Finance Minister Resigns

CBNNews.com

July 1, 2007

CBNNews.com - JERUSALEM, Israel - At Sunday's Cabinet meeting, Israeli Prime Minister Ehud Olmert said suspended Finance Minister Abraham Hirchson handed in his resignation over the weekend and would leave his post officially within 48 hours.

Hirchson, who suspended himself from office just over two months ago, says he wants to devote himself to clearing his name.

"Under the circumstances and despite being able to continue in office, it is appropriate to appoint a new finance minister to devote his entire time to leading the Israeli market," Hirchson wrote.

Olmert told Cabinet members he doesn't believe allegations that the finance minister embezzled huge sums of money from NILI (affiliated with the National Labor Union) and its subsidiaries during his tenure as head of the worker's association.

"Hirchson believes in his innocence and I believe in his innocence," the prime minister said. "This move will allow him to better deal with what lies ahead," he said, thanking him for his service.

Olmert, a close friend of Hirchson, has served as acting finance minister since his suspension.

Cabinet Reshuffle

Sunday afternoon, Olmert reshuffled his Cabinet, giving Interior Minister Roni Bar-On the finance portfolio.

And despite former Justice Minister Haim Ramon's conviction for kissing an IDF soldier without her consent, Olmert will appoint him vice premier and minister without portfolio.

Housing and Construction Minister Meir Sheetrit will take over the Interior Ministry from Bar-On, and MK Jacob Edery will be given the housing ministry.

All the ministers are members of Olmert's Kadima party.

Sources: YNet, Haaretz