Retired Judge Resigns from Gertner Arbitration Amidst Investigation

Retired Judge Eitan Orenstein has resigned from his role as arbitrator in the long-standing dispute between brothers Moshé and Mendy Gertner and billionaire Dan Gertler. Orenstein's decision came on the same day that a police investigation into his own conduct concluded. He cited Gertler's persistent attempts to disqualify him as the reason for his resignation, stating that he could no longer rule with openness and objectivity. Orenstein clarified that the circumstances leading to his resignation occurred after the arbitration award was issued, not before.

Gertler had accused Orenstein of baseless claims and systematically tried to prevent the completion of the arbitration for two years. The Gertner brothers had opposed Gertler's request to disqualify Orenstein, arguing he could not resign. Orenstein noted that completing the arbitration award would not require extensive deliberation, as only a few issues remained.

Simultaneously, police announced the conclusion of their investigation into Orenstein and attorney Efi Naveh. The investigation uncovered suspicions of a quid pro quo relationship between them concerning Orenstein's appointment as President of the Tel Aviv District Court, during which Naveh headed the Israel Bar Association and served on the judicial selection committee. The case has been transferred to the State Prosecutor's Office, with police believing there is sufficient evidence for the suspicions.

The legal battle between the Gertner brothers and Gertler has spanned 16 years. An arbitration award of approximately 1,200 pages was issued in April 2024. While most of the brothers' claim was dismissed, Gertler was ordered to pay them $85 million plus interest from 2006, an amount estimated to have grown to around $300 million. The dispute centers on a $600 million business partnership in African copper mines, with the brothers suing for damages.

Following the initial award, the District Court returned specific, limited issues to Orenstein for final determination. Gertler then requested a different arbitrator, arguing Orenstein's prior rulings indicated a predetermined opinion. The Supreme Court, however, rejected Gertler's appeal last month, with Justice David Mintz ruling that there was no substantial concern Orenstein could not impartially address the remaining issues, given his deep familiarity with the complex proceedings.