Supreme Court Upholds $10,000 Monthly Payment for Bankrupt Ex-Developer Oren Kobi

Israel's Supreme Court has rejected an appeal by Oren Kobi, a former real estate developer facing criminal charges, against a lower court's order requiring him to pay NIS 30,000 (approximately $10,000 USD) monthly as part of his bankruptcy proceedings. Kobi is currently facing NIS 34 million in personal debt claims, in addition to NIS 239 million in claims against companies he controlled. The District Court had previously ruled that Kobi had failed to make any payments to the bankruptcy estate for 6.5 years, despite maintaining a lavish lifestyle at the expense of his creditors.

Kobi is currently facing four indictments, including serious charges of fraud, theft by an authorized person, and other offenses related to his past activities with the Adama group, which sold agricultural land. He was also indicted in 2025 for violating a ban on engaging in real estate activities and for defrauding creditors. He is currently under house arrest with electronic monitoring and is prohibited from any business activities related to real estate.

In his appeal, Kobi argued that his earning capacity was negligible due to his house arrest and real estate business ban. He also claimed the District Court ignored evidence refuting the alleged lavish lifestyle, pointing out that his mother paid his rent. However, Justice Stein of the Supreme Court stated that Kobi's failure to deposit any funds into the bankruptcy estate for years, and his lack of evidence supporting his financial claims until a later motion, raised serious suspicions against him.

The Supreme Court found no reason to intervene in the District Court's decision, noting that the payment order is temporary and subject to review once Kobi provides full financial reports. The District Court had previously described Kobi as a debtor who acted in bad faith throughout the proceedings, living extravagantly while owing tens of millions and concealing assets from creditors, trustees, and the court. He reportedly continued to reside in luxury apartments, use luxury vehicles, and behave in a manner inconsistent with bankruptcy proceedings during the years he made no payments.