Minister Hirchson
Photo: Gilad Kavalerchik

Hirchson under investigation over embezzlement

Finance minister questioned under warning over suspicions he was involved in alleged embezzlement at non-profit association when he served as chairman of National Workers Labor Federation

Finance Minister Abraham Hirchson was investigated under warning Tuesday for his suspected involvement in the embezzlement of funds from a non-profit organization. Hirchson's son Ofer was also questioned.


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


Police officials recently said that they had enough evidence against the minister.


About two months ago, State Prosecutor Eran Shendar instructed the police to launch a criminal investigation against Prime Minister Ehud Olmert regarding the Bank Leumi privatization affair.


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 USD 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.


פרסום ראשון: 03.20.07, 13:15
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