Government needs to get a lid on this. This example of organising in this way for the benefit of a foreign entity on Australian soil is worse than the Confucius Institutes.
It doesn't matter that they're a putitive ally, or, on the other side of the coin, that these people are supposedly celebrating a cunning but disgusting (in its untargeted nature) intelligence operation. For Australian sovereign risk reasons we need to stamp out this Israeli State* organising just like we must with other countrys when they do this.
*I mean these people's action to the benefit of the Israeli State, they don't necessarily have to be proved to be State actors themselves for this to be a sovereign risk.
Edit: what a disgusting event though, how warped your mind must be to imagine dancing atop the dead of a covert operation with your children in tow. Noting the operation's success is not what these people are doing, the extremist ideological hate driving the organisation behind this event should be concerning for everyone, not least those organisers who need a hard look in the mirror.