Netanyahu's legal saga reaches critical stage in Israel

JERUSALEM -- Prosecutors began a pre-indictment hearing for Prime Minister Benjamin Netanyahu on Wednesday, opening a critical stage in a lengthy legal saga threatening to end the career of the long-serving Israeli leader and has paralyzed the country's political system.

Netanyahu's lawyers sat down with Attorney General Avichai Mandelblit for 11 hours of discussions to determine whether criminal charges will be pressed against the prime minister in a series of corruption cases. If formal charges are filed, Netanyahu, who denies any wrongdoing, could come under heavy pressure to step down.

Mandelblit already has recommended Netanyahu be indicted on fraud, breach of trust and bribery charges in three cases. Under Israeli law, Netanyahu is entitled to plead his case at a hearing in a last-ditch attempt to persuade prosecutors to drop their case.

Netanyahu did not appear at Wednesday's hearing, sending instead a high-powered 10-member legal team. As they entered the Israeli Justice Ministry, his lawyers ruled out a plea bargain and expressed confidence the charges would be dropped.

"We are going to present not only the evidence everyone is aware of but also new evidence. We are sure that once we present our findings there will be no choice but to close the case," Netanyahu attorney Amit Haddad said.

After Wednesday's marathon session ended, Netanyahu's lawyers told reporters they were confident they would be able to refute all charges.

Throughout the day, Netanyahu took to social media to make the case for his innocence, defiantly pledging the case against him would "fall apart."

Netanyahu's legal woes lie at the heart of a deadlock leaving the country with a caretaker government. In national elections last month, neither Netanyahu nor his chief challenger, Benny Gantz, secured the required parliamentary majority to form a new government.

Both men have expressed support for a unity government as a way out of the deadlock. But they remain far apart on who should lead it and what smaller parties would join them.

Gantz and his centrist Blue and White Party have so far rejected a partnership with Netanyahu, citing his legal woes. A failure to reach a deal could trigger an unprecedented third election in less than a year.

Netanyahu is desperate to stay on as prime minister, a post he can use as a pulpit as he tries to fend off any charges. Israeli law requires Cabinet ministers to step down if charged with a crime. But the law is vague for sitting prime ministers, meaning he could theoretically remain in the post if he is indicted, though he would likely face calls to step aside.

For this reason, his opponents accuse him of stalling in unity talks and pushing for another election, which would allow Netanyahu to remain as prime minister for at least another three months. Late Tuesday, Gantz abruptly called off a planned meeting with Netanyahu.

"One man is holding the country hostage," said Yair Lapid, a top Blue and White leader. "One man is doing everything to lead us to elections: Benjamin Netanyahu."

The allegations against Netanyahu include suspicions that he accepted hundreds of thousands of dollars of champagne and cigars from billionaire friends, offered to trade favors with a newspaper publisher and used his influence to help a wealthy telecom magnate in exchange for favorable coverage on a popular news site.