Ex-yes CEO Sues Bezeq for $1 Million in Legal Fees and Bonus

Former yes CEO Ron Eilon has filed a lawsuit against Bezeq, seeking approximately 3.8 million shekels (about $1 million USD) in damages. Eilon, who led the satellite television provider from 2006 to 2018, claims Bezeq is refusing to reimburse him for his legal expenses incurred during a criminal proceeding related to the "Cash Flow Affair." This case involved charges that Eilon attempted to influence yes's cash flow to benefit Eurocom, a company associated with Shaul Elovitch.

The legal proceedings, which lasted about eight years and concluded with the indictment being dropped in April 2025, involved extensive legal work. Eilon alleges that despite Bezeq's prior commitment to cover his reasonable legal costs, the company has failed to pay the remaining balance of approximately 3.3 million shekels, which includes VAT and interest. He asserts that the legal fees charged by his attorneys were fair and reasonable, given the more than 10,000 hours invested in his defense.

Additionally, the lawsuit includes a claim for a performance bonus for 2018, amounting to about 306,000 shekels, which Eilon states Bezeq delayed due to the investigation. While Bezeq agreed to pay the principal amount of the bonus after the criminal case ended, they allegedly conditioned it on Eilon waiving accrued interest and linkage differences, now valued at approximately 428,000 shekels.

Bezeq had previously covered about 2.4 million shekels of Eilon's legal fees. The lawsuit also mentions that Bezeq should reimburse expenses paid to another firm that handled a derivative lawsuit stemming from the legal proceedings, which was eventually stayed. Bezeq has not yet filed a defense statement.