Israel Police question five in huge money laundering case

arrest photo: Shutterstock

One of the suspects is a very prominent Israeli businessman.

Israel Police detained one of Israel's most prominent businesspeople for questioning under caution in the early hours of this morning. The person in question is suspected of money laundering on a huge scale in international real estate deals. His name was recently linked to another affair, in which he was questioned about possible criminal activity.

Four other suspects were also detained for questioning under caution this morning, on suspicions of money laundering, forgery, use of a forged document, false accounting, fraud, breach of trust in a corporation, obstruction of justice, and bribery.

The five suspects and other people involved in the case are being questioned on suspicion of having acted systematically together with the main suspect to create and present fictitious contracts and deals, among other things concerning real estate in a foreign country, in order to transfer and launder money.

The investigation is a complex one, and is being conducted with the cooperation of overseas law enforcement agencies, and in concert with the Israel Money Laundering and Terror Financing Prohibition Authority, and under the direction of the Economic Department and the Department of International Affairs in the State Attorney's Office.

By law, the names of the suspects may not be published for 48 hours after their arrest or until they are brought before a court. Raids and searches were carried out this morning at the homes and offices of some of the suspects, and materials were seized.

One of the people detained is the chairman of a public company. This creates a conflict between the requirement not to reveal suspects' names and the duty of the company to notify the Tel Aviv Stock Exchange of such a development. The Israel Securities Authority is advising on the matter.

Published by Globes [online], Israel business news - www.globes-online.com - on August 14, 2017

© Copyright of Globes Publisher Itonut (1983) Ltd. 2017

arrest photo: Shutterstock
arrest photo: Shutterstock
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