Israeli officials say a Palestinian man lured an Israeli soldier to a West Bank village and killed him as part of a plot to secure the release of his brother from an Israeli prison.
Israel's Shin Bet intelligence agency says the soldier's body was found in a well near the village of Qalqiliya on Saturday.
Authorities say they have arrested Nadal Amar, and several other suspects, after Amar admitted to the murder.
Shin Bet say Amar wanted to use the soldier's body in negotiations for the release of his brother, Nur al-Din Amar, who has been jailed since 2003 for his role in several terrorist attacks.
The intelligence agency says the jailed brother is believed to be a member of Tanzim, a militant faction of the Palestinian Fatah movement.
Israeli news reports say Nadal Amar and the soldier had worked together at a restaurant in the coastal city of Bat Yam.
Some information for this report was provided by AP and AFP.