Tel-Chai Nation

When Ehud Olmert steps down soon, he's going to be facing some serious legal problems:

Attorney-General Menahem Mazuz informed Prime Minister Ehud Olmert on Sunday evening that he intends to indict him on charges of fraud, pending a hearing.

The indictment would include counts of fraud, breach of public trust and receiving illicit funds from US businessman Moshe Talansky. The attorney-general did not, however, find evidence of bribery.

"The prime minister exploited his position and public standing," Mazuz said of his decision. "He actively obscured the true nature of his relation with Talansky, including from the State Comptroller's Office."

Mazuz had already come to a decision to indict Olmert on charges stemming from the Rishon Tours affair, pending the outcome of a hearing he will offer Olmert and his lawyers.

Olmert's spokesman Amir Dan responded to Mazuz's announcement recent with a harsh invective against Israel's legal system.

"The Attorney General's Office continues to flaunt Talansky's first fraudulent testimony," he said in an announcement.

"The attorney's office cannot afford admitting today that the irregular procedure of [Talansky's] early testimony, which led to the resignation of an Israeli prime minister, was wrong and fundamentally mistaken, and there was no justification for it to take place," continued Dan.

Talansky has been questioned about financial transfers to Israel totaling approximately $300,000, which were allegedly used to cover Olmert's campaign debts, as well as cash gifts totaling as much as $150,000.

In January, a key obstacle to an indictment of Olmert was removed, when the Justice Ministry informed Talansky that he will receive partial immunity in the US for any testimony he offers in an Israeli court.

Until now, the key witness in the 'cash envelopes' case has avoided offering any further testimony out of concern that he could incriminate himself on tax-related offenses in America.

The prosecution had decided to get an early testimony from Talansky in the Jerusalem District Court, out of fear that the New York financier would decide to leave Israel before the investigation had run its course.

On Friday, police questioned Olmert under caution at his Jerusalem residence on another affair standing against him, in what may have been the last time officers from the National Fraud Unit interrogate the outgoing premier.

The detectives focused on suspicions that Olmert purchased an apartment on the capital's Rehov Cremieux from its developer, the Alumot MG Engineering Corporation, at a significant discount, while serving as acting prime minister in 2004.

Olmert allegedly shortened the bureaucratic processes in the Jerusalem Municipality for the Alumot Corporation in exchange for the discounts.

The prime minister was also questioned on two additional cases. In the first, Olmert is suspected of arranging investment opportunities for his former law partner Uri Messer while he was the trade and industry minister. Olmert allegedly granted large state investment funds to a factory that Messer was hired to represent.

In a separate case, police suspect Olmert illegally appointed cronies and granted benefits to entrepreneurs seeking various tenders when he served as trade, industry and minister.

So, will Olmert be facing this like a man? He'd be advised to act grown up about what he's going to face, something he's had coming to him for a long time.

Labels: Israel, political corruption