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JERUSALEM, Sept 11 (Reuters) - Israeli Prime Minister Ehud Olmert said on Thursday he would resign immediately after his Kadima party chooses a new leader in an election scheduled for next week.

Olmert pledged in July to quit once a new leader was chosen, but his latest remarks indicated he would waste no time in implementing his promise.

"Immediately after a new leader is chosen for Kadima, I plan on resigning my post and will tell the president that the person who will be elected is the one worthy of establishing a new government," Olmert told a Kadima gathering near Tel Aviv.

Olmert, embroiled in a series of corruption scandals, could stay as caretaker prime minister for weeks or months after formally resigning until a new government is formed or a general election is held.

Israeli police on Sunday recommended Olmert face criminal charges, saying they had evidence he illegally received money from a U.S. businessman and made duplicate claims for travel expenses when he served as mayor of Jerusalem and trade and industry minister.

Olmert has denied any wrongdoing.

With Olmert committed to resigning after the Sept. 17 vote, the police recommendation will have no immediate impact on his tenure and does not guarantee an indictment will be filed by Israel's attorney-general.

In his speech marking the upcoming Jewish New Year, Olmert said that despite his impending resignation he will continue to hold talks with Palestinian President Mahmoud Abbas as long as he is in power.

Launched last November with the goal of reaching a Palestinian statehood agreement before U.S. President George W. Bush leaves office in January, the peace talks have been marred by violence and disputes over Jewish settlement building.

"I still believe that we can reach by the end of 2008 a reasonable, serious, and significant agreement which will keep Israel, from now and until eternity, as the state of the Jewish people with full security for all its citizens," Olmert said.

Abbas last week was quoted as saying that he doubted a full peace deal with Israel could be reached this year and urged the next U.S. administration to continue negotiations.

(Writing by Avida Landau; editing by Robert Hart)

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