Netanyahu wins party vote in boost ahead of Israeli election

By Dan Williams and Rami Ayyub

JERUSALEM (Reuters) – Israeli Prime Minister Benjamin Netanyahu easily won a vote to keep the Likud party helm, the party said on Friday, in a boost ahead of what is likely to be a hard-fought general election in March.

Netanyahu won 72.5% of votes in Thursday’s party ballot, against 27.5% for challenger Gideon Saar, who conceded, tweeting that he would now back the incumbent “for the sake of a Likud victory in the (general) election”.

The challenge by Saar, a former education and interior minister, had added to pressures on the four-term premier, who is under indictment and fighting for political survival.

Netanyahu declared victory in a speech at Likud’s campaign headquarters near Tel Aviv, telling supporters: “The future is in our hands”.

“The sweeping decision in the primaries was a major expression of confidence in my path, in our path,” Netanyahu said, adding: “Now is the time to bring a sweeping victory to Likud and the right in the elections.”

In November, Netanyahu was charged with corruption in three criminal cases and he has twice failed to form a government in the wake of inconclusive national ballots in April and September.

Netanyahu’s rival in those elections, Benny Gantz of the Blue and White party, was also unable to form a coalition, leading to political deadlock and a third election on March 2.

Netanyahu has cast the legal case against him as a political witch-hunt by the media and an Israeli left hoping to oust him.

Gantz, who will be Netanyahu’s main challenger again in March, sought to draw a distinction between his centrist party and Likud under Netanyahu, who he said was “seeking to break down the rule of law”.

“As Likud continues to by led by a defendant in bribery, fraud and breach of trust, we will choose unity, statehood and reconciliation, leading Israel on a new path,” Gantz said on Twitter.

Though the troubles of “King Bibi”, as his fans call him, do not seem to have dented the loyalty Netanyahu commands among his supporters, some Likud members have said it is time for fresh leadership.

Netanyahu had played down Saar’s challenge, talking up his own security credentials and international prowess. Saar had argued that Likud was unlikely to regain power in March unless Netanyhu steps aside.

(Reporting by Dan Williams and Rami Ayyub; Editing by Stephen Coates and Giles Elgood)

With Netanyahu’s fate in question, Israel heads to new election

By Jeffrey Heller

JERUSALEM (Reuters) – Israel headed on Wednesday toward a third national election in less than a year with Prime Minister Benjamin Netanyahu facing the fight of his life for political survival after a criminal indictment.

A midnight deadline, the last of a series of set to allow for the formation of a new government after a September election, passed unmet. That triggered another election within three months. Under an earlier agreement between the two main parties, March 2 was the date to be set for the new election.

What had once seemed nearly impossible to many Israelis – a third visit to polling stations after the inconclusive ballots of April and September – carries a heavy economic price: it will be well into 2020 before a new budget is passed, which will mean months of cutbacks that will weigh on growth.

Neither Netanyahu’s right-wing Likud party nor the centrist Blue and White party led by his main rival, former military chief Benny Gantz, won enough seats in the Knesset for a governing majority in the previous two contests.

Both men were delegated the task of forming a coalition, but failed. Each has blamed the other for the impasse, in which neither could agree on the terms for a “rotating” premiership.

Wednesday’s deadline marked the end of a final three-week period in which Israel’s president gave Knesset lawmakers an opportunity to find a new candidate from within their ranks.

In the two previous national elections, Netanyahu’s opponents focused on the three corruption investigations against him that included allegations he dispensed favors to media barons in a push for more favorable media coverage.

But this time, Israel’s longest-serving leader is running under the cloud of a criminal indictment announced last month.

Denying any wrongdoing, Netanyahu, 70, has accused legal authorities of attempting a “coup” aimed at ousting a popular right-wing leader. Critics alleged that Netanyahu was trying to undermine the rule of law and set an election campaign theme portraying himself as the victim of “deep state” conspiracy.

As prime minister, Netanyahu is under no legal obligation to resign as a result of the indictment, and while in office he can ask the legislature to grant him immunity from prosecution.

