Qatargate: the scandal rocking Netanyahu’s inner circle

A new corruption allegation is rocking Israeli politics intertwining allegations of bribery, media manipulation, and high-level government interference.

Qatargate, as it has been dubbed, centres on a claim that senior advisers to Prime Minister Benjamin Netanyahu received illicit funds from Qatar through intermediaries, allegedly in exchange for promoting pro-Qatar messaging.

The investigation has already led to the arrest of two of Netanyahu’and the prime minister himself has been questioned.

At the same time, Netanyahu’s controversial attempt to replace Shin Bet chief Ronen Bar—who is overseeing the investigation—has raised suspicions that the Prime Minister is trying to obstruct justice.

Two senior Netanyahu aides, Eli Feldstein and Jonatan Urich are accused of receiving Qatari funds in exchange for spreading messages supporting the emirate and downplaying Egypt's diplomatic role in hostage negotiations.

Police claim that Feldstein, Netanyahu's media adviser, spread the false information and that Urich framed the information as coming from senior Israeli officials in the Prime Minister’s Office.

A third Netanyahu aide Israel Einhorn is being sought for questioning in relation to the scandal.

The charges against Feldstein and Urich include transmitting classified information, bribery, and contact with a foreign agent, carrying potential prison sentences of up to 15 years. Judge Menachem Mizrahi has ruled that there is “reasonable suspicion” that Urich and Feldstein conducted public relations work on behalf of Qatar. He also found a "reasonable basis to fear that releasing the suspects at this stage could obstruct the investigation."

Israeli businessman Gil Birger and American lobbyist Jay Footlik are believed to have acted as middle men. Last month, the Kan public broadcaster aired a recording of Birger admitting he had transferred money from Footlik to Feldstein while the latter was Netanyahu’s spokesman.

·  Eli Feldstein – A senior media advisor in Netanyahu's circle and already facing indictment in a separate classified documents case. He is suspected of indirectly receiving funds from Qatar.

·  Jonatan Urich – Netanyahu’s strategic advisor and spokesman. He is suspected of providing PR services to Qatar while working for Netanyahu. His lawyers claim he "has no idea who Gil Birger is" and did not handle employment or payments in the Prime Minister’s Office.

·  Benjamin Netanyahu – Amid an investigation into whether officials in the PM’s Office were linked to Qatari operatives, Netanyahu was summoned to provide open testimony in this case. He was questioned for two hours.

·  Israel Einhorn – Political strategist and Netanyahu aide. Media sources claim he worked with Urich on a PR campaign to improve Qatar’s image in Israel ahead of the 2022 FIFA World Cup. Police are trying to question Einhorn, who now lives in Serbia.

·  Gil Birger – An Israeli businessman active in the Gulf states. Leaked recordings show him admitting to transferring money to Feldstein at the request of lobbyist Jay Footlik.

·  Jay Footlik – Former special adviser to US President Bill Clinton, now a lobbyist for Qatar.

·  Zvika Klein – Editor-in-chief of The Jerusalem Post, who worked with Feldstein during his time as Netanyahu’s spokesman. His testimony was later reclassified as questioning under caution, on suspicion of contact with a foreign agent.

Shortly after being questioned, Netanyahu posted a video accusing police of holding his two aides “hostage.”

"I understood beforehand that this was a political investigation, but I did not realise the extent to which that is the case. They are holding Jonatan Urich and Eli Feldstein as hostages, embittering their lives over nothing."

The October 7 Hostages and Missing Families Forum, which represents the majority of the Gaza hostages’ families, criticised Netanyahu’s choice of words, saying they were "angry and hurt" by the comparison.

The Shin Bet, Israel's internal security organsiation has been investigating the ties between Netanyahu's office and Qatar.

A week ago Netanyahu attempted to oust Shin Bet chief Ronen Bar. The Attorney General ruled the cabinet decision was tainted by procedural flaws and a conflict of interest and a court injunction blocked the dismissal of Bar.

Despite this, on Monday morning, Netanyahu suddenly announced Vice Admiral (res.) Eli Sharvit as his pick for the next Shin Bet Chief, exploiting a loophole in the Supreme Court ruling that allowed him to interview candidates.

The timing of Sharvit’s appointment—coinciding with the arrests in the Qatargate scandal—led to speculation that Netanyahu had sought to create a diversion.

However, Netanyahu's move backfired spectacularly. Sharvit was discovered to have attended an anti-government protest in March 2023, at the height of the demonstrations against Netanyahu’s judicial overhaul. Reports suggest that Netanyahu was aware of this detail during Sharvit’s initial interviews but did not inform his family. The revelation caused an internal uproar within Netanyahu’s family and his Likud party.

By Tuesday, Netanyahu’s office announced that Sharvit would not be appointed as Shin Bet chief. Instead, “S.”, who has been serving as Ronen Bar's deputy for three months, was named acting head of the intelligence service until a permanent replacement is found.

Monday was a turbulent day in Israeli politics, even by its usual high standards. It began at 6:53 AM when Prime Minister Netanyahu announced his plan to appoint Sharvit as the new Shin Bet chief, despite pending petitions in the High Court of Justice challenging the dismissal of current chief Ronen Bar, which are set to be heard on 8 April.

A few hours later, Netanyahu was back testifying in the Tel Aviv courtroom in his corruption trial.

By late morning, his testimony was interrupted by news that two of his advisers had been arrested as part of the slow-burning Qatargate scandal. His lawyer, Amit Hadad, had to rush to the police station to represent the suspects, and Netanyahu himself hurriedly left his own trial to give testimony about the Qatargate scandal to the police, with the approval of the Attorney General.

By the afternoon, it became clear that Sharvit would not be the next Shin Bet chief. It turned out that Sharvit, a former navy commander, had attended an anti-government demonstration in 2023, causing discord among Netanyahu's own party members.

Then Netanyahu released his video defending his aides and accusing police of holding them hostage, upsetting hostage families.

READ MORE

PM aides allegedly took money to promote Qatar as hostage mediator, at Egypt’s expense (Times of Israel)

Qatargate could be one blow too many for Netanyahu (Ravit Hecht, Haaretz)

Entangled in Qatargate and Shin Bet U-turn, Netanyahu proves he's unfit to govern, once again (Amos Harel, Haaretz)

The escape artist: how Netanyahu lies and why people still believe him (Dahlia Scheindlin, Haaretz)

In swift U-turn, Netanyahu nixes nomination of Shin Bet head amid opposition from allies (Times of Israel)