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Yossi Cohen was appointed head of the Mossad a year ago, after a government vetting committee accepted that he had no personal ties to Netanyahu. But Cohen forgot to mention that he is extremely close to Netanyahu’s high-flying friends – connections that are now under investigation. Milchan set up a global security firm in 2008 called Blue Sky International, stuffed with Israeli security veterans. Packer soon became a partner. They developed close ties to Cohen, first while he was a senior official at the Mossad and later when he headed Israel’s national security council. Before Cohen was appointed head of Mossad in December 2015, the pair had hoped to recruit him to their cyber-security operations. Cohen received several gifts from Packer, in violation of Israeli government rules, including a stay at one of his luxury hotels. A source speaking to Haaretz said Blue Sky had “more than [a] direct line” to Netanyahu. They “would pull him out from anywhere, at any time, on any occasion.” According to Haaretz’s military analyst, Amir Oren, the new disclosures raise serious questions about whether Milchan and Packer twisted Netanyahu’s arm to parachute Cohen into the post over the favored candidate. In return, Packer may have been hoping that Cohen would authorise exceptional Israeli residency for him, classifying him as a security asset.

From Hollywood to Mossad Cases 1000 and 2000 share at least one figure in common. Milchan gave Netanyahu extravagant gifts over many years, but he is also reported to have acted as go-between, bringing arch-enemies Netanyahu and Mozes together. Milchan has his own financial stake in the media, in his case a holding in the Channel 10 TV station. In addition, Milchan introduced Netanyahu to sympathetic businessmen, including his friend Packer, to discuss taking the ailing Yedioth media group off Mozes’ hands. Only last October he arranged for media mogul Rupert Murdoch’s son, Lachlan, to fly to Israel for one night for a secret meeting with Netanyahu. Milchan is undoubtedly at the centre of the shadowy world of power and finance that corrupts public life in Israel. Not only is Milchan a highly influential Hollywood figure, having produced more than 100 films, but he has admitted that he is a former Mossad agent. He used his Hollywood connections to help make arms deals and secure parts for Israel’s nuclear weapons program. One can only wonder whether Milchan was not effectively set up in his Hollywood career as a cover for his Mossad activities. But Milchan, it seems, is still wielding influence in Israel’s twilight world of security.

eyond this, one one can only speculate about how Cohen’s indebtedness to Milchan, Packer and Netanyahu might have influenced his decisions as head of the Mossad. It was only a few years ago that the former Mossad chief, Meir Dagan, was reported to have wrestled furiously with Netanyahu to stop him launching a military strike on Iran. Prosecution drags feet It is unclear for the time being whether the revelations are drawing to a close or will lead deeper into Israel’s twin netherworlds of financial corruption and security. But what has emerged so far should be enough to finish off Netanyahu as prime minister. Whether it does so may depend on the extent of Israel’s compromised legal system. Attorney general Avichai Mendelblit was appointed by Netanyahu and is a political ally. He appears to have been dragging his feet as much as possible to slow down the police investigation, if not sabotage it. But the weight of evidence is looking like it may prove too overwhelming. As political analyst Yossi Verter observed: “There’s no way that a police commissioner … appointed [by Netanyahu] and a cautious attorney general, who in the past was part of his close circle and one of his loyalists, would be putting him through the seven circles of hell if they weren’t convinced that there’s a solid basis for indictment and conviction.” The next question for Netanyahu is whether he will step down if indicted. He should, if Olmert’s example is followed. But his officials are citing a 1993 high court ruling that allows a cabinet minister under indictment to remain in office. Certainly if Netanyahu chooses to stay on, his decision would be appealed to the court again. However, the judges may be reluctant to oust a sitting prime minister. The court of public opinion is likely to be decisive in that regard. A recent poll shows few Israelis believe Netanyahu is innocent of the allegations. Some 54 per cent think he broke the law, while only 28 believe him. Opinion, however, is split evenly on whether he should resign.

