Israeli Police Seize Tens of Millions in Corruption Probe Involving Histadrut Leader

Israeli police's Lahav 433 unit conducted a major asset seizure on Tuesday, confiscating tens of millions of shekels from bank accounts of a public company and several of its senior executives. The move is part of an ongoing corruption investigation linked to the Histadrut labor federation. Those involved will be summoned for further questioning in the coming days.

The investigation centers on allegations that the public company facilitated the signing and renewal of a pharmaceutical insurance policy within the Histadrut by providing benefits and payments to insurance agent Ezra Gabay. Gabay is suspected of leveraging his influence over Arnon Bar-David, then chairman of the Histadrut, to promote and renew the policy repeatedly, aiming to increase the company's profits.

The probe, known as the "Hand Shaking Hand" case, has intensified since November when police raided the Histadrut offices and arrested dozens of senior officials, including Bar-David himself. Bar-David was suspended from his position for an extended period, though a district court later reduced his suspension from 90 to 60 days. He has recently returned to his role, but the investigation continues vigorously.

Authorities have stated that evidence suggests Bar-David exploited his position to orchestrate a bribery scheme using Histadrut resources for personal gain. Police also warned that his return could risk further offenses or evidence tampering, though the court partially accepted his defense. The recent asset seizure marks a significant step in gathering additional evidence against the company and its executives, with further updates expected as the investigation progresses.