“Proceeds that Would Never be Paid as Part of an Ordinary Transaction”

A reply filed by our firm on behalf of the derivative plaintiff, in response to the statements of defense by Bezeq, Shaul Elovitch, and the directors at Bezeq, claimed that the transaction for the purchase of Yes shares is invalid, as part of which the Company paid the Controlling Shareholder an excessive, farfetched sum: “This is a corrupt deal that has some seriously criminal aspects.” The response was filed amid the criminal investigation, handled by the Israeli Securities Authority regarding that same transaction.

The derivative claim was filed to the Court two years ago after Gil Amid, a Bezeq shareholder, filed a petition for approval of a derivative claim against Bezeq and its directors, by counsel Adv. Ronen Adini, in March 2015. The claim stated that the proceeds paid by Bezeq to Eurocom were excessive, inequitable, and financially unreasonable for Bezeq and that Bezeq, the Controlling Shareholder Shaul Elovitch, and directors have all violated their duty of trust and care when they approved the transaction.

Read the full article in The Marker (magazine)

Read the full article in The Marker (website)