If past experience is any measure, Netanyahu will try to turn public opinion his way by increasing friction with the Palestinians and exploiting the international arena, especially his relations with the Trump administration. He may be expected to encourage Trump at the very least to posture more stridently against Iran. Nonetheless, most observers assume Netanyahu is doomed – it is simply a matter of when. The odds are on an indictment in late spring, followed by elections in the fall, say Israeli analysts. At this stage, none of his political rivals wants to be seen stabbing Netanyahu in the back. Most are keeping quiet. But behind the scenes, political leaders are hurrying to forge new alliances and extract political concessions while Netanyahu is wounded.

Who might succeed Netanyahu? Yair Lapid, of the centre-right Yesh Atid, is heading the polls, but that may in part reflect the disarray in Netanyahu’s Likud party. In a sign of where the deeper currents in Israeli society are leading, a Maariv poll last week showed that settler leader Naftali Bennett would win an election if he were to head the Likud. Netanyahu now needs the help of all the powerful friends he can muster. His biggest ally, U.S. casino magnate Sheldon Adelson, may not be among them. After the revelations that Netanyahu was conspiring against him with Mozes, Adelson has cut back on Israel Hayom’s circulation and is reported to be offering less favorable coverage of the Netanyahus. That could prove the final straw, sealing Netanyahu’s fate.

The Jewishness of the state of Israel: Israel is a Jewish state because its population is overwhelmingly Jewish, Jewish religious and historical holidays are its national holidays, and Hebrew is its national language. But Israeli demands that Palestinians recognize that Israel has been and remains the national homeland of the Jewish people is intended to require the Palestinians to affirm the legitimacy of Israel’s replacement of Palestine’s Arab population with its own. It also raises Arab fears of continuing differential treatment of Israel’s Arab citizens. Israelis are right to demand that Palestinians recognize the fact of the state of Israel and its legitimacy, which Palestinians in fact did in 1988 and again in 1993. They do not have the right to demand that Palestinians abandon their own national narrative, and the United States should not be party to such a demand. That said, Palestinian recognition of Israel as a Jewish state, provided it grants full and equal rights to its non-Jewish citizens, would not negate the Palestinian national narrative.

Israeli security: The United States has allowed the impression that it supports a version of Israel’s security that entails Israeli control of all of Palestine’s borders and part of its territory, including the Jordan Valley. Many former heads of Israel’s top intelligence agencies, surely among the best informed in the country about the country’s security needs, have rejected this version of Israel’s security. Meir Dagan, a former head of the Mossad, dismissed it as “nothing more than manipulation.” Israel’s confiscation of what international law has clearly established as others’ territory diminishes its security. Illegal West Bank land grabs only add to the Palestinian and the larger Arab sense of injustice that Israel’s half-century-long occupation has already generated, and fuels a revanchismthat sooner or later will trigger renewed violence. No Palestinian leader could or would ever agree to a peace accord that entails turning over the Jordan Valley to Israeli control, either permanently or for an extended period of time, thus precluding a peace accord that would end Israel’s occupation. The marginal improvement in Israel’s security provided by these expansive Israeli demands can hardly justify the permanent subjugation and disenfranchisement of a people to which Israel refuses to grant citizenship in the Jewish state.

The terms for a peace accord advanced by Netanyahu’s government, whether regarding territory, borders, security, resources, refugees or the location of the Palestinian state’s capital, require compromises of Palestinian territory and sovereignty on the Palestinian side of the June 6, 1967, line. They do not reflect any Israeli compromises, much less the “painful compromises” Netanyahu promised in his May 2011 speech before a joint meeting of Congress. Every one of them is on the Palestinian side of that line. Although Palestinians have conceded fully half of the territory assigned to them in the U.N.’s Partition Plan of 1947, a move Israel’s president, Shimon Peres, has hailed as unprecedented, they are not demanding a single square foot of Israeli territory beyond the June 6, 1967, line. Netanyahu’s unrelenting efforts to establish equivalence between Israeli and Palestinian demands, insisting that the parties split the difference and that Israel be granted much of its expansive territorial agenda beyond the 78 percent of Palestine it already possesses, are politically and morally unacceptable. The United States should not be party to such efforts, not in Crimea nor in the Palestinian territories. We do not know what progress the parties made in the current talks prior to their latest interruption, this time over the issue of the release of Palestinian prisoners. We are nevertheless convinced that no matter how far apart the parties may still be, clarity on America’s part regarding the critical moral and political issues in dispute will have a far better chance of bringing the peace talks to a successful conclusion than continued ambiguity or silence.

