Capital Market Authority Revokes Five More Finibert Licenses in Slice Affair
The Capital Market Authority revoked five more Finibert agent licenses in the Slice affair, bringing the total to 12 over 280 million shekels transferred improperly.
The Capital Market Authority has revoked the licenses of five additional Finibert agents, key figures in the Slice affair, bringing the total number of insurance agents whose licenses have been revoked in the scandal to 12.
According to the authority's report, Finibert agents were at the center of the mechanism through which over 280 million shekels of savers' funds were transferred to foreign funds managed by the agency or related entities. The license revocations halt their activities as insurance agents and constitute another step in a significant enforcement action by the authority against the main parties involved in the affair, the Capital Market Authority stated.
Findings of the Investigative Audit
The decisions of the Capital Market Commissioner, Amit Gal, were made following the findings of a broad investigative audit conducted by the authority at the Finibert agency during 2024. The audit revealed a severe picture of systematic conduct that failed to comply with statutory provisions and the duties imposed on license holders.
Among other things, the authority found violations concerning the method of customer recruitment, the procedures for joining and transferring pension savings funds to self-managed provident funds, and their investment in foreign funds. This conduct resulted in widespread harm to customers and significant damage, violating the fiduciary and duty of care obligations imposed on licensed insurance agents, leading the commissioner to order the revocation of their licenses.
Millions of Shekels Routed Abroad
"The rulings of the court will assist in expediting additional enforcement proceedings currently being promoted by the authority against other parties involved in the affair," the Capital Market Authority stated.
Finibert served as one of the central insurance agencies operating within the Slice affair, through which pension savings funds amounting to hundreds of millions of shekels were channeled into self-managed provident funds and foreign investment funds managed by the agency or its affiliates.
As previously recalled, the commissioner's earlier decision to revoke the licenses of seven Finibert agents in the first stage has already stood up to judicial review, with all petitions filed against the revocation decisions rejected by the court. The commissioner's decision has thus become final and absolute.