As caretaker premier, Netanyahu would remain in the post until a new government is formed – a process that could stretch months past a March ballot if what is likely to be tortuous coalition-building is taken into account.

“There are only three reasons for this election – bribery, fraud and breach of trust,” Blue and White lawmaker Yair Lapid told the Knesset, alluding to the charges against Netanyahu.

Vowing to “win big” at the polls, Netanyahu has described himself as best-placed to deal with Israel’s many security threats. He has cited U.S. backing for proposed Israeli annexation of occupied land where Palestinians seeks statehood as a reason for Gantz to partner up with him in government.

“They (Blue and White) want to hide the fact that they did everything to avoid creating a national-unity government that would have annexed the Jordan Valley and applied Israeli sovereignty to the settlements of Judea and Samaria (West Bank),” Netanyahu said in video statement on social media.

“It was they who imposed a new election on us.”

An opinion poll on Israel’s Channel 13 news on Tuesday forecast Blue and White would win 37 seats to Likud’s 33 in the 120-member parliament, increasing the one-seat advantage it gained in the last election.

But it also indicated that both parties could still struggle to secure enough allies for a majority coalition.

(Editing by Mark Heinrich and Tom Brown)

U.S. support for Israeli settlements renews focus on core issue in Mideast conflict

U.S. support for Israeli settlements renews focus on core issue in Mideast conflict
By Stephen Farrell and Jeffrey Heller

JERUSALEM (Reuters) – Israel’s ruling right-wing government on Tuesday moved swiftly to embrace Washington’s backing for Israeli settlements, even as Palestinians and Arab leaders said it was a threat to the international rule of law.

Monday’s announcement by Secretary of State Mike Pompeo abandoned the position that settlements in Israeli-occupied territory were “inconsistent with international law”, reversing a position taken by the United States under President Jimmy Carter in 1978.

Israeli Prime Minister Benjamin Netanyahu lost no time in making political capital out of the announcement, as he struggles to remain in power following two inconclusive Israeli elections and possible criminal prosecution over corruption charges, which he denies.

“I admit that I am very moved,” Netanyahu said as he visited the Etzion bloc of settlements in the Israeli-occupied West Bank.

“The Trump administration has corrected a historic injustice,” Netanyahu said. “This is a very great day for the State of Israel and an achievement that will stand for generations.”

Some Israeli analysts said the announcement had little practical effect – with settlement building already in evidence under a Netanyahu government, as it had been since the area was captured from Jordan in the 1967 war.

In Geneva, the U.N. human rights office said the settlements remain in breach of international law, echoing a position taken by the International Court of Justice in an advisory opinion in 2004.

Israel disputes this, and Netanyahu has cited historical and biblical links to the West Bank in supporting Jewish settlement.

Palestinians say settlements jeopardise their goal of a state in the West Bank and Gaza Strip, with East Jerusalem as its capital.

“HOLD BACK”

Although President Donald Trump told Netanyahu in early 2017 that he would “like to see you hold back on settlement for a little bit”, the intervening period has seen repeated postponement of the White House’s “Deal of the Century” peace plan.

Trump has also made a succession of pro-Israeli initiatives.

These include U.S. recognition of Jerusalem as Israel’s capital in 2017, moving the U.S. embassy to the city in 2018 and cuts in U.S. aid to Palestinians. In March, Trump recognised Israel’s annexation of the Golan Heights, captured from Syria in 1967.

Hagit Ofran, Settlements Watch Director of the left-wing Israeli group Peace Now, said there were 430,000 settlers in the West Bank and 200,000 in East Jerusalem, living in 132 settlements and 121 unofficial settlement outposts. About 3 million Palestinians live throughout the West Bank.

“If you want to know what the Deal of the Century plan was, we know what it is now,” said Ofran after Pompeo’s announcement. “It is to say to the Palestinians ‘you are not going to get any of your basic demands and rights’.”

INTERNATIONAL LAW

The speed and consistency of the response by Palestinian officials suggested they are familiar with headline-grabbing Trump initiatives and have decided to frame them in a wider context.

“The bias of the Trump administration towards the most extreme in Israel blinds it from seeing the basic principles of international law and consensus,” said Palestinian Prime Minister Mohammad Shtayyeh on Twitter.

