The Tel Aviv District Court has sentenced Ovadia Cohen, the former treasurer of the Histadrut National Federation of Workers (NFW), to 56 months in jail as part of his plea bargain deal in the corruption scandal involving former Finance Minister Avraham Hirchson. The other part of the deal is his agreement to testify against his former boss.
Cohen was convicted of stealing nearly NIS 10 million ($2.6 million) from the NFW's subsidiary, Nili, and giving it to Hirchson, who at that time was the head of the organization. The charges included embezzlement, money laundering and false registration of corporate documents.
Hirchson was indicted in June on charges of embezzling NIS 2.5 million from the NFW during the years 1998-2005 in off-the-books monthly stipends of NIS 25,000, "holiday bonuses," junkets abroad and other expenses. The organization also picked up the tab for his medication, his political campaigns and more than NIS 120,000 in restaurant bills that were racked up during off-work hours and while he was serving in the Knesset.
In addition to Cohen, another official with the union has also agreed to testify against Hirchson. Just before the Rosh HaShanah holiday, the court approved a plea bargain deal on accessory charges between the State Prosecutor's Office and Ronit Garti.
The former NFW accountant agreed to plead guilty to falsifying corporate documents in exchange for a slap on the wrist with a sentence of six months' community service and a few months' probation, thereby avoiding jail time altogether.