Serious findings in aid organization for the needy: "Established for personal financial gain"
The Registrar of Amutot has filed a petition to liquidate the "Chance Le-Tipat Osher" association, following an investigation by the Corporations Authority which found that it was allegedly established for personal financial gain, while misleading donors and failing to meet legal reporting requirements.
The Corporations Authority at the Ministry of Justice has filed a petition with the Tel Aviv District Court for a liquidation order against the non-profit organization (Amuta) "Chance Le-Tipat Osher" (Reg. No. 580767472), following the findings of an investigation by the intelligence and investigations branch, which revealed serious deficiencies in the organization's conduct.
According to the petition, filed on behalf of the Registrar of Amutot, the investigation revealed that the organization, which was registered in 2023, was not established for the purpose of promoting public goals, but rather served as a tool for generating personal financial profit for the person who worked to establish it and held control over it.
According to the Corporations Authority, the organization's registered goals included psychological support and financial assistance to cancer patients, people with disabilities, the needy, and victims of terror. However, the liquidation petition alleges that the controlling party used the formal framework of an Amuta to generate personal profit, while misleading donors and presenting false information, among other things through charity boxes placed in various locations.
It is further alleged that various individuals were signed on as founders of the organization, some in exchange for payment, after being told that nothing would be required of them beyond signing the incorporation documents. In addition, according to the investigation's findings, the organization was established based on false reporting, while in practice its registered institutions were fictitious. The Corporations Authority claims that this was done to allow the use of the organization's funds without control mechanisms, as required by law, and also to conceal the actual control over the organization.
The Corporations Authority further notes that since the organization's establishment in May 2023, it has not submitted the reports required by law to the Registrar of Amutot, and has not responded to repeated inquiries. According to the Authority, this situation prevented any possibility of supervising the organization's activities.
Following the findings, the Registrar of Amutot filed the liquidation petition against the organization as part of case PRAK 64680-07-26.
Advocate Shuli Avni Shoham, Registrar of Amutot and head of the Corporations Authority, stated:
"The Corporations Authority acts decisively to ensure that Amutot are not misused, and that public funds and donations entrusted to Amutot are managed in accordance with the law, with transparency, and while maintaining the rules of proper administration. The petition filed with the court reflects our commitment to protecting donors' funds and public trust in the Amutot sector, and to ensuring the proper operation of bodies acting for the public benefit."
