As Shimon Peres deliberated over whether to leave the Labor Party and throw his support to Prime Minister Ariel Sharon, Peres' brother sparked controversy Monday by saying that Moroccan-born Labor Chairman Amir Peretz was a "foreign body" in Labor, who along with his people "from North Africa" had taken over the party the way dictator Generalissimo Francisco Franco had taken over Spain in the 1930s.

Defying opinion polls, Peretz defeated Shimon Peres in a primary for the leadership of Labor earlier this month. For decades, Labor has suffered from an image of an Ashkenazi-dominated party which treats Sephardi Jews with condescension and contempt.

"Peretz and his people are a foreign body in the Labor Party, like General Franco in Spain," Gigi Peres told Army radio in an interview.

"They were the Falangists who came from southern Spain," Peres continued, who came to infiltrate as a fifth column into Madrid, and destroyed the magnificent republic."

Referring to Peretz' former Knesset faction, Gigi Peres said "This game is entirely clear - the One Nation people came from North Africa, took over, and shot them in the back."

Labor MK Yuli Tamir, a main supporter of Peretz, demanded that Gigi Peres apologize for his remarks - to his own brother.

"Neither I, nor [Labor party comrade] Avishai Braverman, nor most of the people of the party will tolerate anyone talking in terms of Falangists.

"No one here is a Falangist, and it makes no difference where they came from. Gigi Peretz should apologize, not to me, not to the voters, but to Shimon Peres, to whom he did a great disservice this morning, and that is a shame."


PM MAY OFFER PERES TO BE 'ENVOY FOR PEACE'

Sharon may offer Shimon Peres a future position as "special ambassador for peace affairs" if the Labor Party elder statesman agrees to support the prime minister's new Kadima faction, Israel Radio reported Monday.

Were Sharon to win re-election, such an appointment would place Peres at the center of all regional and international contacts toward diplomatic progress toward peace with the Arabs, the report said. Sharon's senior adviser Uri Shani is said to have made the offer to Peres in a meeting at the end of last week.

Peres is expected to announce a decision on leavinmg the party when he returns from a visit to Barcelona on Wednesday.

The Labor Party, meanwhile, is furious over Peres' negotiations with Sharon over the possibility of joining Sharon's Kadima party or, alternatively, backing the faction without joining.

Peres spoke with Sharon over the weekend after meeting his emissaries - his former bureau chief Shani and MK Haim Ramon. Senior politicians who spoke with Peres Sunday said their impression was that he has decided to accept Sharon's offer.

Sharon has not promised Peres a guaranteed spot on Kadima's Knesset slate, but there are indications he may also have promised to make Peres a senior minister in charge of issues related to the peace process.

At a wedding Sunday night, Peres insisted that he has not yet made any decisions. "I haven't decided yet," he said. "When I make a decision, I'll announce it."

According to these politicians, Peres is hurt and angry over his treatment by new Labor Party Chair Amir Peretz, who he claims is ignoring him.

Peretz, who realizes that Sharon's main goal in courting Peres is to undermine the new Labor chair, tried to mend matters Sunday, phoning Peres to offer him the post of party president, which would be created especially for him and would include representing the party overseas.

Peretz also pledged that such a post would not prevent Peres from becoming a senior minister in a Peretz government. However, like Sharon, he is unwilling to offer Peres a guaranteed spot on Labor's Knesset list.

When he had met with Peretz last Wednesday, Peres said that he saw himself remaining in Labor.

But Labor sources said that Peres did not respond to Peretz's offer immediately, saying that he needed time to think. Monday, Peres heads for Barcelona, and he is expected to announce his decision when he returns later this week.

Meanwhile, however, Labor politicians have begun turning up the heat, trying to pressure him into staying by accusing him of abandoning the party solely out of pique at having lost the Labor primary.

"It's hard for me to believe that Shimon would do such a thing, which would harm his prestige and his image, and which would entail a sort of loss of dignity and contempt for his good name," said Labor MK Isaac Herzog in a typical comment Sunday. "Switching to a different
party after losing an election is an inappropriate and antieducational act. And, knowing Shimon, it's hard for me to believe that he would do it."

Another Labor MK, Ophir Pines-Paz, urged Peres to clarify his position immediately, saying: "I'm convinced that Peres won't join Sharon's party, but it's very unfortunate and upsetting that Peres hasn't removed this issue from the agenda."

A group of young Labor members held a protest vigil outside Peres' house Sunday, carrying signs reading "We love you and need you." They plan to do the same Monday. Field activists who worked for Peres during the primary also called his office Sunday and urged him to stay.

Annotazioni − David Ratner contributed to this report.