Former Netivei Ayalon Chairman Investigated for Fraud

Idan David, the former chairman of Netivei Ayalon, is under criminal investigation for alleged fraud, breach of trust, forgery, and submitting false affidavits. Police from Lahav 433's National Fraud Investigation Unit detained David on Thursday, searching his home and office, where documents and digital media were seized. He was released under restrictive conditions pending the ongoing investigation.

The investigation stems from a police inquiry initiated last month after the Government Companies Authority raised questions about information and documents David presented during his appointment process as chairman. David was appointed to Netivei Ayalon's board in July 2025 and elected chairman later that month.

During his appointment, David reportedly presented data on his prior management experience, including a role at Migdalit. However, significant discrepancies emerged between the presented figures and the company's financial reports. For instance, his candidacy claimed Migdalit revenues of approximately NIS 814 million and a balance sheet of about NIS 1.1 billion, starkly contrasting with the company's 2015 reports showing revenues of around NIS 16.9 million and a balance sheet of approximately NIS 19.2 million.

Similarly, regarding IDY GROUP, where David reported billions in activity, the Government Companies Authority requested external documents to verify the data. Following these findings, the appointments committee canceled his approval as chairman, and the authority later removed him from his director position. The authority concluded that incomplete, inaccurate, and untrue material information was provided during the appointment process, casting doubt on the authenticity of submitted evidence. David has denied the allegations.