The White House on Thursday did not speak directly about the scandal surrounding Israeli Prime Minister Ehud Olmert, but said that it is hurting the Palestinian Israeli peace talks. White House Press Secretary Dana Perino's comments came amidst a firestorm of concern surrounding allegations that Olmert illegally accepted large sums of cash from an American financier. . Despite the pressure, Olmert, whose term ends in late 2010, has said he is not “going to give up.” Olmert has denied all wrongdoing with the allegations but has acknowledged receiving campaign donations. Perino did not comment on the allegations, saying that U.S. President George W. Bush believes that “Israeli politics is something that Israelis are going to have to deal with.” But, she did say that the scandal “obviously takes up some oxygen when you're trying to deal with intense and complex negotiations with the whole of the Middle East, but especially in the Palestinian Territories and Israel.” Perino again stated the importance of having both a Palestinian and an Israeli state that is “democratic and free.”