Palestinian Ambassador to the United Nations Riyad Mansour said he was consulting other nations at the Security Council to “lobby a unified international position to confront the American illegal announcement regarding settlements”.

Diana Buttu, a former legal adviser to the Palestine Liberation Organization, said the U.S. decision had been decades in the making.

“Each U.S. administration, since Reagan, has pandered to Israel on settlements,” she told Reuters.

“I get the sense from the Palestinian leadership’s responses that they believe this issue has to be framed as not just about ‘us’ but about the world order that people believe in… when you go down this path it isn’t just about Palestine, this affects Crimea and other places around the world.”

FACTS ON THE GROUND

David Friedman, the Trump-appointed U.S. Ambassador to Israel, said on Twitter that Pompeo’s announcement would “advance the cause of peace” by creating a “level playing field” for future talks.

To many Israeli settlers, the U.S. move simply recognised the status of settlements they regard as permanent.

“From the sea to the Jordan River, it belongs to the people of Israel,” said Zomi Osi, a settler speaking near the new settlement neighbourhood Ramat Givat Zeev, which is expanding along a valley in the West Bank.

But yards away in Beit Ijza, overlooking Ramat Givat Zeev and an Israeli highway built through the West Bank, retired Palestinian villager Mahmoud Salem said nothing could change the fact that the land was Palestinian.

“He (Trump) doesn’t own it, he has no right to give it to anybody and he can’t force its owners to leave it,” he said.

GAZA AND ARAB WORLD

In Gaza, where Israeli withdrew soldiers and settlers in 2005, Palestinian student Fatima Attallaa stood outside a building that was once part of the Israeli settlement Neve Dekalim, saying she looked forward to the day when the West Bank was also free of settlers.

“The American decision is void,” she said. “Settlements will be removed. We are at a university that was once a settlement and today it is Al-Aqsa University.”

Wider Arab and Muslim reaction was equally condemnatory.

Arab League Secretary General Ahmed Aboul Gheit said such an “unfortunate change” in the American position would not bring Israel security, peace or normal relations with Arab countries. Egyptian state news agency MENA quoted him as saying it would “push the legions of Israeli settlers to practise more violence and brutality against the Palestinian population.”

Turkish Foreign Minister Mevlut Cavusoglu said on Twitter: “No country is above international law” and “fait accompli style declarations” had no validity.

Jordan’s foreign minister, Ayman Safadi, said a U.S. change of position on settlements would have “dangerous consequences”. Calling the settlements illegal, he said they killed prospects for a Palestinian state existing side-by-side with Israel.

But in U.S.-allied Saudi Arabia, the state news agency did not mention the issue after a cabinet meeting, focusing on criticism of Israeli air raids in Gaza.

(Additional reporting by Nidal al-Mughrabi in Gaza and Ali Sawafta in Beit Ijza,; Yousef Saba in Cairo, Suleiman al-Khalidi in Amman, Jonathan Spicer in Istanbul, Dahlia Nehme in Dubai; Editing by Giles Elgood)

Will ‘The Prince’ dethrone ‘King Bibi’? Israel’s ex-military chief aims at premiership

Will ‘The Prince’ dethrone ‘King Bibi’? Israel’s ex-military chief aims at premiership
By Dan Williams

JERUSALEM (Reuters) – Confronted by a right-wing heckler while campaigning for last month’s parliamentary election in Israel, Benny Gantz grabbed the man by the lapels and glared down at him.

“No one’s doing anything wrong by you,” Gantz, who leads the centrist Blue and White Party, told him. “We only want what’s good for you.”

The encounter was part embrace, part menace, and highly ambiguous. So is much else about Gantz, who will try to form a government after Prime Minister Benjamin Netanyahu’s decision to abandon his own attempts to put together a new coalition.[

President Reuven Rivlin turned to Netanyahu first after the Sept. 17 election, in which no party won a majority. Gantz, was next in line after Blue and White won 33 seats in parliament, one more than Netanyahu’s right-wing Likud.

