Police last week arrested a cleric who heads a mosque in the Galilee village of Tuba Zangaria on suspicion of incitement to violence, a spokesman said on Sunday.
The mosque was targeted last month by vandals, who set fire to the building and left behind far-right hate graffiti.
Fuad Zangaria was arrested at the end of last week on suspicion of calling on followers to attack those behind the arson attack during Friday sermons.
"I can confirm that he is being questioned over suspicions of incitement, and that the investigation is continuing," police spokesman Micky Rosenfeld told The Jerusalem Post.
Zangaria is also suspected of being involved in a shooting attack on the home of a former council head due to a feud.
The Nazareth Magistrate’s Court released Zangaria to house arrest for a period of 15 days on Sunday.
In recent weeks, police arrested three Israeli youths – two from the West Bank – on suspicion of being linked to the attack on the mosque.
All three have since been released, and police have struggled to present evidence to justify their continued custody.
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