Tel Aviv District Court Judge Eitan Orenstin has dismissed Nochi Dankner's motion for a new hearing on his ruling in the IDB Holding Corp. Ltd. (TASE:IDBH) case. The judge also accepted "Globes'" motion to publish the review on Moti Ben-Zaken's sources of financing on April 23. He ordered Dankner to pay NIS 50,000 in court costs.
"Ganden Investments Ltd. and Dankner are trying to divert the hearing on the approval of the debt settlement to secondary issues," said Orenstin today. "There is no need for a new hearing in the case. All the parties were heard. A new hearing on an approved settlement is held only in extraordinary cases, and that is not the case here. Dankner and Ganden are not a party in the matter of the creditors, but have the standing of shareholders. Their standing in an insolvent company is dismissed."
Orenstin rejected all of Dankner's arguments, saying, "IDB Development's creditors are breathing down IDB Holding's neck. Were we to accept Dankner's motion, there would be no source for financing IDB Developments commitments next month, the creditors would be left empty-handed causing irreversible harm. Moreover, harm might also be caused to the Extra Holding GmbH-Elsztain consortium, which deposited a lot money for the settlement. Dankner is acting improperly; he has withdrawn the motion to delay the ruling and even withdrawn the money he deposited for the settlement that he proposed. That alone is sufficient to dismiss the motion."
Eduardo Elsztain was present at the hearing, but neither Dankner nor Ben-Moshe were there.
"Illegal actions are attributed to Extra that are no more than allegations, for which no charges have been filed," said Orenstin. "All the claims backed by documents and suspicions are only alleged. Moreover, Extra has submitted documents that refute Dankner's allegations. The court is sitting as a civil court and does not have the authority to decide criminal questions. The debt settlement process is supposed to be purposeful and short, otherwise the company will not survive. That is also why I have dismissed Dankner's motion for an investigation. Furthermore, the experts appointed examined the documents and concluded that no flaw occurred in the sources of Ben-Moshe's money."
Published by Globes [online], Israel business news - www.globes-online.com - on April 8, 2014
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