21 Arrested in Israel Over Alleged Multi-Million Shekel Fraud in Gaza Operations

Following the outbreak of the war on October 7, 2023, the IDF contracted civilian companies to supply heavy machinery for operations in Gaza, including demolishing Hamas infrastructure, sealing tunnels, and constructing military positions. A covert investigation by the Lahav 433 economic crime unit, the military police's special investigations unit, and the Tax Authority's VAT division in Beersheba had been underway for months before transitioning to its public phase with the arrests.

According to The Jerusalem Post, the scheme involved contractors colluding with soldiers to inflate operational reports, falsify work hours, and fabricate activity logs for heavy machinery. Arutz Sheva and Behadrei Haredim reported that investigators are also examining potential irregularities concerning fuel intended for military vehicles. Kikar HaShabbat noted that dozens of reservists and career soldiers are suspected of involvement, and further arrests are anticipated.

The suspects were taken to Lahav 433 headquarters for questioning. They are scheduled to appear later on Tuesday for detention extension hearings at the Beersheba Magistrate's Court and the Military Court in Beit Lid. Haaretz noted that this probe follows a previous indictment in February against Bezalel Zini, the brother of Shin Bet chief David Zini, for smuggling cigarettes into Gaza.