Government Company in Chaos: No CEO, Department Head 'Intermittently Absent'

Ariel Sharon Park Company is in disarray, lacking a permanent CEO and a properly appointed interim replacement. Oz Agbaba, who served as acting CEO since June, was deemed ineligible for the position by the Appointments Committee. This has sparked a dispute between the company's board, led by Amnon Merhav, and the Government Companies Authority (GCA).

The board failed to appoint a successor to Agbaba and proposed transferring CEO powers to the board itself, to be exercised by a management committee. The GCA opposed this, warning it would blur the lines between management and oversight. The company also reported to the GCA that its finance department head is "intermittently absent" and its engineering department head is leaving.

Agbaba, who has been the company's secretary for over five years, began acting as CEO on June 8. The GCA's decision on his ineligibility was issued on August 19, centering on whether his experience as secretary qualified as senior management experience. The company contested this, highlighting his familiarity with its operations and past dealings with the GCA in his secretary role.

Despite the board's unanimous request for a review on September 3 and an unsuccessful search for internal candidates, the GCA clarified on September 14 that the review request did not halt the ineligibility decision. Maayan Harel, Senior Deputy to the Authority's Director, stated Agbaba should not continue as acting CEO or exercise those powers. The GCA also placed "heavy responsibility" on the board for not appointing another senior employee as interim CEO.

Legal counsel proposed a temporary solution on September 16: the board chairman and another director, with the legal advisor, would exercise CEO powers via a committee. This committee could delegate authority to employees. However, the GCA rejected this on September 24, arguing it wouldn't create a separate management body from the oversight one and could lead to blurred responsibilities and weakened management.

Adding to the turmoil, the company reported its engineering department head's departure and the finance department head's prolonged intermittent absences, with potential dismissal proceedings. The company stated the engineering head is still in his post and a replacement is expected before he leaves, and that the finance department remains operational. The company emphasized the need for management continuity for projects like acquiring drainage basin land, relocating the Safari, and the entry of Netivei Israel into park areas. It argued an external interim appointment was impractical due to the required deep familiarity with its operations.

The GCA, however, maintained in its September 24 letter that an external candidate could be sought even during an election period, subject to law and committee approval. The company stated it would proceed with this. In a statement, the company asserted its professional management and accelerated activity due to absorbing new land and the Safari relocation. It explained the permanent CEO appointment is stalled by election period restrictions but an interim CEO search is underway in coordination with the GCA. The engineering head's departure is due to a tenure limit, with a public tender for his replacement underway. The finance department is operational. The company defended Agbaba's deep knowledge and stated all board decisions were unanimous, based on legal opinions presented in meetings attended by GCA representatives and the company's auditor.