MIDDLE EAST:ISRAEL'S DEFENCE minister Ehud Barak yesterday called on prime minister Ehud Olmert to stand down or face early elections, saying he could not govern the country and deal with corruption allegations against him at the same time.
"I do not think the prime minister can simultaneously run the government and deal with his own personal affairs," said Mr Barak, who is the leader of the Labour Party, which is Mr Olmert's main coalition partner.
"Therefore, out of a sense of what is good for the country and in accordance with the proper norms, I think the prime minister must disconnect himself from the day-to-day running of the government."
Mr Barak's announcement, which could negatively affect peace talks with the Palestinians and Syria, came a day after a US businessman who is at the centre of corruption allegations against Mr Olmert told a Jerusalem court he had given the prime minister $150,000 in cash-stuffed envelopes over 15 years.
Morris Talansky (75) said the money had gone to cover, among other things, personal expenses like hotel rooms, the upgrading of flights from business to first class, and a family trip to Italy.
While Mr Olmert has said he will stand down if indicted, his aides yesterday rejected Mr Barak's call.
"I can tell you, based on a recent conversation with him, that he has no intention of announcing that he is taking a leave of absence or declaring anything at this stage - not as long as he is trying to prove his innocence," said Tal Zilberstein, a close aide to the prime minister.
Some suggested that Mr Barak's ultimatum lacked "teeth" because he did not announce a specific date by when he expected Mr Olmert to comply with his demand, saying only that it would have to be "soon".
But the Labour leader's comments were aimed specifically at Mr Olmert's ruling Kadima party, who Mr Barak hopes might force the prime minister out and replace him with another party member.
With Benjamin Netanyahu, the leader of the centre-right Likud Party, holding a consistent lead in opinion polls, few believe Mr Barak really wants to go to elections in the coming months.
However, if Kadima forces Mr Olmert out and replaces him, there is a possibility a new party leader could reconstitute a government along with Labour.
The leading candidate to take over from Mr Olmert if he does step aside is foreign minister Tzipi Livni, who is in charge of negotiations with the Palestinians. But there was a growing sense in parliament yesterday that the countdown had begun to an early election, possibly by November.
If Israel were to become embroiled in an election campaign, all peace efforts would be effectively frozen.