Rabin Could Face Prosecution As a Co-defendant with His Wife

Premier Yitzhak Rabin could face prosecution as a co-defendant with his wife, Leah, for the illegal bank account they held jointly in Washington, D.C., it was indicated today. Attorney General Aharon Barak has decided to prosecute Mrs. Rabin and her file will be turned over to his office early this week. He has reserved decision on the Premier until Rabin “gives his version” of the affair to Treasury investigations, sources here said.

Rabin is expected to be questioned during the next few days. His interrogation will not require a waiver of the immunity he enjoys as a Knesset member although he has offered to give it. A waiver may be required if he is to be prosecuted.

Meanwhile, Barak is trying to work out a legal formula by which Rabin could relinquish his duties as Premier without formally resigning that post before the May 17 elections. Under Israeli law, no minister in a care-taker government may resign. Exceptions are made only if the minister is out of the country or temporarily “unable” to fulfill his duties for reasons of health or mental condition.

Barak is exploring the law to see if a broader interpretation of “unable” can be made. One possible solution would be for Rabin to take a vacation until after the elections and appoint someone else–probably Defense Minister Shimon Peres–as Deputy Premier.

BASIS FOR DECISION

Legal sources close to Barak said his decision whether or not to prosecute Rabin would depend on whether the Premier knew of the existence of the bank account and of his wife’s withdrawals from it or it he was not aware, or actively conscious, of Mrs. Rabin’s dealings with the bank. In the latter case, he would be treated as a technical offender and excused without prosecution or administrative punishment.

On the other hand, if Rabin was fully aware of the matter he will be held equally liable with his wife, the sources said. In his public statements since his dramatic resignation as leader of the Labor Party last Thursday, Rabin has accepted “moral and formal responsibility” for the bank accounts which violated Israeli currency law. He acknowledged that the accounts were held jointly in his and his wife’s names and that it was “irrelevant” who actually drew checks on them. There were “no secrets” between himself and his wife, Rabin said. (See separate story P. 3)

Legal circles said that in cases of this sort the courts invariably levied fines, not jail sentences, although prison terms are provided by law for such offenses.

MRS. RABIN: AFFAIR WAS ‘BLOWN UP’

Mrs. Rabin said today in an interview in Yediot Achronot that the entire affair has been “blown up.” She said she did not feel she had done something “terrible” and was not afraid to look people in the eye. “This is a crisis that is passing over our home, the family and a large group of friends but one day it will be behind us,” she said.

Mrs. Rabin explained that throughout her married life she had handled the family’s financial affairs. She said that leaving an active bank account in Washington had been “negligence” but there was no intention to conceal its existence. If there had been, she could have tansferred the account to her uncle who lives in New York, Mrs. Rabin said.