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CRIME AND PUNISHMENT:
Israel and Zionism Department
1930s-era Jewish gangster





Half-Billion-Dollar Industry Largely Staffed By Sex Slaves, by Dr. Martin Brass, Soldier of Fortune, October 2002, p. 32
"Israel prides itself as a 'beacon of light,' paving an enlightened path for democracy and human rights in a region of dictators, theocracies, tyrants and human rights abusers. In July 2001, the U.S. State Department placed Israel on a 'third tier' list of countries, or worst offenders, of Traffickers in Persons. In the shadows of the 'beacon of light' lurks a brutal and inhumane abuse - trafficking of women and children for the sex-slave trade. Israel was on the same list as Saudi Arabia, Lebanon, Sudan, Yugoslavia, Bahrain, Greece, Pakistan, Qatar, Turkey, the United Arab Emirates and 12 others ... 'Elderly Jewish women in the Ukraine often lure the girls into the trade,' Specter said. Or, the girls are recruited through 'an ad or an unexpected meeting on the street, with a proposition to work abroad as a maid, secretary, showgirl, nanny or waitress.' A typical ad, writes Walter Zalisko, 24-year police veteran, authority on Russian organized crime in New Jersey and New York, seeks '... pretty woman, under age 40, slender, educated, to work in modern office setting; $600/month; documents and transportation provided.'"

Israel Fears More Rights Challenges in Europe,
Haaretz
[Israeli newspaper], July 26, 2001
"The [Israeli] Foreign Ministry has begun 'mapping' the criminal justice systems of European countries, trying to identify 'problematic states' where prominent officials in the Israeli security services might face legal action because of wide-ranging local authority to prosecute suspected human rights violations. Sources in the Foreign Ministry warned that prominent IDF and Shin Bet security service officers, who have appeared in the press in connection with their past or present jobs, might be subject to prosecution in some European countries. The issue first arose with a complaint to the Belgian court system against Prime Minister Ariel Sharon, for alleged responsibility for massacres in the Sabra and Chatila refugee camps in Beirut during Israel's 1982 invasion of Lebanon. This was closely followed by complaints from Danish parliamentary and human rights groups against Carmi Gillon, the former Shin Bet chief recently appointed ambassador to Denmark. Several high-ranking security officers, both past and present, have recently asked the ministry whether they might face difficulties traveling through Europe."

Israel Extradition Law Offers Help to Alleged Criminals.
Jewish Bulletin of Northern California
, February 27, 1998
"Are Israelis committing crimes in the United States and fleeing home to avoid prosecution? In some cases, yes. But recent developments suggest that while these alleged criminals can run, they can't necessarily hide. The issue emerged in September, when a Maryland teenager claimed Israeli citizenship in an effort to avoid a murder trial in the United States. The case of Samuel Sheinbein came before the Israeli courts this week as Israeli officials, seeking to comply with a U.S. request for extradition, argued that despite the youth's claim, he is not an Israeli citizen. While Sheinbein's case is extreme, his flight from U.S. prosecutors has focused some unwanted attention on Israel's extradition policy. Like most European countries and many South American nations, Israel does not extradite its citizens. But it does allow prosecutions in its own courts for crimes committed abroad. But the fear of prosecution at home has not stopped at least a half-dozen Israelis from fleeing the United States in recent months. The recent trend has elicited much concern among U.S. law-enforcement personnel and prosecutors, who fear that Israeli criminals will use the Jewish state as a refuge ... Until 1977, there was an extradition treaty between the United States and Israel. But an Israeli law, passed in 1977 and intended to protect Israelis from legal actions abroad motivated by anti-Semitism, superseded that treaty, according to an Israeli official in Washington. Since then, the Israeli law barring extradition of its citizens has come under fire in the United States. The Sheinbein case reopened the issue, resulting in congressional pressure not only to extradite Sheinbein, but also to change the law to prevent similar situations in the future."

Fit to Be Tried. But Where? Jerusalem Post, October 19, 1997
"Samuel [Sheinbein, is] the 17-year-old Maryland youth suspected of a brutal slaying and now trying to turn Israel into his land of refuge. According to the 1978 [Israeli] law, passed by Menachem Begin's government, Israeli citizens cannot be extradited for crimes they allegedly committed abroad. Instead, the bill authorized Israeli courts to try such persons here. The impetus for the bill was the case of Reuven Pesahovitz, an Israeli accused by the Swiss of embezzlement and fraud of more than 10m. Swiss francs. Prime minister Begin, then serving also as justice minister, refused to extradite Pesahovitz. Meretz MK Amnon Rubinstein, formerly the dean of Tel Aviv University's Law Faculty, said that Begin's pushing of this legislation was part of his philosophy of not wanting to turn Jews over to non-Jews, because of a concern that they would not get a fair trial. At the time that the law was enacted, another high-profile extradition case, involving Shmuel Flatto-Sharon, was stirring passions in the country. Flatto-Sharon was accused of embezzlement and fraud by France which was seeking his extradition."

