Leader of the Shas party, Aryeh Deri, has been dismissed from his cabinet positions. (AFP)

Netanyahu fires key ally from cabinet in new challenge

Israeli Prime Minister Benjamin Netanyahu has fired a crucial ally from his cabinet after the country’s Supreme Court annulled the appointment, leaving the stability of the newly sworn-in coalition in question.

Israel’s Supreme Court ruled last week that the ministerial appointment of Shas party leader Aryeh Deri was “extremely unreasonable” in light of his conviction last year for tax evasion. The court also noted his subsequent promise to quit political life as part of a plea deal and his conviction two decades ago on bribery, fraud and breach-of-trust charges while in office, for which he served nearly two years in prison.

The attorney-general said Mr Netanyahu must fire Mr Deri to remain in compliance with the court’s ruling, but didn’t provide a deadline.

The order has put Mr Netanyahu in a bind because Mr Deri and his party are still demanding a senior role in government despite the court’s ruling. The government could lose its majority if Shas, an ultraorthodox party, exits the coalition. Shas controls 11 seats in the ruling coalition of 64 MPs in Israel’s 120-seat parliament, the Knesset. Political analysts say it is unlikely Shas will want to bring down the conservative government so early after its establishment.

Mr Netanyahu, in a letter to Mr Deri dismissing him from his cabinet positions, said on Sunday that he was firing him with “a heavy heart”, and that the court’s ruling had undermined the will of those who voted for Mr Deri and the current coalition.

Read the article by Dov Lieber in The Australian (from The Wall Street Journal).