Maccabi Tel Aviv Ownership Dispute Escalates as Diets Sues Mizrahi

The battle for control of the Maccabi Tel Aviv basketball club has intensified, with businessman Richard Diets filing a lawsuit against Shimon Mizrahi in the Tel Aviv District Court. Diets' legal action challenges the sale of the Rakanti family's shares to businessman Jason Levin. Diets had previously exercised his right of first refusal to purchase 29% of Maccabi Tel Aviv, intending to acquire these shares along with an additional 9% offered by owner Ben Ashkenazi to Levin.

Following Diets' move, Shimon Mizrahi also invoked his right of first refusal. Under the original ownership agreement, Mizrahi's exercise of this right would allow him to purchase more shares than Diets, thereby preventing Diets from becoming the majority shareholder.

Diets stated in a published letter that he took this step reluctantly after Oded Rakanti sent a late-night message canceling a shareholders' meeting and announcing the unilateral transfer of 7.5% of Maccabi's shares to Jason Levin. Diets characterized this transfer, along with previous alleged breaches of the shareholders' agreement, as attempts to covertly transfer control of the club to Levin.

While expressing deep respect for Mizrahi's legacy and contributions to Maccabi, Diets criticized what he termed Mizrahi's "hypocrisy" in allegedly deceiving and plotting against a partner, only to accuse that partner of disloyalty for remaining true to Maccabi. Diets highlighted his own 13-year unwavering support for the club without seeking publicity or causing disputes, and his efforts to foster unity among partners.

Diets acknowledged the significant attention the dispute has garnered from fans, emphasizing that Maccabi belongs to them. He expressed regret that the internal conflict casts the owners in a negative light and distracts from the upcoming season. Diets stated his preference for resolving legal matters through courts and arbitration rather than public disputes, urging fans to focus on supporting the team on the court led by coach Oded Katash and captain John DiBartolomeo. He concluded by expressing hope for reason to prevail and for all stakeholders to unite in supporting the team.