it's just the majority that are that gives rational and informed people suspicion around the rest. And of course the point is that if the Palestinians laid down their arms, there would be peace. If Israel did, there would be gennoacide. So while the Palestinians aren't always wrong, they're virtually always more wrong in the macro -- as this fight is 95% on them.
On Sep 30, 2000, The New York Times, the Associated Press and others published a photo of a bloodied young man seen below a club-wielding Israeli policeman.
The caption read, “An Israeli policeman and a Palestinian on the Temple Mount”, and the pose suggested that the Israeli policeman was responsible for the injuries of the “Palestinian” man in the foreground.
In reality, the man was not a Palestinian Arab at all, but a Jewish American yeshiva student named Tuvia Grossman. Grossman had been pulled from a taxi in Jerusalem by a mob of Arabs and severely beaten. Similarly, the "threatening" policeman in the picture is actually a Druze Israeli called Gideon Tzefadi, and he was standing over Grossman and defending him from the mob.
Seeing his son's picture in the New York Times, Alan Grossman sent the following letter to the newspaper: “that Palestinian is actually my son, Tuvia Grossman, a Jewish student from Chicago. He, and two of his friends, were pulled from their taxicab while traveling in Jerusalem by a mob of Palestinian Arabs, and were severely beaten and stabbed. That picture could not have been taken on the Temple Mount because there are no gas stations on the Temple Mount and certainly none with Hebrew lettering."
In response, the New York Times published a half-hearted correction which identified Tuvia Grossman as “an American student in Israel” — not as a Jew who was beaten by Arabs. The “correction” also noted that “Mr. Grossman was wounded” in “Jerusalem’s Old City” — although the beating actually occurred in the Arab neighborhood of Wadi al Joz, not in the Old City.
For years after, Arab groups adopted Grossman’s photo in their propaganda campaigns, cynically using a bloodied Jew as a symbol of the Palestinian struggle.Among others, an official Egyptian government website used the photo on its photo gallery, and the Palestinian Information Center incorporated Grossman’s photo into its homepage banner.