The co-authors, senior advisers to the U.S./Middle East Project, are, respectively, former national security adviser, former U.S. secretary of defense; former chair of the House Foreign Affairs Committee; former U.S. trade representative; former under secretary of state for political affairs, and president, U.S./Middle East Project.

Last week Israeli media quoted sources close to Mr Netanyahu saying he knew he would lose from the outset but carried on regardless. The goal was to convince the American public, not Democratic legislators.Mr Netanyahu’s current bluster starts to look like it is aimed less at the nuclear deal than at President Obama himself. Is Mr Netanyahu hoping to turn the Iran issue into a doomsday electoral weapon against the Democrats, helping to clear the path into the White House next year for a Republican?That way, Mr Netanyahu may believe he can still emerge the victor, with a new president prepared to push Iran back into the US line of fire.

And then there is the Muhadedin-e-Khalq, the Iranian terrorist group that has assassinated at least six Americans and is now assisting the Israeli government in killing Iranian scientists, a prima facie definition of what constitutes terrorism. The group was on the State Department terrorist list from 1997 until 2012, when Secretary of State Hillary Clinton de-listed it in response to demands coming from friends of Israel in Congress as well as from a large group of ex government officials, many of whom were paid large honoraria by the group to serve as advocates. The paid American shills included former CIA Directors James Woolsey and Porter Goss, New York City Mayor Rudolph Giuliani, former Vermont Governor Howard Dean, former Director of the Federal Bureau of Investigation Louis Freeh and former United Nations Ambassador John Bolton. The promoters of MEK in congress and elsewhere claimed to be primarily motivated by MEK’s being an enemy of the current regime in Tehran, though its virulent anti-Americanism and terrorist history make it a somewhat unlikely poster child for the “Iranian resistance.”

Supporters of MEK also ignore the fact that the group is run like a cult, routinely executes internal dissidents, and has virtually no political support within Iran. But such are the ways of the corrupt Washington punditocracy, lionizing an organization that it should be shunning. MEK’s political arm is located in Paris and it has long been assumed that it is funded by the Israeli government and by at least some of the same gaggle of billionaires, possibly including their Israeli counterparts, who support the anti-Iranian agenda in the United States.

The government and lawyers for UANI have previously sought to delay evidence gathering in the case. UANI lawyers have told the court they could not produce certain documents requested by Restis because they would reveal U.S. government secrets.In March, a Justice Department lawyer wrote to U.S. District Judge Edgardo Ramos, who is presiding over the case in Manhattan, confirming the government's interest and requesting a temporary halt to proceedings while the government decided what to do. Ramos granted the stay, but ordered the government to explain why it wanted the material suppressed.In an April 9 letter, Assistant U.S. Attorney Michael Byars wrote that the material in question could be protected under a privilege designed to prevent the public release of law enforcement techniques, confidential sources, undercover operatives and active investigations. But if it invoked the powerful state secrets privilege, the government would be claiming the information would not only interfere with law enforcement efforts but also jeopardize national security.

The government has until Sept. 12 to decide whether to use the state secrets privilege.The privilege can be used to block the release of information in a lawsuit, but the government has also used it to force the dismissal of lawsuits. It is unclear whether the privilege would be applied only to certain information in the Restis case or whether it would cause the case to be closed completely.The case is Restis et al v. American Coalition Against Nuclear Iran Inc, (dba United Against A Nuclear Iran) et al, in U.S. District Court for the Southern District of New York, No. 13-05032.

