Israel Perry was convcited of embezzling 320 million German marks in the "German Pension Affair."
The District Court of Tel Aviv today sentenced attorney Israel Perry to 12 years in prison over the embezzlement of 320 million German marks in the "German Pension Affair." Perry was also fined NIS 21 million and given an additional five and a half year suspended sentenced. Perry has been given a stay of his sentence in pending his Supreme Court appeal.
Perry and his Association for Implementing the Social Security Covenant between Israel and Germany, through which Israelis meeting certain criteria could benefit from West Germany's social security pensions, pocketed more than NIS 800 million in premiums and loan insurance payments from people who are now elderly and from holocaust survivors, in connection with applications to join the pension plan. Joining the plan required a substantial initial payment. Perry's association was established to aid in obtaining the initial funds.
Perry was also convicted of fraudulent obtainance, obstruction of justice and violation of insurance laws. He had misrepresented an offshore company he founded as an insurance firm and had taken professional fees from clients to represent them before international financing and insurance organizations, without being licensed to do so.
Published by Globes [online], Israel business news - www.globes-online.com - on February 19, 2008
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