A nicer way of saying "royally fucked", as in "Palestine is ISRAELED" or "PALESTINE IS ISRAILED". Cool kids sometimes drop the linking verb to say "PALESTINE ISRAILED"
When someone starts a major fight with you and then gets others to blame you for fighting back.
I was just walking down the street and out of no where he punched me in the face; I hit him back a few times, and then police appeared and he got them to charge me with assault. I was Israeled.
It's what happens when you decided to share something you own with your downtrodden friend who's getting beaten up by a big bully. Then that friend beats the crap out of you, takes the thing you decided to share and then tells everyone how you're trying to steal his property.
Spongebob: this chocolate bar is mine, you ate yours."
Patrick: You took my only food, now I'm gonna starve.
Narrarator: Spongebob just got Israeled.