Former Jewish Agency Chief Fined $13,000 on Fraud Charges
. Jewish Bulletin of Northern California, May 17, 1996
"Former Jewish Agency for Israel chairman Simcha Dinitz has been fined approximately $13,000 after being found guilty of billing the agency for charges on a personal credit card. In announcing the fine, a Jerusalem district court judge stressed the seriousness of the offenses, which were fraud and breach of trust. At the same time, he rejected the prosecution's request for a prison term."

Israeli President Faces Criminal Investigation. The Independent [Great Britain], January 21, 2000
"Israel's head of state, Ezer Weizman, became the first President in the nation's 52-year history to be the subject of a criminal inquiry yesterday, for accepting large sums of cash from a reclusive French millionaire while serving in parliament and as a minister. The attorney-general told police to investigate the activities of Mr Weizman, 75, after the Justice Ministry announced it had new evidence that may link him with the business interests of the textile magnate Edouard Saroussi in Israel in the early 1980s. The launch of a police inquiry, in which the tax authorities will also play a role, prompted fresh demands for the resignation of Mr Weizman, whose uncle, Chaim Weizmann, was Israel's first president and who has been a flamboyant and outspoken fixture on the Israeli political scene for decades."

Scandal Probe Paralyzes Israel. The Standard-Times, April 18, 1997
"Defiant in the face of an influence-peddling scandal, Benjamin Netanyahu vowed yesterday to hang tough through calls for his resignation. 'We're not going anywhere,' he told supporters. The government, and efforts to revive the peace process, have virtually stopped while Israelis wait to find out whether prosecutors will follow police advice and charge the prime minister with fraud and breach of trust ... The scandal stems from Mr. Netanyahu's decision in January to appoint Jerusalem lawyer Roni Bar-On as attorney general. Mr. Bar-On resigned after a day in office amid a storm of criticism that he was unqualified. Days later, Israel TV alleged that the appointment was part of a conspiracy by senior officials who expected Mr. Bar-On to end the corruption trial of Aryeh Deri, head of the Shas religious party."

Military Industry Rocked by Scandal.
Jewish Bulletin of Northern California
, March 15, 1996
"Three Israeli military equipment dealers were arrested recently amid allegations of a multimillion dollar bribery and fraud case involving private contractors, the Defense Ministry, and Israel's air force. Sources close to the case said more arrests are expected of ministry officials and army officers."

Sir George Martin Gets Back 6 of 7 Stolen Scores.
Jerusalem Post
, June 6, 1999
"In an incident that Israel Festival organizers would soon like to forget, famed Beatle's producer Sir George Martin had seven original scores stolen during his first concert at the Jerusalem International Convention Center. The original orchestrations were the only copies Martin brought with him, and their absence put his second performance of the festival in jeopardy. Two of the scores were discovered when a woman approached Martin after the concert and asked him to sign the sheets of music she had taken during intermission. One witness noted the woman's shock as Martin displayed his unhappiness. Not until Sir George's producer Zev Eizik ran an advertisement on Israel Radio pleading that Martin would be unable to continue his tour unless the sheets were returned, did three people come forward and give back four more scores. Martin's monumental orchestration Golden Slumber is still missing."

Keeping the Election Kosher. Jerusalem Post, May 24, 1999
"'We are taking all possible precautions against any fraud at the polls. We're manning every single polling station,' Alkeslassy said, and additional volunteers will be sent to polling stations that have been problematic in the past. He wouldn't specify which ones, explaining that he didn't want to apportion blame, since 'most people are fine, it's just some activists who cross the line.' Eli Pelles, an 18-year-old Meretz activist from Jerusalem who used to be haredi [ultra-Orthodox], feels differently. Election fraud is rampant in the haredi community, he charged. It is considered normal to take the ID cards of people who have died or are away and vote in their place, he said. 'I spoke to haredim who are friends of mine and they said to me, 'We all know that happens, but why did you go and tell the press?' In the 1996 elections, when Pelles was not only haredi but also underage, he voted three times at three different polling places. After he became secular, Pelles switched his support to Meretz because of its stance on religious issues. He has addressed several of its seminars on how to spot people who are voting illegally ... The kibbutzniks, not the haredim, are the ones stuffing the ballot boxes, according to Yitzhak Pendruc, a UTJ election day coordinator."

Israeli Life. Meat in the Deri Case? Hadassah
"His story has all the elements of Greek tragedy. A young man rises from a poor Sefardic family to transform Israeli society. He creates Shas, and through his brilliant maneuvering this ultra-Orthodox political party becomes a force to be reckoned with; by tipping the scales it can create or destroy ever-fragile coalition governments. But as with all tragic heroes, the very pride and confidence that made him might also be destroying him. Since 1990 Aryeh Deri, former Minister of the Interior, has been on trial for fraud, violating the public trust and embezzling government funds. A lightning rod whose fate enmeshes the whole society, Deri has embroiled Israel's entire political elite in his trial, and it is feared he may bring down the government. The investigation into Ronnie Bar-On's short-lived tenure as attorney general is only the last in a series of Deri-connected scandals, but this time it has sullied the reputation of the prime minister himself."

