The Tel Aviv District Attorney's Office (taxation and economics) has decided to indict the main suspects in the Peled-Givony affair: former Israel Police Inspector General Rafi Peled, businessman Aryeh Givony, financial consultant Tal Jaegerman, former Peled-Givony director David Haby, and former financial manager Yitzhak Shenhav.
Sources inform “Globes” that the suspects will be indicted for violations by managers and employees in a corporation, corporate fraud and breach of trust, and violations of the Securities Law (5728-1968) (failure to report illegal transactions by parties at interest). Givony, Jaegerman, and Haby are also accused of more serious crimes: theft by company managers and violations of the Prohibition on Money Laundering Law (5670-2000).
According to an already prepared draft indictment, the five men committed crimes amounting to NIS 40 million. The state alleges that they stripped three public companies: Mashav Cooling Industries Ltd. (TASE: MASH), Feuchtwanger Investments (TASE: FUTIN), and Afcon Electro Mechanics (TASE: AFEM).
The state also alleges that the five men caused irreversible damage to shareholders, and to the banks that granted the companies loans and credit lines.
Published by Globes [online] - www.globes.co.il - on October 13, 2004