Israeli Supreme Court Freezes 409 Million Shekels in Coalition Funds Approved During Election Recess

The Israeli Supreme Court issued a conditional order on Monday in response to a petition by Hadash - For Freedom of Religion and Equality and Knesset member Naama Lazimi (The Democrats), challenging the Finance Committee's convening during the election recess. The court ruled that the Knesset Speaker, Finance Committee Chair, and Ministry of Finance must explain why the transfer of 409 million shekels in coalition funds approved on August 4 should not be canceled. Until they provide this explanation, the funds will remain frozen under an interim injunction. The decision was made by Justices Mintz, Kabub, and Ronen.

The court also granted the petitioners' request to release urgent budgets, including reimbursements to local authorities for summer school and funds for rehabilitating northern and southern communities. This separation of funds was something the Finance Minister had refused to do when requested by the court. The Finance Committee Chair is required to respond to the court regarding the nature of the frozen funds. A formal response from the respondents is due by September 10. The court noted that if there is urgency regarding the remaining frozen funds, the respondents may petition the court to explain.

Attorney Dr. Yifat Solel, representing Hadash, stated that the court's decision prevents illegal transfers and ensures public money is used lawfully rather than for political interests. Knesset member Naama Lazimi welcomed the ruling, emphasizing the need for accountability over indiscriminate misuse of public funds during the election period without adherence to required rules.