Ministry Never Pressed Charges Against Yeshiva Fraud.
Haaretz
, August 21, 2001
"The Religious Affairs Ministry awarded NIS 11 million to two fictitious Be'er Sheva yeshivas in the past seven years, but never went to police over the fraud after comptrollers uncovered it. The two yeshivas, run by Be'er Sheva residents Yeshua Okanin and Yisrael Shneor, claimed they had 270 pupils. It was the worst of many fraud cases uncovered in a report by the treasury on yeshiva claims in 2000 ... Two weeks ago Ha'aretz reported on the deputy general accountant Yossi Strauss' treasury report on allocations to yeshivas. Strauss' report summarized the findings of a detailed investigation that revealed systematic whitewashing of fraudulent reporting during 2000 by the Religious Affairs Ministry. This enabled fraudulent reporting to continue and prevented any punishment of the yeshivas or their managers. The treasury estimates that the coverup cost the state NIS 85 million [about $30 million] a year."

The Crisis at the Hebrew National Archives "Gnazim," The Mendele Review: Yiddish Literature and Language (A Companion to Mendele -- Vol. 05.014, November 5, 2001
"The 'Gnazim' archives of the Hebrew Writers' Association is presently closed to the public due to a labor dispute. (2) The six 'Gnazim' employees (like the other ten employees of the Association) have not received salaries for many months. The elected officers of the Association have been accused by other members of misusing funds and of other irregularities -- internal disputes are not a rare phenomenon in the Writers' Association. The Histadrut workers' federation has entered the fray to protect the employees' rights. While the inner conflicts rage, the work of the national institution responsible for the preservation and cataloging of the letters and manuscripts of generations of writers and thinkers is frozen. If paralysis continues long enough, permanent damage may result and the nation as a whole will suffer a palpable cultural loss ... As lovers of Yiddish, we are interested parties. The papers of 730 writers -- amounting to over six million items -- are held in the 'Gnazim' archives. Among these many items are thousands and thousands which are either written in Yiddish, are written by a writer who wrote Yiddish, or concern a Yiddish-related subject. In short, 'Gnazim' is a vital station on the map of the Yiddish researcher."

Israelis Confess to Internet Attack,
Excite (from Associated Press), December 8, 2001
"Four Israeli youths in police custody have admitted to creating and spreading the computer worm 'Goner' by e-mail to attack hundreds of users around the world, police said Saturday. Police arrested the high school students, ages 15 and 16, from the northern city of Nahariya on Friday, said Meir Zohar, the head of the police computer crime squad. The Internet worm first spread early this month to computers in Europe, especially in France and Germany. American anti-virus companies have reported more than 400 cases of Goner attacks worldwide. An Internet worm can spread to other computers on its own."

Teachers' Union Head Obtained Degrees By Fraud,
Jerusalem Post, December 11, 2001
"Histadrut Teachers Union head Avraham Ben-Shabbat and his deputy, Uri Groman, were placed under 14 days' house arrest by Tel Aviv District Court yesterday after both admitted to fraudulently obtaining academic degrees, then using them to receive higher pay. The two posted NIS 100,000 bail apiece. Their arrests were a part of an unfolding scandal surrounding ISE Co., which operated extensions of Latvia and Burlington universities here, and sold degrees for $5,000 each without demanding any academic effort. The company provided academic papers for its 'students' and even awarded grades. Its main clients were Civil Service workers, who receive wage incentives for continuing their education and earning advanced degrees. Police believe that, over the past two years, ISE's operations have cost the public payroll millions of shekels."

Romania Probes Israeli Adoption Agency Link to Organ Trafficking,
Haaretz, December 13, 2001
"Romanian authorities are looking into possible links between Israeli adoption agencies and an illegal global conspiracy to sell organs for transplants. The Romanian Embassy in Israel has asked for, and received from the Labor and Social Affairs Ministry, a list of all children born in Romania who have been brought to Israel for adoption in recent years. The Romanian officials are trying to ascertain if all such children arrived in Israel with all organs in their bodies."

Another Mossad Scandal Chips Away at Agency's Credibility
,
CNN, December 6, 1997
"The latest scandal to rock Israel's Mossad spy agency involves allegations that an agent fabricated information that may have skewed Israeli assessments of Syria's political and military intentions. It is being called the 'Gil Affair,' named after Yehuda Gil, 63, who was identified on Saturday as the Israeli Mossad agent who allegedly received some $200,000 for passing along bogus intelligence reports on Syria. The charges brought against Gil include spying and fraud, Israel Radio said quoting a charge sheet. Bit by bit, Israelis have been reading between the lines in newspapers squeezed by censorship about what is being called 'the mother of all intelligence scandals' ... It was revealed on Saturday that Gil was a former general-secretary in a far-right political party that advocates expelling Palestinians from the West Bank and Gaza. The disclosure that he was affiliated in 1992 with the ultra right-wing Moledet party has prompted speculation that his concocted reports may have been aimed at discouraging Israeli leaders from making peace with Arab partners."

