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Last updated at: (Beijing Time) Wednesday, January 08, 2003

Sharon's Political Life Faces Threat from Bribery Scandal

Three weeks ahead of the general elections, Israeli Prime Minister Ariel Sharon has to face a troubled bribery scandal, which could cause a fatal effect to his political life.


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Three weeks ahead of the general elections, Israeli Prime Minister Ariel Sharon has to face a troubled bribery scandal, which could cause a fatal effect to his political life.

The Ha'aretz Daily reported that the prime minster received 1.5 million US dollars from Cyril Kern, a South African businessman, toserve as collateral for a loan his sons Omri and Gilad took out to pay back a company from which Sharon received illegal campaign contributions during his primaries campaign for the Likud leadership.

Sharon's adviser Eyal Arad conceded Tuesday Sharon has received the money, but denied any connection to criminal activity.

"It is not by chance that there are leaks, lies and disinformation designed to bring down the prime minister and his government," Arad said, adding that it was a lawful loan that was repaid with interest last month.

Arad also confirmed that Sharon had ordered Attorney General Elyakim Rubinstein to root out the source of allegations. The StateAttorney's office has asked the South African Justice Ministry for help in its investigation of how and why Sharon received the money from Kern.

Labor Party Chairman Amram Mitzna on Tuesday called on Sharon toresign or present his own account of the events in question. "If Sharon decides to keep quiet he will lose his legitimacy and be unworthy of leading Israel in its hour of crisis," he said.

The head of Labor's election team, MK Ofir Pines-Paz, submitted an official request to the police commissioner and head of the police investigation branch for Sharon to be interviewed on the matter.

Analysts here said the Labor party, a major rival of the Sharon-led Likud party in general elections, would utilize the alleged bribery scandal to get more public support and win the elections scheduled for Jan. 28.


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