Bank Mizrahi-Tefahot CEO Moshe Larry gave testimony on Tuesday at Lahav 433, Israel’s National Crime Unit in Lod, amid the expanding corruption investigation into the Histadrut labor federation, Walla reported on Tuesday.
According to the report, police are examining suspicions that Histadrut chairman Arnon Bar-David and the owner of a major insurance company sought to install an associate on the board of Bank Yahav, a move that ultimately failed.
Mizrahi-Tefahot declined to comment to Walla.
On Monday, the Rishon Lezion Magistrate’s Court extended Bar-David’s remand by four days after investigators said the evidence against him had strengthened. According to police, material collected so far indicates he assisted Histadrut officials in obtaining illicit benefits.
A police representative said during the hearing, “We know for certain that cash was transferred, despite the denials. This is one of the biggest bribery affairs in the country… the suspect exploited his power and the trust placed in him, and preferred to advance his own interests.”
‘Hand Shakes Hand’ probe spans public bodies, business figures
The case, nicknamed “Hand Shakes Hand,” has seen dozens of Histadrut employees detained. Allegations include large-scale bribery and benefits from businesspeople, breach of trust and money laundering.
Police are also probing suspected payments to senior figures in municipalities, government companies and, at the national level, political parties.