A mind worn down by fear can come, at last, to a strange peace, releasing its grip on the outcome it cannot control. Israel asks mercy before the man and then lets go, saying that if he is bereaved, he is bereaved. This is not despair but the loosening of the ego's insistence that it must hold every loved thing in its own hands. When the mind stops defending against a threat it only imagined, it becomes able to receive the mercy it was too afraid to expect, and the brothers it feared for are restored rather than taken.
His surrender is the willingness to be at peace whatever comes. That release, not the clutching, is what finally lets the lost ones be given back.
Benjamin: the cherished innocence the mind clutches in fear, which is kept only when it is at last released.
The man: the authority guilt has painted as adversary, waiting in truth to show the mercy the fearful mind cannot foresee.