In response to media reports on Wednesday that although Minister of Finance Yair Lapid had halted stipends to yeshiva students who had deferred their military service, the money had already been paid, the Ministry of Finance said in a statement today, "Yesterday morning, it turned out that the money had gone 'half way' and been transferred from the Ministry of Finance to the Ministry of Education, which is due to make the payment. After urgent consultation, Lapid ordered the Accountant General to freeze all money at the Ministry of Education intended for yeshiva students, in order to implement the High Court of Justice ruling.
"The Ministry of Education is now cooperating with the Ministry of Defense to cross reference the lists of yeshiva students to separate the students aged 18-20 whose draft has been deferred since August. These students will no longer receive government money.
"Only when the review is completed, will the Ministry of Finance release the money of yeshiva students who are not covered by the High Court of Justice ruling."
Lapid's directive to Accountant General Michal Abadi-Boiangiu affects NIS 47 million in stipends paid to 110,00 yeshiva students, 2,500-3,000 of whom were due to be inducted into the IDF since August 2013. Although the amount is not great, the Ministry of Finance finds it difficult to remember the last time a finance minister froze payments that affected so many people. The budget for supporting yeshiva students is estimated at NIS 700-800 million a year.
Published by Globes [online], Israel business news - www.globes-online.com - on February 6, 2014
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