Under a settlement with the banks, he will be repaying them for the rest of his life.
Nochi Dankner, formerly the controlling shareholder in the IDB group, is close to a settlement with the banks of his personal debt to them amounting to some NIS 500 million.
Under the formula currently being discussed, Dankner will repay the banks NIS 180 million over the next five years, and after that will continue to repay the balance of NIS 320 million in installments, by transferring 60% of his future income to the banks until he has covered all his debts, or until he dies.
The debt settlement between Dankner and the six banks to which he owes money is expected to be finalized shortly. Under the agreement, Dankner will be obliged to sell his house, estimated to be worth over NIS 40 million. He will also undertake not to continue living in the house as a tenant but to leave it, in a move intended by the banks to demonstrate that Dankner is being treated the same as any Israeli who falls into debt that he cannot repay.
Published by Globes [online], Israel business news - www.globes-online.com - on July 27, 2014
© Copyright of Globes Publisher Itonut (1983) Ltd. 2013
Nochi Dankner picture: Dror Einav, Walla