JERUSALEM: (Web Desk): Israel’s attorney general announced his plans on Thursday to indict Prime Minister Benjamin Netanyahu on charges of bribery, fraud and breach of trust, imperiling Mr. Netanyahu’s political future just 40 days before he is to stand for re-election.
The announcement by Attorney General Avichai Mandelblit was the culmination of a two-year investigation into Mr. Netanyahu’s dealings with wealthy businessmen, including a Hollywood movie producer, Israeli newspaper publishers and the head of the country’s largest telecommunications conglomerate.
Mr. Netanyahu, who is running for his fourth consecutive term as prime minister, is now entitled to a hearing to challenge the charges. If the case proceeds, he would be the first sitting prime minister to be indicted.
The police accused Mr. Netanyahu, 69, of trading lucrative official favors for gifts worth hundreds of thousands of dollars including cigars, Champagne and jewelry, and for flattering news coverage whose value was incalculable.
Mr. Netanyahu, who held office for three years in the late 1990s before reclaiming power a decade ago, was already facing a surprisingly stiff challenge from a popular former army chief heading into the April 9 election.
The attorney general’s decision is likely to further buffet his re-election campaign.
For the past two years, as the corruption cases were the subject of intense news coverage, Mr. Netanyahu suffered relatively little harm in the polls.
He remains highly esteemed — even by many who have grown weary of his now-familiar flaws and vices — as the only Israeli politician with the stature and experience to lead a lonely democracy in a hostile region and represent its interests skillfully on the world stage.
He has worked hard to prepare his devoted right-wing followers for this moment, assailing the investigation as a “witch hunt” choreographed by the news media in cahoots with his enemies on the left.
But as an indictment became increasingly certain, he grew more strident and divisive, alienating even some of the right-leaning voters whose support he needs to win another term.
That, in turn, has bolstered his leading opponent, Lt. Gen. Benny Gantz, the former army chief of staff, and Mr. Gantz’s argument that Israel needs a clean, fresh start. “Thank you for the last 10 years,” Mr. Gantz has taken to saying, addressing Mr. Netanyahu. “We’ll take it from here.”
Mr. Mandelblit’s decision could also hamper Mr. Netanyahu even if he does win re-election, by narrowing his options in forming a new governing coalition, and perhaps even sinking his chances of leading it.
His conservative Likud party would almost certainly need to join forces with several smaller parties to achieve a majority of at least 61 votes in the 120-seat Parliament. His current right-wing and ultra-Orthodox coalition allies have so far pledged to stick with him, at least until formal charges are lodged, but polls show some of them may not be elected.
A poll by The Times of Israel news site published on Thursday, ahead of Mr. Mandelblit’s announcement, showed that a decision to seek Mr. Netanyahu’s indictment would sharply alter the contest, giving Mr. Gantz’s party 44 seats in Parliament and Likud 25.
Mr. Netanyahu could also choose to step down as part of a plea agreement.
Mr. Mandelblit’s decision covered three separate investigations, though they followed a clear pattern.
In the first, the police said that the Hollywood producer Arnon Milchan, an expatriate Israeli, aided by the Australian billionaire James Packer, sent expensive cigars, jewelry and Champagne worth hundreds of thousands of dollars to the prime minister’s residence in Jerusalem, and that Mr. Netanyahu in return promoted legislation that could benefit Mr. Milchan, though it was blocked by the Finance Ministry.
In the second, Mr. Netanyahu was accused of discussing with the publisher of Yediot Ahronot, one of Israel’s biggest newspapers, the possibility of a deal for favorable coverage: He would press a competing newspaper, Israel Hayom, to curtail its free circulation, and in return Yediot Ahronot would treat Mr. Netanyahu more kindly. Israel Hayom is owned by Sheldon Adelson, the American billionaire casino owner who is a devoted supporter of Mr. Netanyahu’s.
The deal was never completed, investigators said.
In the third case, the police said that Mr. Netanyahu had pushed regulatory actions through the Communications Ministry, which he controlled at the time, that were enormously lucrative to Shaul Elovitch, the principal owner of the Bezeq telecommunications giant. In return, Mr. Elovitch arranged for fawning coverage of Mr. Netanyahu and his family in Walla news, a popular website owned by Bezeq.
Normally under Israeli criminal procedure, Mr. Mandelblit’s announcement would be followed in short order by his turning over the evidence to defense lawyers — which if history is any guide would quickly lead to a deluge of leaks. But Mr. Netanyahu asked that Mr. Mandelblit wait until after the election to avoid just that. Mr. Mandelblit has not said what he will do.
The relationship between Mr. Netanyahu and Mr. Mandelblit, who used to be Mr. Netanyahu’s cabinet secretary, had raised questions about Mr. Mandelblit’s independence and his wherewithal to prosecute the prime minister. As cabinet secretary, Mr. Mandelblit was a trusted aide, whose job required close daily consultations with Mr. Netanyahu.
After three years as cabinet secretary, Mr. Netanyahu promoted Mr. Mandelblit for the post of attorney general.
But as attorney general, Mr. Mandelblit has shown impartiality, challenging government policies he thought were anti-democratic or unconstitutional. In 2017, he announced his intention to bring fraud charges against Sara Netanyahu, the prime minister’s wife, accusing her of misusing some $100,000 in public funds.
Now Mr. Netanyahu must try to mount a legal defense while battling for re-election. His lawyers estimate the legal bills could cost $2 million which, a government watchdog ruled this week, Mr. Netanyahu will have to pay for himself.
He had asked for approval of donations of $500,000 apiece, and the option of $1 million more from two wealthy American associates — a cousin, Nathan Milikowsky, with whom Mr. Netanyahu has had business dealings, and Spencer M. Partrich, a Michigan-based developer.
The committee said it was inappropriate for wealthy individuals to fund legal expenses arising from a criminal investigation involving wealthy individuals. It ordered Mr. Netanyahu to return the gifts he had already received from Mr. Milikowsky and Mr. Partrich.
Mr. Milikowsky had given Mr. Netanyahu $300,000 to cover legal fees, and Mr. Partrich had given him cigars and two or three business suits.
