One of those arrested is the daughter of a hasidic rebbe, and the crimes she and the other suspects allegedly committed appear to lead directly back to the top leadership of at least one hasidic court. Several haredi moneychangers who run what are essentially private unlicensed banks, are reportedly involved in the alleged fraud, and some haredi politicians are rumored to be involved, as well.
20 Top Level Haredim, Almost All Hasidim, One A Rebbe's Daughter, Arrested In Wide Ranging Fraud, Money Laundering And Tax Evasion Scandal
Shmarya Rosenberg • FailedMessiah.com
A total of 20 suspects from Jerusalem and the haredi city of Beitar Illit, many the head administrators of hasidic schools, were arrested by police on suspicion of fraud, money laundering and tax evasion this morning, Behadrei Haredim reported.
One of those arrested is the daughter of a hasidic rebbe, and the crimes she and the other suspects allegedly committed appear to lead directly back to the top leadership of at least one hasidic court. Several haredi moneychangers who run what are essentially private unlicensed banks, are reportedly involved in the alleged fraud, and some haredi politicians are rumored to be involved, as well.
Four of the suspects arrested this morning – Shlomo Wertheimer (38), Pinchas Menachem Zidman (50), Mordechai Herschler (34) and Avigdor Goldstein (47) – have been remanded until Thursday. The rebbe’s daughter, whose name is being withheld by court order, had her remand extended until Wednesday.
Some of the other detainees have already been released to their homes under restrictive conditions while others are still being interrogated.
The five remanded suspects allegedly created a fictitious haredi nonprofit school, Tikvah HaGeulah, as a shell company and used it to get at least 4 million NIS in funding from the Ministry of Education. Other actual haredi schools are allegedly involved, as well. All appear to be hasidic.
But it doesn’t stop there. A haredi number of educational institutions in Jerusalem allegedly received large amounts of government funding based on other fictitious schools set up to defraud the government. The fictitious haredi schools have no actual students, only lists of fictitious students.
Beginning at 6:00 am this morning Israel Time, police raided the suspects homes and offices and made the arrests.
At least some of those arrested maintain their innocence.