Think Again: Presumed Guilty, Jerusalem Post, November 30, 2000
"The family of Alastair Sinclair, a Scottish tourist, who, hanged himself in an Israeli jail, was forced to bring suit for the return of missing body parts. University of Glasgow pathologists, who did an autopsy at the request of Sinclair's family, found that it had been returned without a heart (which they suspect was used for a transplant) and without the crucial bone needed to confirm the claim that he died from hanging."

Credit Lyonnais Stops Taking Israeli Checks, Haaretz, January 20, 2002
"French bank, Credit Lyonnais, has decided to stop accepting checks from correspondent banks in Israel and other companies on the blacklist of the Financial Action Task Force on Money Laundering (FATF). Earlier this week, another French bank, Societe Generale, announced that it was suspending the processing of checks from correspondent Israeli banks until the investigation into a Franco-Israeli money laundering affair was cleared up. Banking industry sources believe that other French banks may follow suit, leading to possible difficulties in bilateral trade. Israel is on the blacklist of 19 countries and territories considered particularly problematic when it comes to the supervision of money-laundering activities. The money-laundering affair has caused a storm in France and two senior executives at Societe Generale have been arrested. Several Israeli banks are involved, including Leumi, Israel Discount Bank and the First International Bank of Israel."

Retired Israeli General Investigated for Embezzling $10 Million in U.S. Aid Funds, Washington Report on Middle East Affairs, Jan/Feb 1997
"A retired Israeli general is under investigation for allegedly embezzling an estimated $10 million of U.S. foreign military aid. Brig. Gen. (res.) Alex Eyal, a former head of naval procurement in Israel’s Ministry of Defense, allegedly overcharged Israel’s U.S. foreign military aid account in a contract for Panther helicopters supplied to the Israeli navy by the American Eurocopter Corporation (AEC), a wholly-owned U.S. subsidiary of the Eurocopter France firm ... Perhaps the most disturbing aspect of the case to both American and Israeli officials is that this is not the first time America’s generous foreign aid relationship with Israel has been abused. In 1991, retired Israeli general Rami Dotan was indicted for embezzling some $40 million in U.S. foreign military aid with the assistance of Herbert Steindler, an official of the American Pratt & Whitney aircraft engine manufacturer. Dotan was imprisoned for his actions, and in July 1992 General Electric paid $59 million in civil damages and $9.5 million in criminal penalties in a settlement with the U.S. Department of Justice."

Background. Israeli Soccer Under Threat
,
Haaretz [Israel], May 8, 2002
"Asked in late February whether he believed that his referees were "clean," the head of the soccer Referees' Association, Arye Zeif, said he trusted 90 percent of the referees. The legal adviser of the Israel Football Association (IFA), Shalom Ibn-Ezra, hurried to correct Zeif, saying that until it was proved otherwise, 100 percent of the referees were above any suspicion of involvement in match-fixing. Zeif agreed. If we rely on Zeif's original statement, then there is no justification for holding soccer matches in Israel. On Monday, Zeif's words echoed eerily when police arrested four referees for allegedly taking money in exchange for fixing matches. On Tuesday, a fifth referee was arrested. Four months ago, Army Radio's sports editor, Niv Ruskin, revealed information regarding the involvement of referees in rigging matches. At the time, the IFA considered suing Ruskin. The police, however, took the report seriously. Senior figures in the Israel Fraud Squad convinced Ruskin not to publicize any names. And, ever since, they have been involved in trying to verify the allegations. Police discovered large amounts of foreign currency in raids carried out on the homes of some of the suspects. The police also have a list of suspects who are not referees, but are known to be involved in running illegal gambling. Some of them have a sporting past ... There is sufficient evidence floating around to cast a shadow over the viability of Israeli soccer. It is important that Vilnai and Shalom move quickly, because after the next criminal fiasco, there will be nothing left of Israeli soccer to save."

Safed mayor jailed for accepting bribes,
Jerusalem Post (Israel), November 5, 2002
"Safed Mayor Oded Hameiri was remanded to custody for three days on Monday on suspicion of accepting bribes, fraud, and breach of the public trust, the Itim news agency reported."

Benizri quizzed by police,
Ha'aretz (Israel), October 16, 2002
"[Israeli] Labor and Social Affairs Minister Shlomo Benizri (Shas) was questioned yesterday for eight hours by officers from the National Fraud Squad in Bat Yam, over allegations that he received bribes from Jerusalem-based contractor Moshe Sela and his wife Edna. The Selas were questioned in February over allegations that they afforded Benizri personal favors and transferred money to his patron, Rabbi Reuven Elbaz, in exchange for classified information from the Employment Service that enabled Sela to get licenses for foreign workers. According to police, Sela used this inside information to bring a greater number of foreign workers into Israel than is permitted by law. Sela, a construction contractor, provides foreign laborers to construction companies on a commission basis."