The 60-year-old general, nicknamed “The Prince” as he rose through army ranks, now has the chance to dethrone Netanyahu, who is sometimes referred to as “King Bibi” after dominating Israeli politics for more than a decade as prime minister.

As chief of the Israeli military between 2011 and 2015, Gantz was a consensus figure. He has tried to retain his broad appeal as head of Blue and White, a newly formed party named after the national colors.

But what he would do in power is not completely clear as he had avoided committing himself on some important issues.

Gantz casts himself as more diplomatically accommodating than Netanyahu, urging redoubled efforts to restart peace talks with the Palestinians, but has stopped short of any commitment to the statehood they seek.

Supporters see Gantz’s reticence as an attempt to calm the political scene after two elections this year – Netanyahu also failed to form a government after an April ballot. They say Gantz would rather keep his own counsel than sap his credibility with promises that voters know will never be delivered.

As top general, Gantz orchestrated two Gaza wars in which around 2,300 Palestinians were killed.

“We don’t differentiate between either Gantz or Netanyahu,” said Moussa Abu Mazouk of Gaza’s dominant Hamas Islamists.

The more moderate Palestinian Authority has said it is open to talking to any Israeli leader. But Hanan Ashrawi, a senior Palestine Liberation Organization official, also said before the September election that Gantz was no different from Netanyahu.QUESTIONS OF CHARACTER

 

Gantz, who is 6 foot 3 inches (1.91 meters) tall, was brought up on a collective farm founded by Holocaust survivors including his parents, and had a stint in a religious school. He is married to an ex-paratrooper with whom he has four children.

Throughout the election he attacked Netanyahu over corruption allegations that have dogged the prime minister for years, and which the veteran leader denies.

Netanyahu’s counter-charge that a suspected Iranian hack of Gantz’s cellphone may have opened him up to blackmail by Israel’s enemy did not appear to dent the challenger’s image.

A more earthy orator than Netanyahu, he makes occasional scriptural word play and is given to reminding listeners of his military background. When his party won more seats than Netanyahu, he spoke of having fulfilled his “mission” and of his rival having failed in his.

Netanyahu has cast Gantz as a “weak leftist” who was gun-shy on Iran and the Palestinians while in uniform.

It was, however, Netanyahu who appointed Gantz as Israel’s top general and, at the time, praised him as “an officer and a gentleman … a warrior and a human being”.

As a brigadier-general in 1999, Gantz took over a liaison unit to Lebanese allies. By the following year, when Israel withdrew from south Lebanon, Gantz was a media darling.

He went on to serve a relatively short period in the West Bank, where a Palestinian revolt raged. Gantz later commanded forces on the Lebanese border but was reassigned before the inconclusive 2006 war with Hezbollah, so was spared much of the after-action blowback from an Israeli inquest.

How he won the nickname “The Prince” is unclear. Some say it stemmed from his assured rise through the ranks, others from what critics call his sense of entitlement.

Gantz has dismissed suggestions he lacks the stomach to fight. Referring to a Hamas military commander whom he ordered assassinated in 2012, he said in January: “The heads of the terrorist groups need to know that Ahmed Jaabari was not the first, nor may he be the last.”

Retired U.S. general Martin Dempsey, who as chairman of the Joint Chiefs of Staff between 2011 and 2015 was Gantz’s counterpart, recalled him as a “superb leader” in that role.

Gantz has made no secret of learning on the job, and is leaning on his partners in the Blue and White leadership, who include two other former military chiefs of staff, a former defense minister and a former finance minister.

(Editing by Timothy Heritage)

Israel’s Netanyahu down but not out after failing to form government

Israel’s Netanyahu down but not out after failing to form government
By Jeffrey Heller

JERUSALEM (Reuters) – For the first time in a decade, someone other than Benjamin Netanyahu will be asked to form a government in Israel.

The 70-year-old prime minister has called two elections this year, has twice been given the chance by the president to put together a ruling coalition, and has twice failed.

President Reuven Rivlin will on Wednesday turn to Netanyahu’s centrist rival Benny Gantz, leaving Netanyahu even more vulnerable in his fight for political survival.

But although he has failed, Gantz – a former general and political novice – also has no clear path to success.

