Investigation of sweeping Histadrut corruption case extends to Likud ministers

Police investigators are expected to summon several senior Likud ministers for questioning as a sweeping corruption probe into Israel’s main labor federation, the Histadrut, continues to widen, law enforcement officials confirmed to Hebrew media late Monday.

A senior officer from the Lahav 433 anti-fraud unit told Channel 12 news that the investigation is now examining possible ties between the alleged bribery network within the Histadrut and figures in the government.

According to testimony collected in recent days, the names of several ministers — all from Prime Minister Benjamin Netanyahu’s right-wing Likud party — have surfaced, including those of Foreign Minister Gideon Sa’ar, Culture and Sports Minister Miki Zohar, Justice Minister Yariv Levin, Communications Minister Shlomo Karhi, Regional Cooperation Minister David Amsalem, and Energy Minister Eli Cohen.

Police said the ministers may soon be summoned to provide testimony, though not currently as suspects, Hebrew media reported.

The development came as the Rishon Lezion Magistrate’s Court extended the detention of Histadrut Chairman Arnon Bar-David, his wife Hila, his deputy, another senior union official, a workers’ committee chairman, and three additional suspects late Monday night.

Investigators in the Lahav 433 unit reportedly described the unfolding case as “the largest we’ve ever handled.”

At the center of the investigation stands Ezra Gabay, a veteran Likud activist and insurance agent who allegedly leveraged his political influence to secure lucrative insurance contracts through the Histadrut, local authorities, and government corporations. Police suspect Gabay orchestrated a network of bribes and favors worth millions of shekels in exchange for political and business advantages.

Gabay, who began his political activity at Likud’s Ramat Gan branch, has frequently been seen in the company of Cohen and Sa’ar, and has also held meetings with Levin, despite his prior involvement in other scandals.

According to reports, his longstanding position within the Likud Central Committee — where he commands the support of several hundred party members — made him an attractive ally for senior politicians. In turn, he allegedly sought access to more municipal corporations and state-owned companies for his insurance firm.

Among those reportedly questioned this week was Kiryat Gat Mayor Kfir Suissa, a close associate of Zohar who had previously served as his director general at the Culture and Sports Ministry. Suissa was questioned on suspicion of transferring city employee insurance contracts to Gabay’s agency in exchange for political help.

Suissa has denied the allegations and noted that he has not been arrested.

Investigators are also reportedly examining whether senior Histadrut officials attempted to sell off union-owned assets worth millions of shekels and pocket part of the proceeds through intermediaries or shell companies to conceal evidence.

The widening of the two-year undercover investigation follows a dramatic day of arrests on Monday, when Bar-David, his wife, and several senior officials were arrested.

More than 350 individuals have already been questioned, according to reports, including mayors, executives, and public-sector figures. At a Monday court hearing, police Chief Inspector Ronen Gilgold said the case includes 13 interconnected sub-investigations and dozens of simultaneous raids across the country.

“This is one of the largest public corruption cases ever investigated in Israel,” he said, noting that each of the sub-investigations “stands on its own.”

“This involves an exceptional amount of money and the exploitation of positions of trust for personal gain,” Gilgold added.

Zohar denied any involvement, telling Channel 12: “I don’t understand what I’m supposed to comment on. I have absolutely no connection to this affair.”

The Histadrut reiterated that it is fully cooperating with law enforcement and that all of its national operations are continuing as usual.