Australian Attorney-General Mark Dreyfus denied on Friday that alleged Mossad agent Ben Zygier had been in contact with the country's internal intelligence agency, ASIO, prior to his arrest in Israel.

Dreyfus' statement came in response to an ABC report earlier this week that the dual Israeli-Australian citizen had been arrested for leaking Mossad secrets to the ASIO.

"The Attorney-General has been fully briefed by the director-general of ASIO on his agency’s knowledge of this case. The director-general's account is entirely consistent with the recent statement issued by the Israeli prime minister," The Sydney Morning Herald quoted Dreyfus' spokeswoman as saying.

On Tuesday, the Prime Minister Binyamin Netanyahu issued a statement saying that, contrary to reports, Zygier did not have any connection to Australian intelligence agencies.

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