Officer charged with threatening to rape Ze'evi murder suspect,
Ha'aretz (Israel), October 21, 2002
"Military prosecution filed an indictment at the central command military court Sunday charging a military police officer with threatening to rape a detainee suspected of involvement in the assassination of former Tourism Minister Rehavam Ze'evi unless he undressed for a body search. The officer is also charged with threatening inmates, behavior unbecoming for a military officer, and for violating the limits of his authority. The indictment was submitted to the court as a result of a complaint filed about five months ago by the Public Committee Against Torture at the offices of Attorney-General Elyakim Rubinstein as well as with the head of the military police investigation unit, Brigadier General Yoram Tzahor. The detainee, Assad Haimuna, told attorney Allegra Pachko from the Public Committee Against Torture that on April 28 this year, after being brought to the Ofer detention center pending trial at the Beit El military court in the West Bank, he asked his accompanying officer for permission to use the bathroom. he said that he was then taken behind the medical clinic at the Ofer center, where the officer beat him, fracturing his arm."

Israeli branch of British university in fake degree affair,
Ha'aretz (Israel), October 31, 2002
"The Israeli branch of the University of Humberside and Lincolnshire is suspected of handing out fake degrees, the third such case in Israel. The University was operating in Israel for about five years, with lecturers sent over from Britain. It ceased teaching around three years ago, and is now suspected of granting fake degrees in education. The police have begun investigating the case. Local branches of Burlington College of Vermont and the University of Latvia have also been involved in similar scandals ... [The government decision not recognize Israeli University of Latvia degrees] applies to many hundreds of security forces personnel, policemen, jail wardens and civil servants."

Police investigate new Israeli Defence Minister over war crimes,
Sydney Morning Herald (Australia), November 2, 2002
"Lieutenant-General Shaul Mofaz, named as Israeli Defence Minister by the Prime Minister, Ariel Sharon, is under investigation by British police for alleged war crimes in the occupied territories. The appointment of General Mofaz, a former army chief of staff, to such a key post has confirmed suspicions that Mr Sharon would lurch further to the right after the Labour Party walked out of the coalition government on Wednesday. The Palestinian leader, Yasser Arafat, described the appointment as a further blow to hopes for peace and warned it would lead to an Israeli military escalation."

Israelis fear war crimes arrests,
Guardian (UK), November 12, 2002
"The Israeli government has ordered an urgent assessment of whether its politicians and soldiers could face arrest and trial for war crimes while travelling abroad. The move follows a report by the justice ministry that singled out Britain, Spain and Belgium as the most likely to prosecute Israeli officials who breach international law. But the government fears there is a growing trend towards global justice that could see Israelis effectively barred from visiting a host of states. 'We are building a map of all those countries that might give us a headache,' said Ra'anan Gissin, spokesman for the Israeli prime minister, Ariel Sharon."

PM vows probe into claim Ginossar ran Arafat's Swiss bank account,
Ha'aretz, December 6, 2002
"Prime Minister Ariel Sharon said Thursday that a full investigation into allegations that former senior Shin Bet official Yossi Ginossar was responsible for managing a Swiss bank account belonging to Palestinian Authority Chairman Yasser Arafat and PA financial advisor Mohammed Rashid was already underway. The allegation was made by the Ma'ariv daily in its Thursday edition. The funds in the account were not defined as belonging to Arafat and Rashid, but as 'monies of the Palestinian people.' According to the report, Ginossar and his business partner Ezrad Lev transferred some $300 million in funds from the Lombard Odier bank account to unknown destinations during the first year of the current intifada. Ginossar received handsome commissions for his services, the report said, and in return, he funneled money to Rashid via fictitious companies that were set up. The former Shin Bet official responded to the report by saying that all of his business activities were legal and that he had filed all the necessary reports to the relevant authorities." FURTHER CONTEXT TO THIS STORY: By 1993, Yassar Arafat had a French Jew, Gabriel Banon, as his peoples' chief economic advisor. Banon was once a 'close advisor' to former French prime minister George Pompidou. Banon also claims to have done 'favors' for presidents Gerald Ford, George Bush, and Ronald Reagan [BERLEY, M., 6-22-96] Stanley Cohen was even the lawyer in 1995 for "senior Hamas official" Moussa Mohammad Abu Marzook, who was jailed in New York City. 'All the Israeli press,' Cohen said, 'wants to know how a Jew can represent the head of Hamas. I ask them, 'How can a Jew NOT represent the head of Hamas?' [WALKER, R., 9-11-95]

FBI: Hacker stole 80,000 credit cards,
CNN, December 9, 2002
"Israeli police, aided by the FBI, arrested an Israeli suspected of hacking into computers of a U.S.-based electronics company and stealing personal information, including the credit card numbers of some 80,000 customers, according to court document released Sunday. David Sternberg, 24, of the port city of Haifa, was arrested last week while driving in a stolen car, police said. The FBI notified the Israelis he was wanted in 2000 and police began searching for him in 2001, according to the transcript of his detention hearing."

