Foreign Minister Avigdor Lieberman is trying to bar the UN's chief representative in the region from Israel over allegations that he tried to funnel funds to Hamas in Gaza.
Mr Lieberman's office confirmed over the weekend that he was in favour of declaring the UN's Special Coordinator for the Middle East Peace Process Robert Serry a persona non grata.
The move is not supported by senior professionals in Israel's Foreign Ministry or defence establishment.
It is alleged that Mr Serry tried to facilitate the transfer of $20m from Qatar to Hamas. The cash would have enabled Hamas to pay the salaries of civil servants not recognised by the PA as employees. Mr Serry said the accusations were "crazy" and "baseless".