
The Tel Aviv Magistrates Court has ruled that an unlawful government seizure is akin to slander – and fined the National Insurance Institute NIS 50,000.
The case in question involved confiscation steps taken by the National Insurance Institute (NII) against a caregiver whose employer did not make social security payments on her behalf.
Judge Haggai Brenner ruled that the obligation to allocate pension payments is incumbent upon the employer, not the employee, and therefore the Institute cannot sue the employee for pension monies not paid.
In the case at hand, the NII said it appealed for the payments several times, and finally was forced to approach the employee's banks for the sum of NIS 2,410 shekels. The NII sent notices to this effect to six different banks, as well as to the employee's mother.
Judge Brenner did not accept the NII's claim that the employee was negligent in not making sure that the monies were paid.
"The tax collection laws are designed to enable efficient collection from those who are liable to pay," the judge stated, "and not from those who are not liable. In this case, the NII was not allowed to send seizure notices against the employee."
By doing so, the judge ruled, the employee's good reputation was maligned – and especially in this case, where the caregiver has a license to practice law. He therefore fined the NII the maximum amount for slander, NIS 50,000 plus legal costs and expenses.