Israeli police questioned Prime Minister Ehud Olmert under caution yesterday as part of an inquiry into suspected corruption.

Police spokesman Micky Rosenfeld said Mr Olmert was being questioned in his Jerusalem residence, but declined to provide further details on the case or why the meeting had been held at short notice.

Israel's attorney general on Thursday gave investigators special permission to conduct yesterday's questioning. A legal source said that what was unusual about the session was that it was ordered at such short notice.

The questioning comes as Mr Olmert pursues a peace effort with the Palestinians, talks the US hopes will culminate in a peace deal before January. Secretary of State Condoleezza Rice will arrive in the region today to help advance the talks.

Mr Olmert, who has been the subject of three corruption investigations relating to his conduct before he became prime minister in 2006, has denied any wrongdoing.

A statement issued by Mr Olmert's office on Thursday said the Prime Minister has freed an hour from his schedule for the questioning and said he is planning to "fully cooperate with law enforcement officials in the same manner he did in the past".

Mr Olmert is under criminal investigation into accusations he dispensed favours in return for a discount on the 2004 purchase price of a Jerusalem home. He has described the allegations as "needless".

He is also being investigated over allegations that as trade minister in 2003, he appointed allies to a state business authority.

He has said the suspicions are baseless.

Last November police concluded there was insufficient evidence to take action against him over his role in the sale of state-owned Bank Leumi when serving as finance minister.

Earlier this year, a government-appointed commission said political and army leaders had committed "serious failings" during a war against Hezbollah guerillas in Lebanon in 2006. The panel did not blame Mr Olmert personally and endorsed key decisions he made.