Ex-yes CEO Sues Bezeq for $1 Million in Legal Fees
Translated & summarized from Ice by baba
Former yes CEO Ron Eilon is suing Bezeq for 3.8 million shekels in legal fees and a performance bonus. The lawsuit stems from an eight-year investigation into the Bezeq-yes affair, during which charges against Eilon were eventually dropped. He is also now a witness for the prosecution against former Bezeq owner Shaul Elovitch. Bezeq has not yet responded to the lawsuit.
The story in 5 lines · by baba
- Former yes CEO Ron Eilon is suing Bezeq for 3.8 million shekels in legal costs and a bonus.
- Eilon faced an eight-year investigation and criminal proceedings related to the Bezeq-yes affair.
- Charges against Eilon were dropped in April 2025, and he became a prosecution witness.
- He is seeking payment for legal expenses, VAT, and linkage differences.
- Eilon also claims a withheld performance bonus of 306,000 shekels, now totaling 428,000 shekels with interest.
Ron Eilon, the former CEO of Israeli television provider yes, has filed a lawsuit seeking approximately 3.8 million shekels (about $1 million) from Bezeq, the parent company of yes. The lawsuit, submitted to the Tel Aviv District Court, alleges that Bezeq is refusing to cover Eilon's full legal defense costs incurred over an eight-year investigation and criminal proceedings related to the Bezeq-yes affair.
According to the lawsuit, Eilon's defense team spent over 10,000 hours preparing for and attending numerous hearings. Bezeq has reportedly paid 2.4 million shekels towards his legal representation, but Eilon is now demanding an additional 3.3 million shekels for legal expenses, including VAT and linkage differences. These costs also encompass those related to a civil proceeding stemming from the same case.
The legal action follows a significant turn of events in Eilon's case. In April 2025, eight years after the investigation began and four years after an indictment was filed, the State Prosecutor's Office announced the withdrawal of charges against him. Eilon had been accused of involvement in a maneuver to boost yes's cash flow, potentially increasing the payment to Eurocom, owned by Shaul Elovitch, as part of the Bezeq-yes deal.
Following new evidence revealed during the trial, the prosecution decided to drop the charges as part of a conditional settlement. Eilon agreed to certain facts without admitting criminal wrongdoing and paid a fine of 180,000 shekels. However, in May 2025, shortly after the indictment was dropped, the court approved Eilon's inclusion as a prosecution witness against former Bezeq controlling shareholder Shaul Elovitch, a notable shift in the case that also led to Case 4000.
In addition to legal fees, Eilon is demanding approximately 306,000 shekels for a performance bonus from 2018, which he claims was withheld due to the investigation. He states that Bezeq agreed to pay the bonus after the charges were dropped but only if he waived interest and linkage differences. He is now seeking about 428,000 shekels for the bonus, including these accrued differences.
Eilon served as CEO of yes from 2006 to 2018, during which time the company became a major player in the Israeli television market. With the criminal proceedings against him concluded, he is asking the court to compel Bezeq to fulfill its obligations. Bezeq has yet to file a defense statement, and no decision has been made on Eilon's claims.