The Israeli view shared with Corker and other senators also mirrors the assessment from the U.S. intelligence community. “We’ve had a standing assessment on this,” one senior administration official told us. “We haven’t run the new Kirk-Menendez bill through the process, but the point is that any bill that triggers sanctions would collapse the talks. That’s what the assessment is.” Another intelligence official said that the Israelis had come to the same conclusion.  This is not the first time Israel’s Mossad has been at odds with Netanyahu on Iran. In December 2010, former Mossad chief Meir Dagan told Israeli reporters that he had openly opposed an order from Netanyahu to prepare a military attack on Iran. At the time, Obama was also working to persuade the Israeli prime minister to hold off on attacking Iran. Iranian diplomats have also routinely threatened to leave the talks if new sanctions were imposed. Javad Zarif, Iran’s foreign minister, at the end of December said new sanctions would “violate the spirit” of the negotiations that have been going on for more than a year now. Despite the intelligence analyses, however, predicting Iranian behavior is no exact science. There is still much about Iran’s program that U.S. spies do not know. In November, former CIA director Michael Hayden told Congress that U.S. intelligence assessments do not have a “complete picture” of the extent of Iran’s nuclear program.

On Capitol Hill, the fight over how to proceed against the administration is far from over. The Senate Banking Committee was supposed to mark up the Kirk-Menendez bill on Thursday, but the session was delayed by one week. Some Senate staffers told us that Democrats asked for the delay because Menendez wants to get more Democrats to commit to his bill before he goes public. A main pitch of the Kirk-Menendez bill is that is could garner bipartisan -- even perhaps veto-proof -- support in the face of Obama's disapproval. So far, most Democrats have stayed on the sidelines, especially after Obama and Menendez got into a heated argument over the bill at last week’s private Democratic retreat. Kirk and Menendez softened their proposal to make it more palatable to Democrats, by giving the president more flexibility than the previous version and providing the administration waivers after the fact. Corker, Graham and McCain are trying to woo Democrats to their side by arguing that avoiding sanctions language altogether and simply mandating that the Senate get a vote is a more bipartisan approach. There are only a handful of Democrats that will support any Iran bill, so competition for these votes is heated.

Update, 12 p.m. Jan. 22:  The Israeli prime minister's office released a statement Thursday about Mossad chairman Tamir Pardo’s meeting with the U.S. Senate delegation last weekend. The statement said Pardo didn’t oppose new sanctions on Iran but acknowledged that Pardo used the term “hand grenade” to describe the effect new sanctions would have on the nuclear negotiations with Iran. “He used this term to describe the possibility of creating a temporary breakdown in the talks, at the end of which the negotiations will be restarted under better conditions,” the statement said. “The Mossad chairman explicitly pointed out that the agreement that is being reached with Iran is bad, and may lead to a regional arms race.”

But in this case, there is no apparent U.S. government conduct at issue in the lawsuit. At least based on what they claim about themselves, UANI is just “a not-for-profit, non-partisan, advocacy group” that seeks to “educate” the public about the dangers of Iran’s nuclear program. Why would such a group like this even possess “state secrets”? It would be illegal to give them such material. Or could it be that the CIA or some other U.S. government agency has created and controls the group, which would be a form of government-disseminated propaganda, which happens to be illegal? What else could explain the basis for the U.S. government’s argument that allowing UANI to be sued would risk the disclosure of vital “state secrets” besides a desire to cover up something quite untoward if not illegal? What “state secrets” could possibly be disclosed by suing a nice, little “not-for-profit, non-partisan, advocacy group”?

This sham worked. This week, Judge Ramos issued his ruling dismissing the entire lawsuit (see below). As a result of the DOJ’s protection, UANI cannot be sued. Among other things, it means this group of neocon extremists now has a license to defame anyone they want. They can destroy your reputation with false accusations in a highly public campaign, and when you sue them for it, the DOJ will come in and whisper in the judge’s ear that national security will be damaged if — like everyone else in the world — UANI must answer in a court of law for their conduct. And subservient judicial officials like Judge Ramos will obey the U.S. government’s dictates and dismiss your lawsuit before it begins, without your having any idea why that even happened. Worse, in his written ruling, the judge expressly acknowledges that dismissal of the entire lawsuit at the start on secrecy grounds is what he calls a “harsh sanction,” and also acknowledges that “it is particularly so in this case because Plaintiffs not only do not get their day in court, but cannot be told why” (emphasis added). But he does it anyway, in a perfunctory 18-page opinion that does little other than re-state some basic legal principles, and then just concludes that everything the government whispered in his ear should be accepted.