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Jerusalem Mayor and Knesset
Member Ehud Olmert stood firm
this week against Attorney Gen-
eral Michael Ben-Yair's decision
to indict him for aggravated fraud.
Mr. Olmert is accused of hav-
ing illegally raised more than
$500,000 for the Likud's 1988 elec-
tion campaign, then hiding these
contributions from the State
Comptroller so the Likud could
get another $1 million-plus in pub-
lic campaign funding.
"I want to make it clear that I
did not direct, I did not instruct
and I did not initiate any action
aimed at hiding the the accep-
tance of contributions to the
Likud; and I have no doubt that
these facts will be come to light
soon," Mr. Olmert has said in the
past.
Mr. Olmert made no statement
following Mr. Ben-Yair's decision
on Sunday. As a Knesset member,
he is immune to prosecution. But
the attorney general asked the
Knesset to strip him of that im-
munity, which would require a
majority vote.
Mr. Olmert, a leader in the
Likud, has considerable support
from Knesset members in his par-
ty. Many of them have accused
Mr. Ben-Yair, a Rabin appointee,
of harassing Mr. Olmert for polit-
ical purposes. The mayor also has
close ties with the national reli-
gious and Haredi (Orthodox) par-
ties, which, with the Likud, have
enough Knesset votes to shield
him from prosecution.
The charges stem from Mr.
Olmert's tenure as treasurer of the
Likud's 1988 election campaign.
According to the draft indictment,
Mr. Olmert directed a Likud cam-
paign worker, Yona Peled, to so-
licit contributions from Israeli
businesses — which is against the
law. The businesses allegedly gave
about $550,000 to the Likud's
campaign.
The contributions were covered
up, Mr. Ben-Yair charged, and
were not registered in the Likud's
campaign financial records. In-
stead, a shell company called
"BMI Advertising" was created,
and the contributions were regis-
tered in BMI's books as fees for
services.
As an incentive for campaign
euritrib uLors, cney received re-
ceipts from BMI for "advertising