Notorious brothers brush aside scandal and crimes in race for power, Questions of character matter little as Israeli political parties jostle for position in the elections,
Sydney Morning Herald (Australia), December 14, 2002
"The next Israeli parliament is shaping up as a rogues gallery, the last refuge for scoundrels clinging to public power. That is the picture that emerged when the political factions submitted their candidates for next month's elections. The ability of some figures to survive scandal and intrigue in the name of 'democracy' is perhaps best illustrated by the Yatom brothers. Ehud Yatom, a self-confessed murderer of Palestinians in custody, was barred from becoming parliament's sergeant-at-arms but there is no legal impediment to him becoming an MP for the ruling Likud party. His older brother, Danny, a former head of the Israeli spy agency Mossad who made headlines when he organised a bungled assassination attempt in Jordan, is set to become a Labour Party MP. Of the two, Ehud, 54, is remembered for his role as a member of Shin Bet, Israel's secret police, in what became known as the Bus 300 affair, involving four Palestinians who hijacked a passenger bus in 1984. After he retired from the agency in 1996 he admitted in an interview that he killed two of the surviving Palestinian terrorists, who had been taken into custody. 'I smashed their skulls, on orders of [the then Shin-Bet chief] Avarham Shalom, and I'm proud of everything I've done,' the newspaper Yediot Ahronot quoted him as saying. He later denied having made the statement but few doubted that he had been quoted correctly ... Danny Yatom has also been prone to scandal. He resigned as head of Mossad in 1997, after he ordered the assassination of the Hamas leader Khaled Mashaal in the Jordanian capital, Amman. Mr Mashaal survived the attempt to kill him with a lethal injection in a busy street. Two of the Israeli agents involved in the operation were caught by Jordanian security forces, and Israel only secured their release by agreeing to release Sheikh Ahmed Yassin, the then spiritual leader and founder of Hamas, from an Israeli prison. But Danny Yatom survived the embarrassing affair and later became security adviser to the then Israeli prime minister, Ehud Barak, who lost power to Mr Sharon last year. This week he secured the safe 12th spot on the Labour Party ticket, which, according to recent opinion polls, will guarantee him a place in the next parliament ... If, as the opinion polls suggest, Israel is moving to the right, other controversial names will soon surface. One of them is Baruch Marzel, who has the No 2 spot on Michael Klenier's right-wing Herut list. A discipline of the late Rabbi Meir Kahane, who formed the now outlawed anti-Arab Kach movement, he is now confined to Jerusalem under a court order. The Kach organisation was banned after the 1994 massacre of 29 Muslims in the divided West Bank town of Hebron by a Jewish settler, Baruch Goldstein. After the massacre Mr Marzel, a resident of the Jewish enclave in Hebron, was placed under administrative detention for nearly three years."

Planning To Move? - Be Careful Whom You Hire,
by Dan Benson, rense.com, (from Milwaukee Journal Sentinel, 12-9-02), December 15, 2002
"It's not unusual for dozens of moving companies, many of them based in Florida and owned by Israeli nationals, to give low-ball bids and then jack up their prices once a customer's goods are on a truck, consumer advocates say. Many of these companies market themselves over the Internet. Two Advanced Moving Systems movers were arrested in April when they attempted a similar maneuver on a Thiensville couple. Charges were later dropped, but the two men were extradited to North Carolina, where they were found guilty of damaging a customer's property, smashing a piece of furniture each time the customer refused to pay them more money. After a similar incident in Lancaster, Pa., police there said they will arrest Advanced Moving's owner, Zion Rokah, if he ever returns to the area. Zion Rokah is an Israeli national, as was the driver arrested in Thiensville. As Stuckey found out, consumers have little recourse but to pay whatever the mover wants. 'If they ask for $100,000, you'll have to give them $100,000,' Stuckey said U.S. Department of Transportation officials told her when she called them for help. 'They said the only way I'll get satisfaction is if I know a guy named Guido with a submachine gun and go down to Florida.' 'I never in my wildest dreams thought fraud, extortion and theft were legal. But apparently they are,' Stuckey said ... . 'It's the usual cat and mouse, trying to stay one step ahead of the law,' said James Balderrama, a Florida-based operator of www.movingadvocateteam.com, a Web site that targets unscrupulous moves."