Here are some of the possible scenarios, including even a third parliamentary election in less than a year, after two inconclusive elections in April and September.

WHY IS ISRAELI POLITICS IN DEADLOCK?

Shortly after the Sept. 17 election ended in stalemate, Rivlin gave Netanyahu 28 days to put together a governing coalition.

During that period, which expires on Wednesday, Israel’s longest-serving prime minister persuaded only 55 of parliament’s 120 members, including his traditional far-right and ultra-Orthodox Jewish allies, to join his right-wing Likud Party in a government.

Having fallen six seats short of a ruling majority, Netanyahu “returned” his mandate to the president, and a spokesman for Rivlin said Gantz would now get his chance.

One way out of the stalemate would be for the two largest parties, Likud and Gantz’s new Blue and White party, to form a “national unity” government.

Early talks centered on the possibility of a rotating premiership but led nowhere. Gantz, a former armed forces chief, refused to join a government led by Netanyahu, citing looming indictments against the prime minister in three corruption cases in which Netanyahu has denied any wrongdoing.

Gantz also said he wants a “liberal” government, shorthand for one that does not include Netanyahu’s religious partners.

HAS THIS HAPPENED BEFORE?

The last time anyone other than Netanyahu was asked to form a government in Israel was in 2008 when Tzipi Livni, of the now-defunct Kadima party, was given the chance and failed.

That led to an election in 2009 which was won by Netanyahu. Livni never returned to front-line politics, a precedent that is not lost on Netanyahu.

WHAT HAPPENS NEXT?

After receiving the formal nomination from Rivlin on Wednesday, Gantz will have 28 days to build a coalition. As things stand now, he has the endorsement of 54 lawmakers, seven short of a parliamentary majority.

But 10 of the those 54 legislators belong to a four-party Arab alliance. No party drawn from Israel’s 21% Arab minority has ever been invited to join an Israeli government or has sought to serve in one.

Without a deal with Netanyahu, Gantz could seek to form a minority government, with Arab lawmakers’ backing from the sidelines. But that is a big political risk in a country where Arab citizens’ loyalty has been hotly debated.

Arab lawmakers would be likely to face criticism from within their own community for propping up an Israeli government’s policies towards what many regard as their fellow Palestinians in the West Bank and Gaza.

AND IF GANTZ ALSO COMES UP SHORT?

A three-week period would ensue in which 61 lawmakers can ask the president to assign the coalition-building task to any legislator – Netanyahu, Gantz or another. If no such request is made in that time, parliament dissolves itself and an election is called – political pundits say March 17 is a possible date.

That could give Netanyahu another chance at the ballot box, barring a Likud rebellion against him.

WHAT ABOUT NETANYAHU’S LEGAL TROUBLES?

The deck could be reshuffled once Attorney-General Avichai Mandelblit announces whether he will follow through with his plan to indict Netanyahu in three graft investigations. His final decision is widely expected by the end of the year.

Netanyahu faces no legal requirement to leave government if indicted, but criminal charges against him – and their degree of severity – could further weaken him politically.

Netanyahu could face fraud and breach of trust charges in all three cases, and bribery charges in one.

ARE THERE ANY WILDCARDS?

Avigdor Lieberman, a former Netanyahu ally and ex-defense minister, heads the ultranationalist Yisrael Beitenu which won eight parliamentary seats in last month’s election. He has remained on the fence so far, citing policy differences with Likud’s ultra-Orthodox backers and Blue and White’s left-wing allies.

He effectively prevented Netanyahu from building a ruling coalition after this year’s first election, boosted his standing in the second and could be a kingmaker in the third.

(Editing by Timothy Heritage and Janet Lawrence)

Israel’s Netanyahu gives up effort to form new government

FILE PHOTO: Israeli Prime Minister Benjamin Netanyahu attends the swearing-in ceremony of the 22nd Knesset, the Israeli parliament, in Jerusalem October 3, 2019. REUTERS/Ronen Zvulun/File Photo

Israel’s Netanyahu gives up effort to form new government
JERUSALEM (Reuters) – Benjamin Netanyahu gave up his effort to form a new government on Monday after failing to secure a majority coalition, creating an opportunity for centrist rival Benny Gantz to replace Israel’s longest serving prime minister.

