Israeli Court Extradites Businessman Michael Payne to U.S. Over $28 Million Bank Fraud Charges

Michael Payne, a U.S. citizen and businessman, was extradited from Israel to the United States to face charges of bank fraud and electronic fraud involving over $28 million. Payne, who frequently traveled between Israel and the U.S., was accused of submitting false information to banks and federal institutions between 2016 and 2019 to secure mortgage and refinancing loans. According to the indictment, Payne invested in residential rental projects for low-income families across the U.S. and held controlling shares in several subsidiary companies.

The federal investigation into Payne began in 2019, leading to a grand jury indictment in Missouri on August 20, 2020, for serious federal fraud offenses. Payne never acquired Israeli citizenship but resided in Israel during the relevant period. U.S. authorities located him in Israel and requested his extradition in 2021. In July 2023, Israel's International Department of the State Attorney's Office petitioned the Jerusalem District Court to declare Payne extraditable, which was granted. Payne's appeal to the Supreme Court was rejected, and on May 14, 2024, the acting Minister of Justice approved his extradition.

The extradition process was handled by attorney Hanna Leib from the International Department of the State Attorney's Office, in cooperation with the Israeli Police and Interpol's special operations unit. Payne has not been convicted and retains the presumption of innocence as the legal proceedings continue in the U.S.