Likud sees lead wilt as inquiry mounts into alleged vote buying,
Jewish Telegraphic Agency, December 17, 2002
"Pundits say a police investigation into allegations of corruption in the selection of its Knesset candidates could cost Likud enough seats to lose the election. While the Labor Party is facing its own investigation, analysts say the scope of the Likud scandal could be enough to swing the Jan. 28 election to Labor. According to the Likud’s own internal polls, the scandal — which broke last week with allegations that aspiring Knesset members had been asked to pay for political support — already has cost Likud two or three seats. Party insiders say the trend seems to be continuing ... A secretary for one candidate told Israeli television that her boss had asked her to hint to Central Committee members that she would be willing to have sex with them in return for their votes ... Two members of the Central Committee were detained Monday and place under house arrest Tuesday. The arrests, carried out by the Israeli police force’s fraud division. Some of the money for this heavy-duty canvassing was believed to come from underworld figures, some of whom recently joined Likud. Enigmatic reports surfaced in the press about 'criminal families' having funded campaigns of Cabinet ministers and Knesset members, and of  'current or past criminals' who had hosted senior ministers at their homes for lunch or dinner ... Chemi Shalev, an analyst for the Ma’ariv daily, wrote that 'there always was and always will be corruption in politics, but in a place where representatives of the underworld are elected directly to the legislature, it’s only a matter of time before the pagan idol takes over the temple from within' ... The Likud is seriously considering hiring American spin doctor Arthur Finkelstein, master of the negative campaign, who ran Benjamin Netanyahu’s 1996 and 1999 prime ministerial bids. Labor is sure to keep the Likud bribery and corruption allegations on the public agenda for as long as possible."

Pre-Election Scandal Shakes Ruling Likud,
Earthlink (from Associated Press), December 20, 2002
"A scandal involving allegations of rampant vote-buying and bribery has caused Ariel Sharon's ruling Likud [Party in Israel] to slide in the polls ahead of upcoming general elections. Likud remains far ahead of the moderate Labor Party and Sharon is still considered a shoo-in for prime minister but a daily dose of scandal over the past week, including talk of possible involvement of organized crime, has taken its toll ... The scandal blew open when a political novice, a young waitress who hails from a family with casino interests and alleged underworld connections, finished ahead of popular figures like Jerusalem Mayor Ehud Olmert. Soon after, party whistleblowers and disappointed candidates began making allegations that candidates bribed committee members with cash and gifts such as free lodging at luxury hotels. The police and Attorney General Elkayim Rubinstein opened investigations. One losing candidate, Haim Cohen, reportedly told authorities a committee member demanded a $70,000 bribe to guarantee a seat on the Likud slate for the Knesset, the Israeli parliament. Cohen was quoted as saying the man approached him and 'made a sign with his fingers that he wanted cash.' There are also claims that mob figures have permeated the Likud infrastructure: convicted racketeer Moussa Alperon is a new member of the Likud election committee, as is Shlomi Oz, who served 32 months in prison for extortion and conspiracy and once belonged to the notorious Alperon gang. 'This is the first time that criminal elements so bluntly promoted people to enter into the Knesset,' said Menachem Amir, a criminology professor at Hebrew University in Jerusalem. 'There is a threat to democracy if your legislators represent crime groups. The very symbol of democracy is the legislator.' Meanwhile, Israeli media reported links between several crime families and Sharon's son Omri a backstage Likud wheeler-dealer who finished high in the primary. Haaretz newspaper said Omri Sharon delivered party registration forms to the Jarushi clan, some of whose members are allegedly involved in the drug trad, and that the prime minister's son is friends with Oz .. It is unclear whether the scandal will boost the fortunes of the Labor Party, which has a credibility problem of its own. Investigators are looking into allegations of vote fraud during Labor's primary, especially in Druse villages."

Phony firms swindling job-hungry immigrants,
Ha'aretz (Israel), January 1, 2002
"Looking for help, [Larisa] Mayzikov turned to the Yedid non-profit group and discovered that she is not alone. In recent months, Yedid has uncovered 20 similar instances. Yedid activities director in the Tel Aviv region, Liora Enbar, says that the fraudulent cases involve new immigrants who were asked to pay fees ranging from NIS 480 to NIS 1,000, ostensibly for job search assistance. Only a few of the [Russian] immigrants received receipts for their payments. None of the immigrants received work. To their chagrin, some discovered that the offices to which they had made payments disappeared within weeks: when they returned to the office to seek reimbursement, they discovered the company had vanished. Enbar has advised the fraud victims to lodge complaints with the police; police officers, however, indicate there is little to be done against the racketeers. 'Apparently the need to work is so great that people are prepared to pay large fees,' explains Yedid Deputy Director Dan Melamed ... Yesterday, police announced that 20 members of a fraud ring from southern Tel Aviv have been arrested: the suspects allegedly created a phony personnel company and swindled job-seeking new immigrants. The 20 were taken to Tel Aviv Magistrate's Court yesterday for an extension of their arrest remands. Another 10 people have been questioned in connection with the alleged personnel company fraud. A police spokesman said yesterday that the 20 suspects in the case belong to an 'organized gang. Most of them are from the same family, and they work in an organized, systematic way to cheat new immigrants from the CIS. This gang opened fake personnel offices and offered work to new immigrants, but never actually supplied the jobs.'"

