Bank Leumi’s troubles with U.S. authorities over tax evasion charges may be settled, but their troubles with Israeli authorities may be just beginning, Globes reported on Thursday.
Israel’s Attorney General Yehuda Weinstein will be working with the Bank of Israel, Israel Tax Authority, Authority for the Prohibition of Money Laundering, and the State Prosecutor to determine whether the Leumi case requires legal action.
Israel’s Ministry of Justice said, “Since Bank Leumi’s compromise settlement in the U.S. was first announced two weeks ago, the Attorney General has been consulting on the matter and called a meeting in his office of the relevant authorities. The facts of the matter presented to the Attorney General led him to the conclusion that there is a need for a comprehensive examination of events, and their results.”
Two weeks ago, Bank Leumi signed an agreement with U.S. authorities according to which it admitted assisting U.S. customers to evade paying taxes. The settlement carried a penalty of NIS 1.5 billion on the Israeli bank.
Bank Leumi issued a statement saying, “The overall issue of American customers depends on a court decision. The bank welcomes the fact that the topic regarding operations with U.S. customers is being examined by the Attorney General, State Comptroller and Supervisor of Banks.”