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Occupied Jerusalem: Israeli Prime Minister Ehud Olmert's main coalition partner demanded on Wednesday he leave office over corruption allegations, dealing another blow to the unpopular leader in turmoil threatening to derail peace talks.
Defence Minister Ehud Barak issued the call - and raised the prospect of an early election - a day after a US businessman told an Israeli court how he had handed Olmert envelopes stuffed with thousands of dollars in cash.
"I do not think the Prime Minister can simultaneously run the government and deal with his own personal affair," said Barak, a former prime minister whose Labor party is Olmert's biggest partner in a fragile coalition government.
"Therefore, out of a sense of what is good for the country and in accordance with the proper norms, I think the prime minister must detach himself from the day-to-day running of the government," Barak told a news conference.
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Olmert's office declined to comment. Israel Radio said Olmert, who is negotiating peace with the Palestinians and pursuing indirect talks with Syria, held a closed meeting with confidants and told them he had no intention of heeding Barak's call.
Barak was less than clear on what steps he might take, and when.
He also stopped short of action that would immediately bring down the government and trigger an election that could backfire on him. Polls suggest the right-wing Likud under Benjamin Netanyahu would handily defeat Labor.
Barak spelled out Olmert's options as "suspension, vacation or resignation or declaring himself incapacitated". He added: "We will not be the ones to determine this."
But commentators noted that Barak failed to make good on similar calls last year go after the costly 2006 Lebanon war. The left-wing Meretz party said Barak's latest comments lacked any real ultimatum and were just "hot air".
Barak put the onus on Olmert's centrist Kadima party to seek a new leader to replace him. "If Kadima does not act and a government is not formed during this current session of parliament that is to our liking, we will act towards setting an agreed and early date for elections," he said.
A parliamentary election is not due until 2010.
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