Treasury chief seeks Govt Companies director suspension

Ori Yogev
Ori Yogev

Ori Yogev has been summoned to a pre-suspension hearing after holding an unauthorized press briefing yesterday.

The unprecedented step of suspending Government Companies Authority director Ori Yogev, a process that Ministry of Finance director general Shai Babad began yesterday, has the consent of Attorney General Avichai Mandelblit and Civil Service Commissioner Moshe Dayan. Sources inform "Globes" that Babad consulted his two colleagues before summoning Yogev for a hearing in advance of suspension, scheduled for tomorrow.

The move was sparked by Yogev's decision to hold a press briefing yesterday in contravention of an instruction from the Ministry of Finance director general that his approval and that of the ministry spokesperson must be obtained for such events. Ministry of Finance spokeswoman Lilach Weissman sent Yogev a warning letter before the event cautioning him that holding it would lead to disciplinary action against him.

Yogev decided to ignore the messages and held the press briefing yesterday as planned. At the briefing, he announced the setting up of a new panel of potential directors for government companies, the third, and stated his opinion that it was improper for ministers to appoint directors to government companies when an orderly procedure existed to ensure the appointment of suitably qualified directors.

In response, the Ministry of Finance director general sent Yogev a summons to a pre-suspension hearing for having breached civil service regulations. The move appears to raise a legal difficulty, since Yogev is not a civil servant but a director appointed directly by the government. The view has been voiced that Babad has no authority to suspend Yogev even if he has breached civil service regulations. This is most probably mistaken - Babad does have the power to suspend Yogev, even if it is a power that has not been used in recent years, and possibly has never been used. Although Yogev is not subordinate to the director general of the Ministry of Finance professionally, he is subordinate to him administratively. The power to suspend may be used only in extreme and unusual circumstances, and even then the suspension period is limited to two weeks, with the possibility of extending it for a further two weeks.

Published by Globes [online], Israel business news - www.globes-online.com - on January 24, 2017

© Copyright of Globes Publisher Itonut (1983) Ltd. 2017

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