Northern Israel Crime Ring Operated From Prison Using Public Phone, Police Say

After a 40-day investigation, Israeli police uncovered a criminal gang operating in Migdal HaEmek and northern Israel involved in extortion, illegal gambling, loan sharking, and money laundering exceeding 10 million shekels. On Monday, indictments were filed against ten suspects, seven of whom remain in custody, with the Northern District Prosecutor's Office handling the case.

The investigation was led by the Northern Lahav 433 unit in cooperation with the Prison Service's YAMAR unit, Migdal HaEmek police station, and the Haifa and Northern Tax Authority's investigation department. Authorities allege the gang ran illegal gambling lines, a gambling apartment, and a website, while providing loans at exorbitant interest rates, engaging in extortion through threats, and laundering proceeds.

Central to the case is the main suspect, who has been serving a prison sentence since 2020 and reportedly directed the gang's activities via a public phone inside prison. The indictment states loans were given at annual interest rates up to 120%, and laundering was conducted through straw accounts, cash withdrawals, and cryptocurrency transactions.

Charges against the defendants include extortion with threats, aggravated assault, money laundering, managing illegal gambling, and providing loans in the black market. The ongoing legal proceedings reflect a coordinated effort by multiple agencies to dismantle organized crime in northern Israel.