Setting New Standards,
by David Horovitz, Jerusalem Report, January 13, 2003
"Week by week, we are forced to redefine our assumptions about the scale of avarice and criminality in the governance of this country [Israel]. In Scandal One, already receding fast, we saw new standards set for greed outweighing concern for the national interest: Yossi Ginossar, a former senior Shin Bet agent, was allegedly raking in payments as a coordinator of Yasser Arafat’s foreign bank accounts even as Arafat was inciting his people to murderous martyrdom ... Now along comes Scandal Two, the Likud’s internal elections -- and new revelations arrive daily about the extent to which the elected representatives of the governing party, and those about to be elected, pander to and are intimidated by criminals. Ex-cons, and recent ex-cons at that, allegedly have leading politicians in their pockets. A family suspected of skating along the edges of the laws on gambling, and consequently much investigated by police, can turn a favorite child into a Knesset member by pulling a few strings -- and the fact that the young woman in question, Inbal Gavrieli (No. 29 on the Likud’s slate), has no record of public service, no remote qualification for running the country, nor even longstanding party membership for that matter, merely made the endeavor more of a challenge. Likud Central Committee member Musa Alperon, former face of one of the most notorious debt-collection families in Israel, with a conviction and jail term for a counterfeiting conspiracy behind him, is now publicly lamenting that he didn’t run for a seat himself, instead of just making his pet preferences known ... Amid all the Likud fuss, alleged ballot-box irregularities in Labor's nationwide primaries are largely being overlooked. All but overlooked, as well, is the Likud’s legitimization of Moshe Feiglin (41st place) convicted of sedition in 1997, and the adulation for Ehud Yatom, another former Shin Bet agent, swept into 24th place on the Likud slate -- the man who in 1984 bludgeoned to death two Palestinians captured after attempting to hijack an Egged bus, lied about it, and later invoked the unthinkable defense, for us as a people, that he had only been following orders. Overlooked too, as it it has been for months, is the kind of institutionalized scandal that currently afflicts the [Arab] residents of Kafr Aqab ... But while, in practice, Kafr Aqab has been severed from Jerusalem, the fiction that it is part of our capital is scrupulously maintained by City Hall, which continues to collect city taxes from its residents. This despite the fact that, given the stringent controls that apply at the checkpoint, the city, even if it wanted to, is manifestly incapable of providing proper refuse-collection, road maintenance or other services. So committed is City Hall to obtaining its taxes from the theoretically Jerusalem neighborhood of Kafr Aqab that it routinely places liens on accounts at Israeli banks held by locals who don’t, or can’t, pay up. A homeowner there last week showed me his 10,000 shekel city tax demand, including fines and interest payments, and a letter confirming that he may not access his bank account."

Fund managers convicted in share manipulation scandal,
Ha'aretz (Israel), February 12, 2003
"Tel Aviv District Court yesterday found three top financial figures guilty of share manipulation. Eilon Tzabari, a former deputy CEO of Gmulot, a portfolio management company owned by Bank Hapoalim; Yoram Nagler, a former manager at the Dovrat-Shrem investment house; and Haim Regev, a former investment manager at Psagot, a mutual fund management company belonging to Bank Leumi were convicted - though not on all charges brought against them. The verdict came seven-and-a-half years after the charges were filed against Tzabari - on July 26, 1995 - following suspicions that arose about dealings in the late 1980s. Judge Oded Mudrik found Tzabari, Nagler, Regev, and other market players had conspired to use insider information and direct investment by their companies to manipulate share prices for personal gain. They did so by using shell accounts in a privately-held investment company run by two other market players, Kobi Ramot and Ron Ben-David, who turned state's witnesses in the affair."

CNN CONNIE CHUNG TONIGHT,
CNN, Aired February 20, 2003
"CHUNG: Michael Corbitt was a cop and eventually chief in suburban Chicago on a force that he says was largely corrupt. So why wasn't he doing something about it? It turned out that Corbitt was part of the problem. His rise through the ranks was because of the mob. And along with others, he was taking money from the mob. His real boss was Sam Giancana, one of the country's most notorious mob bosses and head of the Chicago outfit. In addition to running from the law, Giancana also did backdoor deals with the law, like negotiate a $150,000 deal with the CIA to assassinate Fidel Castro. Now his nephew, also named Sam Giancana, but not in the same business, has teamed up with Corbitt on a new book, 'Double Deal,' that makes some explosive allegations. And they join us tonight .... CHUNG: Such as -- let's go into one of them, because they're incredible. In 1966, Sam Giancana was released from custody from the feds. CORBITT: That's correct. CHUNG: And you claim in the book -- and you had to verify this, Sam. GIANCANA: That's right. CHUNG: That it was because LBJ, the president at the time, ordered it. CORBITT: That's right. CHUNG: How could that be? Why? CORBITT: They needed a somebody, a conduit for the Israeli military to fund a gun-running operation. Sam Giancana agreed to do it and fund a gun-running operation for $1 million to the Israeli army. CHUNG: And ultimately, Sam, did that -- were those guns used? GIANCANA: From what we understand, that money was forwarded to Israel for purchases of arms. And within a year, the Six Day War occurred. And this was at a time when Israel was facing increased tension from Jordan, from Syria, and from Egypt."



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