Yitzhak Tshuva
Photo: Gil Yohanan
Facebook group seeks boycott of Tshuva assets
New Facebook group 'Boycotting Tshuva businesses' seeking to make example out of businessman over debt to State. 'Many billions could be lost' they say
A new Facebook group - 'Boycotting Tshuva businesses' - is seeking to make an example out of the businessman over his debt to the State. "Many businessmen who have loaned money from the public are looking to see how the battle over the Delek debts will be decided," they explain.
Tshuva's debt is estimated at somewhere around NIS 2 billion ($520 million). "This means that Tshuva owes each household in Israel an average of NIS 600 ($158) and he has retained the 'right' to decide how much (of the debt) he wishes to repay," the Facebook group members said.
Calcalist Exclusive
Golan Hazani, Liroy Peri
Less than two months before it has to pay bondholders NIS 340 million, company's coffers still short of most of funds. To add to its problems, it now faces demands for NIS 1.4 billion write-down in UK, appointment of receiver for its holdings in Germany
"Many elderly and younger (citizens) would be happy to have that sum, which they saved up for their pensions," the group claimed.
Tshuva has offered various methods of paying back the loan, most of them involve him slashing away half of the debt. The courts have given Delek Real Estate, Tshuva's largest company, a final chance to try and bridge between the side that owes money to the public and bodies responsible for collecting the debt, which is supposed to be used as pension money for Israel's citizens.
Negotiations failed, and as of Sunday May 13, the company will be put into liquidation, "which means the company most likely won't be able to pay its full debt to the public," the group explained.
"We are at a critical stage in the struggle to retrieve the Delek Real Estate debts," says Ido Avisar, one of the group's founders.
The manner in which the State is conducting itself with Tshuva has, according to the 1,700 member group, additional consequences: "If Tshuva succeeds in getting out of this little 'adventure' without repaying his debt in full to the last shekel, and he then continues to be a major businessman in Israel, it will cause the dam to burst open for others.
"In the event of a global state of economic deterioration, we will watch as debt renouncements flood the country at the expense of the savings of Israel's citizens. It means that many billions in public funds will be lost."
The frustration among the Facebook group's members stems from how Tshuva has chosen to use the funds. "Tshuva has many sources of capital with which he could repay the debt using current and future income on his assets, but instead of taking care of his debts he preferred to spend a fortune on his son's ostentatious wedding while keeping his earnings in his own pockets."
The group has called upon the public to protest against Tshuva's conduct by boycotting his assets: We all can and must stop… refueling at Delek gas stations and making purchases at the Menta stores…carry out a complete consumer boycott."
