OLMERT CALLS P.A. P.M. A TERRORIST

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Olmert calls Haniyeh a 'terrorist' (YNET)
Prime Minister Ehud Olmert called Palestinian Prime Minister Ismail Haniyeh of Hamas a "terrorist" and accused him of transferring more than $1 million to Palestinian gunmen to carry out attacks against Israel.

Haniyeh aide Ghazi Hamad said Olmert's statements were "confused and irresponsible".

Olmert's allegations, in an interview with Time magazine released on Friday, marked a sharp escalation in an Israeli campaign against Haniyeh and the unity government he formed with Palestinian Authority President Mahmoud Abbas's Fatah faction this month.