[comment caption=Do you agree with the actions of Father Burns?]About 1000 people were protesting against Israel's air and ground offensive in Gaza and called on the New Zealand Government to end its neutral stance.
New Zealand was jeopardising a seat on the United Nations' Human Rights Council, march organisers said.
Father Gerard Burns, the Parish Priest of Te Parisi o te Ngakau Tapu in Porirua, took part in the demonstration marching to the Yitzhak Rabin peace memorial in Wellington's CBD.
Father Burns smeared the memorial to Mr Rabin with a mixture of a drop of his blood and paint.
"The Catholic Church should distance itself from this tasteless vandalism and join Kiwi Friends of Israel in calling for a full and unqualified apology from the priest in question," the group said this evening.
"Kiwi Friends of Israel strongly supports the right of all New Zealanders to have a robust debate on the rights and wrongs of Israel's policies but attacking peace memorials isn't legitimate behaviour.
"Father Burns is entitled to his views - however wrongheaded - but he crossed a line when he decided to daub blood and paint on a memorial to the murdered prime minister.
"The desecration is doubly contemptible given Mr Rabin's lifelong commitment to peace and stability in Israel and Palestine."
The group said Father Burns should apologise for his behaviour and try to voice his political beliefs without vandalising memorials.
This afternoon the protesters delivered a letter to the Ministry of Foreign Affairs and Trade office on Lambton Quay and marched to Civic Square chanting to a drum beat, clapping and waving signs.
Inspector Simon Perry said the group was well behaved, had liaised with police prior to the march and had stuck to the bus lanes.
Protest spokeswoman Serena Moran said "most other governments" had condemned the Israeli invasion.
"(Foreign Affairs Minister) Murray McCully is washing his hands of the horrendous Palestinian suffering in Gaza."
Mr McCully said earlier the Government was not prepared to choose sides.
He said the Government's stance was in line with the international community, including the United Nations and European Union.
Labour's foreign affairs spokeswoman Helen Clark expressed concern that the United Nations Security Council had been unable to agree on a further call for a ceasefire to hostilities in Gaza.
"There is no road to peace between Israel and the Palestinians through this conflict in Gaza, but rather a deepening polarisation between the two sides which makes it even more difficult for a long term settlement to be achieved."