Israeli Businessman Abramovich Files Lawsuit Against Mizrahi Tefahot Bank Over Blocked Donation to Zaka Organization

In a legal battle that has unfolded in the midst of the ongoing conflict in Ukraine, prominent Israeli businessman Roman Abramovich, alongside the Zaka organization, has initiated legal proceedings against Mizrahi Tefahot Bank. The lawsuit stems from the bank's refusal to transfer a substantial donation of eight million shekels to Zaka, earmarked for their critical activities in the war and ongoing preparedness efforts.

The crux of the dispute lies in the claim that Abramovich's account with Mizrahi Tefahot Bank is currently blocked due to sanctions imposed on him by both the European Union and the British government. The bank contends that, as a result of these sanctions, no transactions can be executed on Abramovich's account. However, the lawsuit vehemently disputes this position, asserting that neither the Israeli government nor the U.S. government has imposed sanctions on Abramovich, who is an Israeli citizen.

The statement of claim asserts that the bank's stance is fundamentally flawed and lacks legal basis, emphasizing that Abramovich had opened the account years ago, and the earmarked donation was deposited into it. The lawsuit further highlights the pressing need for the immediate transfer of funds to Zaka, a prominent Israeli rescue and relief organization that has been tirelessly involved in the aftermath of the recent conflict.

"Since October 7, Zaka volunteers have been working tirelessly on a noble national mission," the lawsuit states. It describes the dedicated volunteers leaving their homes, workplaces, and natural environments to locate and collect the bodies of victims in the Gaza Envelope and southern region, facing horrific conditions. The organization's resources and equipment warehouses have been depleted, and a mental health care program for volunteers exposed to traumatic events is deemed essential.

Abramovich's lawyers, Shmulik Kasuto and Bela Peled, emphasize the urgency of the situation, declaring, "It is unthinkable that at the most difficult time of the Yishuv, of Zionism, at a time when everyone is harnessing and fighting, who is on the front and who is in the rear, the Mizrahi Bank is blocking such a vital contribution to one of the most important enterprises in our community."

In response, Mizrahi Tefahot Bank issued a statement, saying, "We will not be able to refer to specific customers, for reasons of banking confidentiality. If a lawsuit is filed, we will give our position in court." The legal dispute raises questions about the intersection of financial sanctions, banking confidentiality, and the imperative of supporting humanitarian efforts in times of crisis.