Temporary Trustee Appointed for Cardiocall, AI Startup Detecting Stroke via Voice Analysis
On Thursday, Judge Hanna Kitzis of the Central District Court issued a stay of proceedings order for Cardiocall, a startup specializing in AI technology that analyzes phone calls to detect cardiac arrhythmias and prevent strokes in the elderly. The court appointed attorney Ofir Feder as temporary trustee, authorizing him to seize and safeguard the company’s assets and to invite offers for their purchase.
Founded in 2017, Cardiocall developed an automatic, background-running solution to identify atrial fibrillation early, potentially preventing over 70% of related medical complications. The company also created a smartphone app for long-term monitoring, holds intellectual property with patents in the US, Japan, and Israel, and amassed a large clinical database of synchronized voice recordings and ECG signals collected with leading hospitals.
Despite its medical innovation, Cardiocall faced financial difficulties starting in 2023, failing to secure funding needed to conduct commercial pilots agreed upon with strategic clients in Europe and Asia. This funding shortfall forced the company to gradually reduce operations, leading to most employees and managers leaving by the end of 2024.
Legal filings by attorney Shay Bar Nir from Piron & Co. reveal that Cardiocall accumulated losses exceeding 19 million shekels since inception, with ongoing liabilities surpassing 379,000 shekels by the end of 2024. The company also has a contingent liability of approximately $1.89 million to the Innovation Authority related to grants received. Recent operations were financed through loans from some founders and primarily from the French health investment fund KMT, the largest shareholder, which provided loans to preserve the company’s assets.
