Hollywood producer Arnon Milchan testified today, Sunday, in the corruption trial of Israeli Prime Minister Benjamin Netanyahu to answer questions about an alleged supply line of champagne and cigars that was transferred to Netanyahu and his wife, in exchange for Milchan receiving assistance in his personal and business affairs.

Milchan, who appeared via video from the English city of Brighton, near his headquarters, is a key witness whose testimony is considered essential for prosecutors trying to prove that Netanyahu committed fraud and breach of trust in one of three cases filed against him.

Prosecutors hope that Milchan's testimony, which extends during this week and the next, will paint a picture of luxurious benefits granted to Netanyahu and his wife, which are alleged to have been paid to the Israeli leader in order to use his position of power to advance Milchan's interests. The defense will attempt to clarify its case that Netanyahu did not act in Milchan's personal interests and that the gifts were merely friendly gestures.

Prosecution and defense lawyers are interrogating Milchan in a meeting room at a hotel in Brighton, while journalists are not allowed to be present there. Netanyahu's wife, Sara, will be visiting the UK privately.

Milchan's testimony, which is expected to last six hours per day, is being broadcast in a courtroom in Israel for judges and other lawyers, who can also question him—and for journalists and others present to watch.

Netanyahu, who attended some sessions during his trial, arrived at the courtroom shortly after the testimony began, accompanied by his guards and associates. Milchan, who is not charged in the case, greeted him in Hebrew using Netanyahu's nickname, “Shalom Bibi.”

Channel 13 of Israel broadcast footage of Sara Netanyahu and Milchan, 78 years old, walking separately on the hotel stairs. A screen was also set up in the courtroom in Israel to broadcast the testimony.

According to the indictment, Milchan, whose production credits include hits like Pretty Woman, gave Netanyahu and his wife boxes of cigars and champagne over several years, along with jewelry, with a value close to $200,000—what the indictment describes as a supply line of luxury gifts.

The indictment accuses Netanyahu of using his influential position to help Milchan secure an extension of his U.S. visa by relying on his diplomatic contacts, including former Secretary of State John Kerry. Prosecutors also accuse Netanyahu of working to push legislation that would have granted Milchan tax exemptions worth millions of dollars.

The indictment stated, “Given the numerous connections between the defendant Netanyahu and Milchan, the defendant Netanyahu should have completely avoided dealing with Milchan’s affairs,” adding that Netanyahu and Milchan, an Israeli citizen, have had relations since 1999.

Milchan is testifying in one of three cases filed against Netanyahu. The other two involve charges of bribery, fraud, and breach of trust. Netanyahu is also accused of exchanging regulatory favors with powerful media tycoons for more positive coverage.

Netanyahu denies any wrongdoing, claiming he is a victim of a witch hunt orchestrated by liberal media and a biased judiciary system. Netanyahu's legal troubles politically pursue him, undermining his legitimacy to rule while he is tried amid a political crisis that pushed Israelis to the polls five times in less than four years.

Critics have also raised accusations that Netanyahu is pushing a controversial government plan to reform Israel’s judicial system as a way to evade charges, which Netanyahu denies.

The trial, which began in 2020 and has not yet heard from Netanyahu himself, has included over 40 witnesses, including some of Netanyahu’s closest former associates who have turned on the prime minister.

Witness accounts not only shed light on the three cases but also revealed intriguing details about Netanyahu’s personality and his family’s reputation for living off the generosity of taxpayers and wealthy supporters. Milchan’s assistant, Hadas Klein, testified last year that the family “loves gifts.”

The idea of a plea deal has repeatedly surfaced, but prosecutors now seem determined to pursue the trial, despite reports last week that judges warned them it would be difficult to prove the more serious bribery charge.