Netanyahu, who heads the right-wing Likud party, said he had been unable to form a government following an election in September, and was returning the mandate back to Israel’s president, Reuven Rivlin. Rivlin said he intends to task Gantz with the job of putting together a new government.

“In the past weeks I made every effort to bring Benny Gantz to the negotiating table, every effort to establish a broad national government, every effort to avoid another election,” said Netanyahu, who turned 70 on Monday.

Gantz also has no clear path to a majority, and should he come up short, it would almost certainly lead to another general election, the third since April. He will have 28 days to entice potential allies.

Gantz’s Blue and White party said in a statement it was “determined to form a liberal unity government.”

Netanyahu, in power for the past decade and 13 years in total, has seen his political strength wane as he faces a looming indictment on corruption allegations he denies. Gantz, a former military chief, has pledged not to serve in a government under a premier facing criminal charges.

Likud placed second in the September ballot with 32 seats in the 120-member parliament, behind 33 for Blue and White.

(Reporting by Ari Rabinovitch, Editing by Franklin Paul, Philippa Fletcher, Peter Graff and Cynthia Osterman)

Netanyahu tries to avert indictment as he fights for political life

By Jeffrey Heller

JERUSALEM (Reuters) – Israeli Prime Minister Benjamin Netanyahu began his final attempt to fend off a corruption indictment on Wednesday when his lawyers argued against looming charges that have combined with election stalemate to threaten his long hold on power.

The pre-trial hearings, scheduled to be held over four days, will allow him to make his case against indictment to Attorney-General Avichai Mandelblit in three graft investigations.

A final decision by the attorney-general on whether to file charges is expected by the end of 2019.

Netanyahu, who denies any wrongdoing, faces no legal requirement to leave government if indicted, as long as he remains prime minister.

But his aura of political invincibility has been clouded by his failure to win a clear victory in parliamentary elections in April and last month, after a decade in office as head of the right-wing Likud party.

“Today, we will present all the evidence that everyone knows and some new evidence,” Amit Hadad, one of Netanyahu’s attorneys, told reporters outside Mandelblit’s office. “We believe that all three cases will be dropped after the hearings.”

Mandelblit announced in February that he intends to charge Netanyahu with bribery, fraud and breach and trust. Netanyahu has said he is the victim of a political witch-hunt spearheaded by left-wing opponents and journalists.

The investigations, dubbed Cases 1000, 2000 and 4000, have revolved around gifts of champagne and cigars that Netanyahu has acknowledged receiving from millionaire friends, purported attempts to influence media coverage and the alleged dispensing of regulatory favors.

Netanyahu has said he is the victim of a political witch-hunt spearheaded by left-wing opponents and journalists.

He is the first sitting Israeli prime minister to go through a pre-indictment hearing process.

Ehud Olmert, facing corruption allegations, quit as Israel’s leader in 2008 before such sessions could be held or any indictment filed. He was eventually charged and convicted of accepting bribes and served 16 months in jail before his release in 2017.

On Tuesday, talks to form a national unity government hit a further snag after Netanyahu’s centrist election rival, Benny Gantz of the Blue and White party, called off a meeting with him scheduled for Wednesday.

With neither leader appearing able to put together a coalition with a ruling majority on his own, Israel’s president last week gave Netanyahu 28 days to try to form the next government in the hope of securing a power-sharing deal.

Gantz, however, has pledged not to serve in a government under a premier facing criminal charges.

(Editing by William Maclean)

Netanyahu tapped by Israel’s president to assemble new government

JERUSALEM (Reuters) – Israel’s president tasked Prime Minister Benjamin Netanyahu on Wednesday with assembling a new government after power-sharing talks with his strongest rival, Benny Gantz, failed following an inconclusive election.

Netanyahu, head of the right-wing Likud party, and Israel’s longest-serving leader, still has no clear path to a fifth term after emerging from the Sept. 17 ballot, the second this year, short of a parliamentary majority.

