State Audit Reveals Flaws and Fraud in Israel’s Disabled Parking Permit System

State Comptroller Matanyahu Englman released a report examining the issuance and regulation of disabled parking permits in Israel, highlighting significant issues within the Ministry of Transportation and the Ministry of Interior. The number of disabled parking permits surged from 155,000 in 2014 to 669,000 by June 2025, partly due to criminal exploitation, prompting calls for reform. A joint inter-ministerial team from the Ministries of Transportation and Finance was formed to address the issue but has yet to submit recommendations.

The audit scrutinized the permit approval process managed by the Licensing Department, noting that as of 2025, work procedures and criteria for reapplication after medical deterioration remain unregulated. Concerns were raised about fraud risks when third parties such as companies or doctors submit applications, as the department cannot distinguish between genuine and fraudulent requests. The report criticized the Ministry of Transportation’s handling of contracts with companies issuing permits, pointing out unreasonably low bids and a dramatic increase in processed applications, with some doctors approving up to 480 permits in a single day, averaging just 90 seconds per application, undermining thorough medical evaluation.

The report also identified inconsistencies in permit types, such as distinctions between regular and wheelchair permits, despite no legal basis for such differentiation, and noted that from 2021 to 2024, the Ministry issued over 30,000 permanent permits annually, representing 44% to 50% of all permits, despite no legal framework for permanent issuance. The share of vehicles linked to disabled permits rose to 17% in 2025 from 6% in 2014, contrasting with advanced countries where one permit cannot cover multiple vehicles.

Regarding accessible parking spaces, the report highlighted the Ministry of Interior’s failure to enact regulations mandated since 2005 to ensure accessible roads and parking, resulting in many cities constructing roads without proper accessibility standards. Additionally, the law does not differentiate parking for vehicles equipped with lifts, allowing any permit holder to block such spaces regardless of need.

The permit application process was suspended in January 2025 following a police investigation that uncovered criminal groups flooding the system with fraudulent applications and forged medical opinions. The Ministry of Transportation acknowledged the fraud, emphasizing zero tolerance for abuse and detailing steps taken, including terminating contracts with implicated companies, canceling fraudulent permits, and implementing advanced digital and enforcement measures. The Ministry is working with the Ministry of Finance and National Insurance Institute to transfer eligibility assessments to qualified medical bodies and to introduce a digital permit system with enhanced oversight.

The report mainly covers the period before many corrective actions were implemented, with several deficiencies already addressed or in advanced stages of resolution.