Israel’s Olmert suspected of bribery

10/25/2006 6:00:00 AM GMT

Israeli Prime Minister Ehud Olmert is suspected of accepting bribes as acting finance minister last year, Israeli authorities said, according to BBC.

Olmert as finance minister is believed to have helped two overseas-based businessmen in the bidding for Bank Leumi, Israel's second largest bank, an Israeli website said.

In response to a query from Arutz-7, the Justice Ministry's spokesman responded with a statement saying:

"A number of weeks ago, the State Comptroller's Office submitted to the Attorney General materials regarding the tender for the sale of the controlling interest in Bank Leumi. The Attorney General submitted these materials, as is customary, to the State Prosecutor for Prosecution review and the preparation of an opinion as to how to proceed with them. At this stage, no decisions have yet been made, no criminal proceeding is underway on the issue, and the police are not involved in the matter."

None of the businessmen purchased the bank. Its controlling interest was sold in 2005 to Cerberus-Gabriel, a U.S. investment group for $540-million.
Mr Olmert denies any wrongdoing. His office is awaiting an official approach by authorities.

It has also denied any wrongdoing in appointments to the Small and Medium-Sized Business Authority in 2004, when Olmert was industry minister. The Knesset Control Committee has been informed by an official in the State Comptroller's Office about material linking the Israeli Premier to political appointments in the Small Business Authority, which, according to Yaakov Borovsky, former police official who leads a campaign against government corruption, raise suspicions of criminal acts.

The Bank Leumi deal is the fifth in a series of criminal investigations against the Israeli PM which NFC, the website of investigative journalist Yoav Yitzchak, has led in reporting. But so far no formal charges have been filed against him.

No charges have been filed against Olmert yet, but allegations have already drawn headlines at a time the Israeli PM is already facing mounting criticism from his nation over his failure to win Lebanon war against Hezbollah.

This is the latest in a series of scandals involving senior Israeli officials and political figures that had been uncovered in recent months, including the Israeli President himself who’s been caught up in a sex-scandal that threatens to cost him his political career.

Moshe Katsav, the Israeli President is facing charges of sexual harassment, while former Justice Minister, Haim Ramon, and a former Environment Minister, Tzahi Hanegbi, are both facing charges for misconduct.

All deny any wrongdoings.

Aljazeera.com