Willi-Food owner arrested on suspected fraud

Gregory Gurtovoy Photo: Shiri Habib-Valdhorn
Gregory Gurtovoy Photo: Shiri Habib-Valdhorn

The Israel Securities Authority is questioning Gregory Gurtovoy on alleged fraud and money laundering offenses.

The senior executive at Israeli food manufacturer G. Willi-Food International (Nasdaq: WILCF; TASE: WLFD) who is being questioned on fraud and money laundering has been named as Gregory Gurtovoy. He recently acquired Willi-Food through his holdings company Israel 18 and BGI from fellow Ukrainian Alexander Granovsky. Gurtovoy has had his remand extended by the court until midday Friday.

The Israel Securities Authority suspects him of reporting violations, false reporting, aggravated fraud and money laundering. The alleged violations involve hundreds of millions of dollars.

According to the papers filed with the court, these offenses have been committed since 2013. This morning Israel Securities Authority officials raided Willi-Food's offices in Yavne. Gurtovoy is suspected, together with others, of taking millions of dollars out of Willi-Food and investing it in assets abroad.

Willi-Food declined to comment on the report. "Reuters" reports that Gurtovoy is also managing partner of GHP Group, a private investment bank in Ukraine.

Willi-Food's share price fell 5.24% on Nasdaq last night to $3.95, giving a market cap of $51.78 million.

Published by Globes [online], Israel business news - www.globes-online.com - on February 18, 2016

© Copyright of Globes Publisher Itonut (1983) Ltd. 2016

Gregory Gurtovoy Photo: Shiri Habib-Valdhorn
Gregory Gurtovoy Photo: Shiri Habib-Valdhorn
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