With estimated debts of over NIS 4 billion, this is probably the largest-ever bankruptcy of an Israeli businessman.
Bank Leumi (TASE: LUMI), Mizrahi Tefahot Bank (TASE:MZTF) and Union Bank of Israel (TASE: UNON) have joined the Israel Tax Authority's demand for businessman Eliezer Fishman to be declared bankrupt. Bank Hapoalim (TASE: POLI) has already joined the case. With estimated debts of over NIS 4 billion, this is probably the largest-ever bankruptcy of an Israeli businessman.
The Israel Tax Authority was the first to file a demand for Fishman's bankruptcy last month over a NIS 200 million debt and request the appointment of a receiver. Fishman probably does not have the financial resources to pay the debt. Bank Hapoalim asked that its attorneys Advs. Pinchas Rubin and Yaron Elhawi be appointed as receivers as it is probably Fishman's biggest creditor with an estimated NIS 1.8 billion owed. Fishman personally guaranteed some of this although the exact amount is not known. Bank Leumi is the second largest creditor with an estimated NIS 1.7 billion owed.
The court will discuss the bankruptcy demand on September 5. Fishman has yet to respond to the demand from the Israel Tax Authority and Bank Hapoalim.
Eliezer Fishman is the controlling shareholder in "Globes."
Published by Globes [online], Israel business news - www.globes-online.com - on August 22, 2016
© Copyright of Globes Publisher Itonut (1983) Ltd. 2016
Eliezer Fishman
Chen Ma'anit, Ela Levi-Weinrib and Irit Avissar