Hirchson questioned for second time

Finance Minister Abraham Hirchson on Tuesday morning arrived at the police's Economic Crime Unit in Lod to be questioned for the second time for his suspected involvement in the embezzlement of funds from a non-profit organization.

According to suspicions, Hirchson failed to report embezzlement in the organization when he served as chairman of the National Workers Labor Federation.

Last week, the minister was questioned under warning for about seven hours. Hirchson's son Ofer was also questioned on related embezzlement charges.

It was also revealed last week that during a return trip from Poland in 1997, officials uncovered $250,000 cash concealed in Hirchson's belongings. This incident was not part of the line of questioning pursued by police on Tuesday but it will be part of future questionings.

Police are also reportedly investigating allegations of personal involvement on Hirchson's part in acts of fraud. Police officials recently said that they had enough evidence against the minister.

The Hirchson affair began in 2003, when Ovadia Cohen, who is today's deputy mayor of the central town of Ramat Gan, and then CEO of the Nili Association, told Hirchson that he had taken NIS 5.6 million (about $1.3 million) from the association to cover his brother's gambling loans on the black market.

Following the incident Hirchson dismissed Cohen from his post, but according to the comptroller's report he failed to report the incident to the police.

In 2005, an accountant investigated the Nili Association and only then it became clear that the money was missing. The accountant filed a complaint to the police, and handed the material over to the State comptroller for further investigation.