Irish presidential frontrunner attacks Dublin for failure to sanction Israel

By John O'Donnell and Padraic Halpin

DUBLIN (Reuters) -The frontrunner to become Ireland's next president has criticised the government for inaction on a planned law to impose sanctions on Israeli settlements in protest over Israel's military campaign in Gaza.

Catherine Connolly, an independent leftwing lawmaker backed by the main opposition Sinn Fein party, urged Dublin not to buckle to pressure from big U.S. companies by watering down the law and stopping just a trickle of trade in goods, not services.

She was speaking before U.S. President Donald Trump said Israel and Hamas had reached a deal for a ceasefire in Gaza and a hostage release under his plan for ending the two-year-old war in the Palestinian enclave.

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Ireland's government has been fiercely critical of Israel's offensive in Gaza against Hamas. But sources told Reuters the bill is set to be blunted, however, after lobbying by U.S. businesses.

"We cannot allow the government to fail the Palestinian people on this", she told Reuters, accusing the centre-right governing coalition partners Fianna Fail and Fine Gael of "dragging their feet".

"I will continue to press for the occupied territories bill to include services, as it was always intended," Connolly said, calling any limitation to goods an "appalling capitulation to corporate interests" and an "unforgivable betrayal".

Ireland's president is largely a figurehead but can exercise influence over the government, having powers to refer proposed new laws to the supreme court to determine whether they are in line with the constitution, although this is rare.

Connolly leads in opinion polls before the October 24 vote.

Connolly's comments were echoed by Frances Black, an independent member of the upper house of parliament who first brought forward the legislation to impose sanctions over Israeli settlements seven years ago.

"The government needs to be ... strong on this. They need to be courageous. It's absolutely vital that we have goods and services on the bill," Black told Reuters. "We need to match our words with action.

The Irish government declined to comment.

Ireland has been preparing to impose sanction over trade with Israeli settlements for a year, provoking criticism from Israel, international company lobby groups and threats of reprisal from U.S. lawmakers.

Earlier this week, a group of U.S. lawmakers wrote to Irish prime minister Micheál Martin, saying that passing the bill would damage U.S.-Irish relations and impact American companies in Ireland.

(Editing by Timothy Heritage)