Israeli Businessman Convicted of Million Shekel Fraud Against Former Inmate

Israeli businessman Nissim Dezaldeti has been convicted of aggravated fraud by the Tel Aviv District Court for defrauding his former prison acquaintance, Boaz Edri, out of one million shekels. Dezaldeti, who has a prior criminal record including imprisonment, exploited the trust built between them while they were both serving sentences at Ma'asiyahu Prison starting in 2020.

Dezaldeti proposed a promising investment opportunity to Edri: one million shekels for a 2.5% stake in Gefen, a shell company. Edri initially transferred 250,000 shekels to a lawyer's trust account, believing it was a down payment for the shares. However, the court found that Dezaldeti used this money to cover a personal deposit required for a previous criminal case without Edri's knowledge or consent.

In January 2021, Edri transferred an additional 750,000 shekels to Y.F.A. Conditions, a financial services company owned by Yisrael Meged. After a commission was deducted, 728,000 shekels were withdrawn in cash and given to Dezaldeti. Despite Edri transferring the full million shekels, he never received the promised shares. Dezaldeti later claimed the deal was for 1.8 million shekels and demanded more money, a claim the court rejected based on documentary evidence.

Judge Michal Agmon-Gonen ruled that the incident was not merely a failed business deal but a months-long fraud that preyed on the trust between the two men. In addition to fraud, Dezaldeti was convicted of money laundering, document forgery, using forged documents, false corporate record-keeping, and tax offenses. Meged and Y.F.A. Conditions were also convicted of related charges. The court determined that Meged forged documents, including a power of attorney and identification, in Edri's name to facilitate the cash withdrawals, with Dezaldeti's complicity.

Dezaldeti was acquitted of some charges, including theft by an authorized person and fraud related to a separate 100,000 shekel investment in Axel Solutions shares. He also faced accusations of money laundering, of which he was partially acquitted. In a separate civil case, Dezaldeti was ordered to repay the one million shekels to Edri, but the funds have reportedly not yet been returned.