Justice Ministry Seeks to Dissolve Charity Over Suspected Financial Misconduct

In June, Israel’s Registrar of Associations at the Justice Ministry filed an urgent petition with the Beersheba District Court seeking to dissolve the charity "HaChiyuch Shelahem Biyadenu". The move followed a deep supervision review that found serious financial irregularities and unlawful conduct by senior officeholders, raising concern that money meant for charity had been diverted.

The association was registered in late 2020 and was officially approved to help cancer patients, other sick people, Holocaust survivors, needy families, provide expanded holiday food packages and matzah support for Passover, and give financial aid to families in distress. The enforcement and oversight unit at the Corporations Authority said the findings suggested improper management, conflict of interest, and possible private enrichment.

According to the report, the organization employed a board member for pay, contrary to the law, failed to separate the charity’s funds from that member’s personal money, appointed two signatories who are first-degree relatives, did not fully advance its stated goals, and made false entries in its books. The authorities said these facts create a substantial suspicion of forbidden profit distribution and direct leakage of donations into private hands.

Registrar of Associations and Corporations Authority head Shuli Avni Shoham said the report raises "a grave concern" over improper conduct, false registration in the association’s documents, and failure to fully pursue its original objectives. She added that organizations acting against the law harm the reputation of all nonprofits in Israel and undermine public trust, and said the ministry will use all available supervision and enforcement tools to stop such conduct and strengthen confidence in the third sector.