“I have decided to give you, sir, the opportunity to assemble a government,” President Reuven Rivlin said to Netanyahu at a nomination ceremony.

He will have 28 days to form a coalition and can ask Rivlin for a two-week extension if necessary. Netanyahu’s failure to clinch victory in a ballot in April led to last week’s election and left him politically weakened.

In the new countdown, Likud has the pledged support of 55 legislators in the 120-member parliament, against 54 for Gantz’s centrist Blue and White Party. The two parties failed to reach a coalition deal in talks launched on Tuesday.

Former Defence Minister Avigdor Lieberman, a possible kingmaker, has been keeping his far-right Yisrael Beitenu party on the fence since the Sept. 17 ballot, citing differences with both Likud’s and Blue and White’s political allies.

(Reporting by Jeffrey Heller; Editing by Alex Richardson)

Explainer: “Only Bibi” no more – Israel’s Netanyahu seeks power-sharing deal

By Jeffrey Heller

JERUSALEM (Reuters) – After failing to secure a clear election victory twice in six months, Israel’s longest-serving prime minister now seems to be calculating that he can stay in power only by sharing it.

Following a deadlocked parliamentary election last week, a weakened Netanyahu reissued an offer on Monday to his centrist rival Benny Gantz for a unity government, saying that neither had enough support from respective allies for a majority of 61 seats in the 120-member parliament.

There was no sign Gantz, head of the Blue and White Party, would agree to a coalition with Netanyahu’s right-wing Likud. Gantz cited looming corruption charges against Netanyahu in saying no last week.

Israeli President Reuven Rivlin, who will pick a candidate to try to build a coalition, has called for a unity government – but does not have the legal power to compel Gantz or Netanyahu to form one together.

Wrapping up two days of consultations with leaders of all parties that won parliamentary seats in the Sept 17 ballot, Rivlin summoned Netanyahu and Gantz to a closed-door meeting later on Monday, apparently to urge them to join forces.

WHO HAS THE EDGE?

On paper, Netanyahu now has a slim lead over Gantz in building a parliamentary bloc, with pledges of support from 55 members of a right-wing grouping to 54 for Gantz from left-wing and Arab parties. But it also means that neither has secured a governing majority of at least 61 legislators.

Netanyahu’s slight edge might move Rivlin to ask him to try to build a narrow coalition if a unity government proves impossible. A nominee gets 28 days to do so, with a possible 14-day extension, before Rivlin can turn to someone else.

Gantz had appeared to have 57 backers but three of the Arab Joint List’s 13 members on Monday withdrew support they had pledged to him a day earlier.

Likud won 31 seats to Blue and White’s 33, near-complete results show.

Avigdor Lieberman, whose far-right Yisrael Beitenu party won eight seats, would remain the kingmaker if unity efforts fail. In his meeting with Rivlin, he refused to commit to either Netanyahu or Gantz, citing his own policy differences with Likud’s Jewish ultra-Orthodox allies and Blue and White’s Arab backers.

WHAT ARE THE CHANCES FOR A UNITY GOVERNMENT?

It’s complicated, even though there are only narrow policy differences between Netanyahu and Gantz on many important issues, such as relations with the United States, the regional struggle against Iran and the Palestinian conflict.

Both men appear to be more deeply divided on the composition of a unity government.

Gantz has called for a “liberal” administration, political shorthand for one that does not include Netanyahu’s ultra-Orthodox partners. After the election, Netanyahu swiftly signed a new alliance with them.

And then there’s the question of who would get the top job: Netanyahu, Gantz, or both men – in rotation?

Left-winger Shimon Peres and right-winger Yitzhak Shamir set a historic example when they took turns as prime minister in a unity government from 1984 to 1988.

This time around, if a “rotating” power-sharing agreement is reached, it could be imperative for Netanyahu to serve as prime minister first.

Next month, Israel’s attorney-general will hold a pre-trial hearing at which Netanyahu can argue against his announced intention to indict the Israeli leader on fraud and bribery charges in three corruption cases.

As prime minister, Netanyahu, who denies any wrongdoing in the long-running investigations, would be under no legal obligation to resign if formal charges are filed. But any other cabinet post he might hold would not offer him that protection.

