Netanyahu calls for early Israeli elections

[July 31, 2008]  JERUSALEM (AP) -- A day after Prime Minister Ehud Olmert announced he would depart political life, top rival Benjamin Netanyahu said Thursday that Israel should get rid of its current governing coalition and go straight to early elections.

Polls show the Likud Party's Netanyahu -- a former prime minister who takes a hard line on territorial concessions to the Arabs -- would most likely win such a race if it were held today. Olmert threw Israel's political system into turmoil on Wednesday by abruptly announcing he would step down after his Kadima Party's leadership race in September, called because of a series of corruption allegations against him.

"This is a government that has come to the end of its road," Netanyahu told Israel Radio on Thursday. "It doesn't make any difference who heads Kadima, they are all part to a string of failures by this government."

Olmert announced his decision to leave office in September amid a series of corruption probes. The most serious involves suspicions that he illicitly took hundreds of thousands of dollars in cash from a Jewish American fundraiser.

Israel's political system allows Olmert's replacement as Kadima head to carry out his term, which was to have ended in November 2010.

It is possible that the next Kadima leader would not be able to form a coalition government, given the fractious and freewheeling nature of Israeli politics. In that event, new elections would be called, and held early next year. It's possible that Olmert could remain as a caretaker prime minister during this time.

"The right thing to do when the prime minister goes is ... to let the people choose who will lead them and whoever is chosen, he is the one who will need to put together a government," Netanyahu said.

The internal turmoil could make it difficult for Olmert to close deals with either the Palestinians or Syria -- agreements that long have eluded Israeli leaders.

"The Arabs are asking themselves how useful an agreement with Olmert would be, because he is a self-proclaimed lame duck and he will have a hard time to get his deals approved," said Yossi Alpher, an Israeli political analyst.

Palestinian Foreign Minister Riad Malki said Olmert's decision would change little.

"It's true that Olmert was enthusiastic about the peace process, and he spoke about this process with great attention, but this process has not achieved any progress or breakthrough," Malki said. He said the Palestinians would deal with any Israeli government.

The top two contenders to succeed Olmert in Kadima are Livni, a centrist who enjoys widespread public support and is leading Israeli negotiations with the Palestinians, and Shaul Mofaz, a hawkish former defense minister and military chief who headed Israel's security operations when it put down a Palestinian uprising eight years ago.

Public opinion surveys show Livni polling strong, but Mofaz gaining strength within Kadima and Netanyahu generally trumping them both.

Livni is in Washington this week and hasn't yet commented publicly on Israeli media since Olmert announced he would quit.

Mofaz told Israeli Radio on Thursday that he doesn't favor early elections.

"It is in the country's interest to form the broadest possible government in order to stabilize the situation and to face the challenges Israel can expect," he said.

Those challenges include peacemaking with the Palestinians and Syria, and the Iranian nuclear threat.

Since Olmert became premier, police have launched six corruption investigations against him, all involving events that took place before he took office. The last -- suspicions that he double- and triple-billed charities and government ministries for identical trips -- delivered the final blow to his political career.

Olmert, who has been dogged by corruption allegations throughout his career but never convicted, has denied any wrongdoing.

He also came under severe criticism for his handling of Israel's monthlong war against Lebanese Hezbollah guerrillas in 2006. The war ended without achieving its two declared aims: crushing Hezbollah or returning two soldiers whose captured sparked the conflict.

Their bodies were returned to Israel earlier this month as part of a prisoner swap.

"The Olmert era: The End" -- proclaimed the Maariv daily on its front page Thursday. "The right step" -- declared the Yediot Ahronot daily. Both showed Olmert from the back, his head bowed, on the patio of his official residence, where he announced his plans to quit.

"Ehud Olmert has mercifully spared Israel the shameful potential ignominy of having a prime minister indicted while in office," the Jerusalem Post newspaper wrote in an editorial.

[Associated Press; By AMY TEIBEL]

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