An Israeli court has found former Foreign Minister Avigdor Lieberman not guilty of all charges in a graft trial.

Wednesday's decision clears the way for the powerful hardline politician to return to his post at the Foreign Ministry.

Lieberman, an ally and sometime rival to Prime Minister Benjamin Netanyahu had been charged with fraud and breach of trust for allegedly trying to advance the career of a former diplomat who relayed information to him about a separate criminal investigation into Lieberman's business dealings.