Israeli Supreme Court Reviews Controversy Over 460 Million Shekels in Coalition Funds During Election Recess

The Israeli Supreme Court has been drawn into a dispute concerning the transfer of approximately 460 million shekels in coalition funds during the Knesset's election recess. The petition was filed by the NGO Hadash and Knesset member Naama Lazimi, challenging the legality of convening the Knesset Finance Committee on August 4, 2026, after the Knesset had already entered its election recess on July 18, 2026. The petitioners argue that the committee's meeting lacked the necessary consent from the Knesset's Arrangements Committee and was convened improperly, violating legal restrictions on government and parliamentary activity during election periods.

The petition claims that during this unauthorized meeting, the Finance Committee approved the transfer of extensive budgets, including about 460 million shekels designated as coalition funds and hundreds of millions more for political purposes not classified as coalition funds. This action allegedly contravened the legal framework established for the Knesset recess, including the Knesset Law and a preliminary arrangement by the Knesset Committee that allowed only a single Finance Committee meeting to complete discussions started before the recess, which took place on July 29, 2026.

Furthermore, the petitioners highlight that no legal opinion was presented to justify the committee's meeting, and the committee chairman only verbally cited a decision by the Knesset Speaker as the legal basis. This decision, if documented, was not shared with committee members. The petitioners contend that the Finance Committee chairman convened the meeting without lawful authority, and that Amir Ohana, who permitted or ordered the meeting, exceeded his powers without a detailed, substantive, and professional basis to classify the agenda items as "special cases" warranting such an exception.

In response, representatives from the Knesset and the Finance Ministry maintain that the meeting was conducted lawfully and that there is no justification for judicial intervention. The Supreme Court's involvement marks a significant legal confrontation over the handling of coalition funds and parliamentary procedures during election periods in Israel.