The committee for examining appointments in government companies, headed by retired Judge Shulamit Dotan, has disqualified the appointment of Yaakov Marciano as Acting CEO of Israel Railways. Marciano, who has served as VP passengers division since last December, was selected to replace Avner Flor, who has been appointed chairman. The committee headed by Dotan has ruled that Marciano lacks sufficient experience and is not suitable for the company’s needs at this time.
The board of directors' decision to appoint Marciano stirred up controversy, with two directors resigning in protest. Sarah Frisch Sarah Frisch, a member of Israel Railways board and a retired judge, wrote to Minister of Transport Miri Regev. "A fundamental decision was made at the board meeting regarding the appointment of an acting CEO. In my opinion, the decision is not appropriate for the company at this time. I am not prepared to accept responsibility for this decision, which was made by a majority of four to two. Since I do not have the ability to change this decision, I have decided to resign from my position as a director." In addition director Shlomit Geller also voted against the appointment and resigned.
With the resignation of the directors, the Israel Railways board of directors is left without public representatives, However, it is possible that Marciano's disqualification will lead to the return of Frisch and Geller to the board.
The latest disqualification comes at a time when Israel Railways is already facing a complex situation. The railway's last permanent CEO Moshe Zana stepped down in July 2025. Since then, the company has been operating with an acting CEO, with the search committee expected to embark on another round of searches after failing to find a suitable candidate. The last person to hold the position of acting CEO was Avner Flor, who is now becoming the company's chairman.
Published by Globes, Israel business news - en.globes.co.il - on July 21, 2026.
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