Hirchson suspected of taking cash bribe
Finance minister convenes press conference to discuss planned general strike in public sector on Wednesday, refuses to answer questions regarding bribery allegations
"I'm running state affairs and I will continue to run then and I have nothing to add to what I told the police," said Finance Minister Abraham Hirchson on Tuesday during a press conference.
Hirchson convened the press to comment on the general strike planned for Wednesday by the public sector over withheld wages, but found himself facing a slew of questions regarding police allegations charging him with involvement in the embezzlement of funds from a non-profit organization.
Hirchson, who was questioned by police earlier on Tuesday on suspicions of receiving cash payments, refused to answer any of the reporters' questions.
On Tuesday evening it was also revealed 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.
Hirchson's son Ofer was also questioned on related embezzlement charges.
Police are also reportedly investigating allegations of personal involvement on Hirchson's part in acts of fraud.
According to suspicions, Hirchson failed to report embezzlement in the organization when he served as chairman of the National Workers Labor Federation.
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.Yitzhak Russo, who served as director general of the Worker's Union at the time, was also questioned on Tuesday. The Tel Aviv Magistrates Court extended his arrest by six days on Tuesday.
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.
The full details of the investigation and the extent of Hirchson's involvement remain under a gag order.
Zvi Lavi contributed to this report
