Police in Israel are moving closer towards a recommendation that Prime Minister Benjamin Netanyahu is indicted on criminal charges over allegedly accepting lavish illegal gifts, it has emerged.

Reporter Amnon Abramovich for Israel’s Channel 2 said on Wednesday that the decision is expected early next month after investigators decided they can proceed without questioning Australian billionaire and friend of Mr Netanyahu James Packer.

More than 90 individuals have now been interviewed since 1 January as part of a huge corruption sting involving more than 50 influential Israeli business leaders and other public figures that has spiralled to include the Prime Minister. In “Case 1000”, as it is known, it is alleged that he and his wife received lavish and “inappropriate” gifts from wealthy supporters such as cash, cigars and champagne. Mr Netanyahu has been questioned by police at least once.

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It is alleged that Mr Packer gave the Netanyahu’s elder son Yair, 25, free hotel rooms and flights on luxury holidays to gain influence with the family.

The Netanyahus have consistently denied all accusations of wrongdoing. Several other investigations – including one into allegations the Prime Minister tried to bribe a newspaper owner for favourable coverage – are ongoing.

Channel 2 reported there is now more than enough material for police to recommend an indictment to Israel’s Attorney General Avichai Mandelblit, who makes the final decision.

Sources close to Mr Netanyahu told the station that they will not be surprised if a recommendation is made but are confident the action will not be taken, as the Prime Minister did not break the law.

Separately this week, prosecutors in Jerusalem recommended Sara Netanyahu’s arrest and indictment over allegations of fraud.