Netanyahu’s supporters in the legislature have also pledged to seek parliamentary immunity for him against prosecution. Any unity deal with Gantz would likely have to address that issue.

(Editing by Timothy Heritage)

Israel’s Netanyahu fails to win majority in close election

By Jeffrey Heller

JERUSALEM (Reuters) – Israeli Prime Minister Benjamin Netanyahu failed to win a ruling majority in an election that produced a virtual tie between his right-wing bloc and a center-left grouping that would be led by former military chief Benny Gantz.

The outcome, according to almost complete results published on Wednesday, dealt a new blow to Israel’s longest-serving leader who was already weakened by the inability to put together an administration after an inconclusive election in April.

But with coalition-building again key to forming a government, it could be days or even weeks before it becomes clear whether the wily politician hailed by supporters as “King Bibi” has been dethroned after a decade in power.

With Israeli media reporting more than 90 percent of votes counted in Tuesday’s election, the bloc led by Netanyahu’s Likud party was more or less even with a likely grouping headed by Gantz’s centrist Blue and White party.

A Likud-led bloc looked poised to control 55 of parliament’s 120 seats, with 56 going to a center-left alliance, numbers falling short of a majority government of 61 lawmakers.

A Likud spokesman said the leaders of right-wing factions met Netanyahu at the prime minister’s office on Wednesday and pledged to work with him to form the next government.

The ballot’s wildcard, former Defense Minister Avigdor Lieberman, emerged as a likely kingmaker as head of the secular-nationalist Yisrael Beitenu party, projected to capture nine seats.

Lieberman has been pushing for a unity government comprised of the biggest parties. He declined to back Netanyahu’s bid to form a narrow right-wing and religious coalition after the April election, bringing about Tuesday’s unprecedented repeat vote.

Netanyahu, who made his close relationship with U.S. President Donald Trump a main selling point in his campaign, has made no claim of victory or concession of defeat, and he planned to address Likud party legislators later in the day.

Some of the party’s leaders issued nearly identical statements expressing their allegiance to Netanyahu.

“He remains party chairman and its candidate to continue as prime minister,” said Energy Minister Yuval Steinitz of Likud.

Netanyahu, 69, appeared fatigued and hoarse in a 3 a.m. election night speech to party faithful earlier on Wednesday in which he said he intended to form a “Zionist government”, without Arab parties that could lend support to Gantz.

CONSULTATIONS

Once the last votes are tallied, Israeli President Reuven Rivlin will consult with leaders of parties that won parliamentary representation about whom to tap to try to form a government. The nominee would then have up to 42 days to do so.

Gantz has not ruled out a unity administration with Likud but has said Blue and White would not join such a government if it included Netanyahu, citing looming corruption charges against the prime minister, who has denied any wrongdoing.

In a further complication, Lieberman has rejected any alliance that includes ultra-Orthodox parties – Netanyahu’s traditional partners.

Lieberman, a Jewish settler and immigrant from the former Soviet Union, had focused his campaign on weakening the power rabbis and religious politicians have on everyday life in Israel, such as ultra-Orthodox control of the administration of marriage and divorce.

Campaigns run by Likud and Blue and White pointed to only narrow differences on many important issues: the regional struggle against Iran, the Palestinian conflict, relations with the United States and the economy.

An end to the Netanyahu era would be unlikely to bring about a significant change in policy on hotly disputed issues in the peace process with the Palestinians that collapsed five years ago.

Three corruption investigations and the Israeli attorney general’s announced intention to charge him with fraud and bribery have also chipped away at Netanyahu’s seeming invincibility.

Netanyahu can argue at a pre-trial hearing in October against indictment. But an election loss could leave him more at risk of prosecution in the graft cases, without the shield of parliamentary immunity that his current political allies had promised to seek for him.

(Reporting by Jeffrey Heller, Dan Williams, Maayan Lubell and Stephen Farrell in Jerusalem and Akram El-Satarri in Gaza; Editing by Timothy Heritage; ((jeffrey.heller@thomsonreuters.com; +97226322202)