Military

DATE=10/27/2004

TYPE=CORRESPONDENT REPORT

TITLE=ISRAEL / POLITICS L-ONLY

NUMBER=2-319933

BYLINE= LARRY JAMES

DATELINE=JERUSALEM

CONTENT=

VOICED AT:

HEADLINE: Sharon Rejects Calls for National Referendum, Despite Resignation Threat

from Cabinet Rebels

INTRO: Israeli Prime Minister Ariel Sharon has rejected calls from four cabinet

ministers for a national referendum on pulling out of Gaza, after his plan won

parliament approval in a historic vote Tuesday night. VOA's Larry James

reports from Jerusalem.

TEXT: The prime minister says he remains committed to implementing the plan,

despite the fact that nearly half of his own Likud Party voted against it. Four members of his cabinet threatened to resign, unless a national referendum is

held on the issue. He told the "Haaretz" newspaper that he will never give in to

pressure and threats and not accept any ultimatum.

The four cabinet rebels -- led by Finance Minister Benyamin Netanyahu -- said they

would resign if no referendum is called. They gave the prime minister a two-week

deadline to agree to their demand.

Mr. Netanyahu explained his his position in an interview with Israel Radio, Wednesday.

/// NETANYAHU ACTUALITY IN HEBREW, IN AND UNDER ///

Mr. Netanyahu says he has not given the prime minister an ultimatum but, rather,

is calling on him to make a decision. He says Mr. Sharon must decide whether to

continue on his path and risk dividing the people and destroying the government

and the Likud Party. He says it is not a question of an ultimatum. Rather, he\ calls it it's a question of a decision.

Vice Prime Minister Ehud Olhmert denounced the resignation threat as a sign of

weakness on the part of those who cannot stand up to pressure.

If the rebel ministers were to quit the government, it would raise the real

possibility new elections might have to be called. But, Mr. Sharon has an

alternative. He could try to bring other parties into his coalition.

The Sharon plan passed with the help of opponents, including members of the Labor Party. Labor Party leader Shimon Perez fully supports the disengagement from Gaza and predicts it will take place, despite efforts to delay or undermine it.

/// PEREZ ACTUALITY //

I feel the decision is beginning to take shape and nobody can stop it, in spite

of all the considerations and calculations.

/// END ACTUALITY ///

Although Mr. Sharon has Labor's support on Gaza disengagement, there are other areas of disagreement, raising doubts that a so-called unity government could be

formed.

The Gaza disengagement plan will have to pass several additional

parliament votes, as different phases of it are implemented. Still, the prime

minister says he is committed to it and that it will happen. (signed)

NEB/LDJ/WD