PM keeps quiet on hunt for more Israeli agents

Prime Minister Helen Clark has refused to confirm reports police are still hunting within New Zealand for associates of the suspected Israeli spies jailed last week, but says there are still matters to be investigated.

Uriel Kelman, 31, and Eli Cara, 51, were sentenced in the High Court at Auckland to six months' prison and ordered to pay $100,000 to the Cerebral Palsy Society for fraudulently trying to obtain a passport.

Police are still hunting Israeli Zev William Barkan, 37, who has fled the country, but who began the fraud by applying for a passport.

Police are investigating whether the jailed men had help from others and there have been reports they are looking for a fourth man who they believe is in hiding in New Zealand.

Helen Clark confirmed she had been briefed about the police investigation, but would not elaborate.

"I am aware of ongoing investigations," she said. Asked if she expected any developments shortly, she replied: "It is hard to say, but clearly there are routes for further investigations."

She also refused to confirm or deny reports that the Security Intelligence Service had confirmed Cara and Kelman were Mossad agents by bugging their communications.

Helen Clark has condemned Israel for breaching New Zealand's sovereignty and called on it to apologise for its "utterly unacceptable" behaviour.

New Zealand has delayed approval for the appointment of a new Israeli ambassador. All Israeli officials who want to visit have to apply for visas and foreign ministry consultations have been postponed.

- NZPA