Chairman Yossi Vardi of the Jordan Valley Regional Council and former deputy chairman Mordechai Elon acted to pay salary supplements to Elon and two senior employees of the council in such a s way that the supplements would not be reflected in the pay slips and avoid detection by the Treasury and Interior Ministry, according to the indications of a just-concluded investigation by the National Fraud Investigation Unit. The investigation was begun in 2011, following a joint probe by Finance Ministry's salary branch and the Tax Authority.
Excess payments were presented as payments to the kibbutzim where the suspects reside. Investigators say there is a basis of evidence for aggravated receipt of something under false pretenses, fraud, breach of trust, false statements in corporate documents and failure to withhold tax. The file will be passed to Northern District prosecutors in the coming days.