Israeli coalition moves to erase fraud charges as Netanyahu’s trial grinds on

JERUSALEM / ISTANBUL

Israel’s governing coalition has introduced draft legislation that would abolish the criminal offenses of fraud and breach of trust, the very charges underpinning Prime Minister Benjamin Netanyahu’s ongoing corruption trial, according to Israeli media reports on Monday.

The daily Haaretz said the proposal seeks to remove the two offenses from Israel’s Penal Code altogether, a move that would effectively neutralize key elements of the indictments against Netanyahu in all three of his criminal cases.

Netanyahu is currently standing trial on charges of fraud, breach of trust and bribery, offenses that carry the possibility of imprisonment if proven. Earlier Monday, he appeared before the Tel Aviv District Court for the 69th time since the proceedings began.

Israel’s public broadcaster KAN reported that the bill was submitted by lawmakers from right-wing parties and is expected to be discussed by the ministerial committee on legislation in the coming days.

Among the bill’s sponsors are Simcha Rothman, chair of the Knesset Constitution Committee from the Religious Zionism Party, and coalition chair Ofir Katz of the Likud Party.

Both lawmakers have argued that the offenses of fraud and breach of trust are loosely defined and have been used by law enforcement authorities to exert excessive control over public officials, allowing prosecutors to criminalize conduct that is not clearly delineated in criminal law.

The initiative drew sharp condemnation from the Israeli opposition.

Opposition leader Yair Lapid, who heads the Yesh Atid Party, warned that the move poses a direct threat to Israel’s democratic foundations.

“This is not a reform,” Lapid wrote on the US social media platform X. “It is a sweeping overhaul that would turn Israel into a corrupt and undemocratic state.” He vowed that his party would oppose the bill in parliament, in the courts and through public protest.

The legislative push comes amid deep divisions in Israel over Netanyahu’s request for a presidential pardon.

In late November last year, the prime minister formally asked President Isaac Herzog for clemency in the corruption cases, without admitting wrongdoing or committing to withdraw from political life.

Netanyahu’s trial began in 2020. He has consistently denied all accusations, describing the cases as a politically driven effort to remove him from office. Under Israeli law, however, a presidential pardon can only be granted after a conviction and an admission of guilt.

Beyond the domestic proceedings, Netanyahu is also facing international legal scrutiny. In November 2024, the International Criminal Court issued arrest warrants against him over war crimes and crimes against humanity committed in Gaza, where more than 71,000 people have been killed, mostly women and children, and over 171,000 others injured in a brutal assault since October 2023.