Israeli police have closed a criminal investigation into Prime Minister Ehud Olmert's purchase of a home in Jerusalem for lack of evidence, a police spokesman said today.
"The head of the investigation team reached the conclusion that there isn't concrete evidence of any illegal act carried out in this case by the prime minister," Micky Rosenfeld said.
Police opened the inquiry in September after a complaint that Mr Olmert received a "significant discount" on the price in return for using his influence in Jerusalem city hall to speed up building permits for the contractor who sold him the home.
Mr Olmert has denied any wrongdoing in a series of investigations that have forced him to resign. In December, prosecutors closed an investigation into his role in the sale of an Israeli commercial bank for lack of evidence.
But Mr Olmert faces a possible indictment on charges of fraud and breach of trust.
The Justice Ministry said earlier this month it had evidence Mr Olmert had kept more than $350,000 in a secret fund and did favours for a US businessman who handed him cash-filled envelopes.
Police are also investigating whether Mr Olmert, as industry and trade minister in 2003, appointed cronies to a government-funded business authority and helped secure official funding for a factory represented by his former law partner.
He remains in office pending the formation of a new government under right-wing Likud leader Benjamin Netanyahu following elections in February. Mr Olmert's Kadima party - now led by Tzipi Livni - won the most seats, but President Shimon Peres judged Mr Netanyahu best placed to forge a coalition.
Reuters