Israel Police Commissioner Danny Levy instructed on Friday afternoon to "examine" Argaman's statements ahead of a potential investigation.
Netanyahu responded with a tweet saying "tonight, another dangerous red line for Israeli democracy was crossed."
Argaman explained that there is no connection between the smuggling of ammunition to Gaza and the Philadelphi corridor, as Netanyahu claimed in his speech.
Ex-Shin Bet chief Nadav Argaman's first public move since leaving the post was to condemn the Netanyahu government's judicial reform.
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