Treasury: Light rail tenders illegally frozen

Tel Aviv light rail work  / Photo: Eyal Izhar, Globes
Tel Aviv light rail work / Photo: Eyal Izhar, Globes

The Finance Ministry insists Industrial Cooperation chief Ziva Eger does not have the power to stop the Tel Aviv light rail tenders over the issue of reciprocal procurement.

Israel's Ministry of Finance has made it clear that there is no legal significance to the Ministry of Economy and Industry's attempt to stop the NIS 15 billion tenders for the Green and Purple Lines of the Tel Aviv light rail.

The Ministry of Economy and Industry had announced that the tenders have been frozen due to non-compliance with reciprocal procurement regulations. However, "Globes" has seen a letter sent by Ministry of Finance legal advisor Adv. Dudi Kopel to the Ministry of Economy and Industry's Foreign Investments & Industrial Cooperation chief executive Ziva Eger, which states bluntly that, "Your announcement of freezing the tender procedures was carried out without authority and against the regulations."

Earlier this week, Eger told the CEO of the NTA - Metropolitan Mass Transit System, the government company responsible for implementing the project that she was halting the tenders for the Greater Tel Aviv light rail's Green Line and Purple Line after rejecting NTA's request for an exemption from reciprocal procurement regulations.

She claimed that since rejecting the request for an exemption, NTA had failed to add a reciprocal procurement clause to the tenders, which were being frozen until the clause was added. But Kopel reveals that Eger did not contact the Accountant General for consent before announcing that the tender procedures were frozen, as required by law, and therefore her announcement has no validity.

Published by Globes, Israel business news - en.globes.co.il - on December 12, 2019

© Copyright of Globes Publisher Itonut (1983) Ltd. 2019

Tel Aviv light rail work  / Photo: Eyal Izhar, Globes
Tel Aviv light rail work / Photo: Eyal Izhar, Globes
Intel's 2025 vision credit: Intel Will Intel's sell-off include Israeli assets?

After the sale of Altera, "Globes" considers whether the troubled chipmaker will sell Mobileye or its Kiryat Gat fab.

CloudShare management team credit: PR Bow River Capital buys Israeli co CloudShare

The Denver-based alternative asset manager is paying an estimated $60-80 million for the SaaS provider of AI guided solutions for complex technical training requirements.

Housing prices continue to rise   credit: Tali Bogdanovsky Israel's housing price rise riddle

Despite a huge inventory of unsold new homes in central Israel and weak sales, apartment prices are still rising. "Globes" analyzes the data.

Inflation  credit: Tali Bogdanovsky March CPI higher than expected, housing prices rise

The March reading brings annual inflation in Israel down to 3.3% from 3.4% at the end of February.

Ben Gurion airport credit: Tali Bogdanovsky Abundance of affordable last minute Passover flight deals

The return of foreign airlines to Israel has brought down fares dramatically even for last minute vacations.

Karish rig  credit: Eyal Izhar Kesem Energy signs gas deals worth $2.8b

The power plant, scheduled to begin operating in 2029, will buy gas worth $2 billion from Energean and a further $700-800 million from the Tamar partners.

Kosher for Passover Coca Cola bottles credit: social media Why are yellow cap Coca Cola bottles different from all others?

Nostalgic Coca Cola aficionados claim that the kosher for Passover version, made from sugar cane instead of high fructose corn syrup, is the genuine taste of the soft drink.

Avigdor Willenz credit: Intel Exclusive: Avigdor Willenz's Element Labs raises $50m

The Israeli startup is developing AI processors for inference, the stage in which AI models are activated after they have already been trained.

Ilya Sutskever credit: Cadya Levy SSI hiring dozens in Israel

AI company Safe Superintelligence is hiring many dozens of people in Tel Aviv, "Globes" has learned.

Johny Srouji credit: Amos Ben Gershom GPO Apple SVP leads senior delegation of execs to Israel

Jony Srouji: I am always filled with renewed energy and optimism about our shared achievements when I visit our R&D centers here.

Israeli apartments Credit: Shutterstock Apartments sold and rented

A selection of recent real estate deals in Israel in Tel Aviv, Ramat Gan, Petah Tikva, Givat Shmuel, Tiberias and Dimona.

Infinity Tower Tel Aviv credit: Courtesy Hagag Group French investors buy 2 Tel Aviv apartments for NIS 27.5m

The two apartments are in Hagag Group's Infinity Tower in the Summeil district.

El Al plane credit: Shutterstock El Al receives state approval to distribute dividend

The Israeli airline has now announced that it will be able to distribute up to 30% of net profit in 2025 and up to 40% in 2026-2028.

groundcover founders credit: Yossi Yarom Israeli observability co groundcover raises $35m

groundcover has developed a “Bring Your Own Cloud” (BYOC) observability solution, redefining the architecture of a modern observability platform.

Tel Aviv Stock Exchange credit: Shutterstock MagioreStock Foreign investment in TASE hits five-year high

Foreign investors have been flocking to the Tel Aviv Stock Exchange in recent weeks, the TASE research department tells "Globes."

Elbit Systems tank turret systems credit: Elbit Systems Elbit Systems wins $100m tank turret systems deal

The Israel defense electronics company will supply its advanced UT30 MK2 unmanned turret systems to General Dynamics European Land Systems (GDELS) to be supplied to a NATO European country.

Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018