Corruption Probe Ends: Tax Officials Suspected of Stealing 80 Million Shekels

By Вести-Калькалист

Translated & summarized from Vesty by baba

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An investigation into alleged corruption within Israel's Tax Authority has concluded, with evidence compiled to indict 11 suspects, including former senior officials, for defrauding the state of over 80 million shekels. The case involves suspected bribery, fraud, and money laundering, and has been transferred to the prosecutor's office. Two former tax officials, Boris Gurvitz and Sason Cohen, are central figures in the probe, accused of accepting bribes to facilitate fictitious tax refunds. The investigation focused on the years 2018-2019.

The story in 6 lines · by baba

Eleven suspects, including former senior tax officials, face potential charges in an 80 million shekel corruption probe.
The investigation alleges tax officials accepted bribes to facilitate fraudulent tax refunds.
Boris Gurvitz and Sason Cohen are identified as key figures in the alleged scheme.
The case involves suspected bribery, fraud, abuse of trust, and money laundering.
Evidence has been transferred to the Tax and Economic Crimes Prosecutor's Office for review.
The probe focused on alleged illicit activities between 2018 and 2019.

Corruption Probe Ends: Tax Officials Suspected of Stealing 80 Million Shekels — Editorial illustration generated by baba News, not a photograph of the event.

An investigation into alleged corruption within Israel's Tax Authority has concluded, with authorities gathering evidence to indict 11 suspects, including former senior officials. The case, which involves suspected bribery, fraud, abuse of trust, and money laundering, has been transferred to the Tax and Economic Crimes Prosecutor's Office for a final decision on charges.

Investigators suspect that private entrepreneurs, with the help of complicit tax officials, falsely claimed tax refunds. Instead of paying taxes, they allegedly received funds from the state treasury by submitting fictitious reports of overpaid taxes. The total amount believed to have been illicitly withdrawn from the treasury exceeds 80 million shekels.

Two key figures identified are Boris Gurvitz, a former deputy head of the tax inspection in Petah Tikva, and Sason Cohen, a former group leader in the same inspection. Cohen retired eight years ago. According to investigators, evidence suggests they accepted bribes for several years from a tax accountant representing taxpayers, facilitating a large-scale state fraud. The estimated value of the bribes alone is between 10 and 15 million shekels, paid in cash and other benefits.

The investigation focused on events between 2018 and 2019, initially handled by the Central District Police fraud unit before suspicions of bribery led to its transfer to the Lahav 433 fraud investigation unit. While many implicated officials are now retired, some continue to work within the Tax Authority. The probe revealed alleged connections between entrepreneurs and employees across several tax inspections in the Central District. Although the officials did not operate as a single group, investigators believe they were aware of the scheme or deliberately ignored it.

The investigation became public in July, with four suspects arrested and others summoned for questioning. Gurvitz and Cohen were among those arrested but were later released to house arrest for 14 days. The investigation continued after their release and has now concluded with the case file being sent to the prosecution.