Two Directors Resign in Protest Over Israel Railways Interim CEO Appointment

Israel Railways' board appointed Yaakov Marciano as interim CEO on Tuesday, replacing Avner Flor, who was named chairman of the company. Marciano, currently the company's passenger division VP and appointed to that role only last December, is expected to take over the CEO duties amid a challenging period for the rail operator. However, the decision was controversial, leading two board directors to resign in protest on Wednesday. Retired judge and director Sarah Frish wrote to the Transport Minister and the Minister for Regional Cooperation stating she found the appointment inappropriate and refused to bear responsibility for the decision, which passed by a 4-2 majority. Following Frish, director Shlomit Geller also opposed the move and resigned.

Marciano joined Israel Railways seven months ago after a 30-year military career, including commanding the IDF Equipment Center and serving as head of logistics at the Fire and Rescue Authority. The company has been operating with interim CEOs since last July, when former permanent CEO Moshe (Shiko) Zane resigned. The search committee has yet to find a suitable permanent CEO candidate.

Separately, the government approved the appointment of Avi Khaliva as head of the Metro Authority. Khaliva previously served as supervisor of government offices and deputy director in several ministries. Transport Minister Merav Regev praised his extensive experience as beneficial for advancing this key national project.