Olmert ready to quit, opposition seeks polls

JERUSALEM: Israeli Prime Minister Ehud Olmert has decided to step down in the face of probes into his alleged corruption scandals, prompting right-wing Likud Party leader Benjamin Netanyahu to call for new elections.

A snap parliamentary election in Israel could paralyze the Middle East peace talks because Netanyahu, who recent opinion polls suggest would win it, is a leading critic of Olmert's peace moves with the Palestinians and Syrians.

Dogged by corruption scandals, Olmert announced on Wednesday that he would bow out of his centrist Kadima Party's Sept 17 leadership contest and then step down as prime minister.