Yadlin affair

Yadlin affair

The Yadlin Affair ( _he. פרשת ידלין, "Parashet Yadlin") refers to a political corruption scandal that broke in Israel in 1976, involving senior members of the Labor Party (then the major faction in the Alignment). It is often seen as one of the reasons for the "revolution" of the 1977 elections.

Background

In 1976, Haolam Hazeh began publishing investigations regarding illegitimate financial transactions concerning senior members of the labor movement and the party funds. The names mentioned included Asher Yadlin, who was about to be appointed Governor of the Bank of Israel. Yadlin was known to be a gambling buff (favoring the Las Vegas roulette table) with an eye for pretty women, He was also a major fund raiser for the Labor Party; since 1973, he has headed Israel's huge Kupat Holim health-insurance program.Cite news
title = Cabinet Fratricide
work = Time
accessdate = 2007-12-28
date = 1976-11-08
url = http://www.time.com/time/magazine/article/0,9171,918489,00.html?promoid=googlep
] The reports also mentioned Avraham Ofer, Yitzhak Rabin's Minister of Housing. The investigations suggested bribery, and the reporter Yigal Laviv pressed charges.

The scandal

The cabinet decided, on September 5, to appoint Yadlin, former head of the Histadrut's economic enterprises, governor of the Bank of Israel to succeed Moshe Sanbar on November 1. On the day after the cabinet decision, Police Minister Shlomo Hillel and Attorney-General Aharon Barak were informed that the police had been inquiring into allegations against Yadlin of improper conduct in the management of Kupat Holim. Yadlin declared that the allegations were without basis and that he would welcome an investigation.Cite web
last = Karlikow
first = Abraham
title = Israel N,
accessdate = 2007-12-28
url = http://209.85.135.104/search?q=cache:lAGHekye3_AJ:ajcarchives.org/AJC_DATA/Files/1978_12_IsraelArab.pdf+yadlin+affair&hl=iw&ct=clnk&cd=4&gl=il&client=firefox-a
]

After a month of intensive police investigation, Yadlin was detained for interrogation on suspicion of having accepted bribes and undercover commissions in transactions affecting Kupat Holim. On October 24 the cabinet resolved, without prejudging the charges against Yadlin, that it could no longer delay the appointment, and named Director-General of the Treasury Arnon Gafni as governor of the Bank of Israel.

There was considerable criticism of the daily publicity by the press to unproved rumors of charges against Yadlin, which were believed to have been fed by unauthorized disclosures from police sources. In mid-December Yadlin was charged with taking bribes totaling 280,000, as well as other offenses, and was remanded in custody until his trial.Cite web
title = History of the Eighth Knesset
accessdate = 2007-12-28
url = http://www.knesset.gov.il/history/eng/eng_hist8.htm
] On March 14, 1977, Yadlin pleaded guilty to some of the charges, involving bribes totaling I£ 124,000, but claimed that he had handed overI£ 80,000 of the money to Labor party funds, adding that he had raised "millions" for the party. The judge did not accept his claim and sentenced him to five years' imprisonment and a fine of I£ 250,000. Further charges were to be investigated by the police after consideration of Yadlin's appeal.

Aftermath

Towards the upcoming elections, Shimon Peres and his supporters have jumped on the Yadlin scandal as proof of Rabin's poor judgment in making appointments. For the left, it showed that the Labor Party has lost track of its ideological socialist roots.Cite web
last = Brenner
first = Lenni
title = The Iron Wall (13. The 29 Years in the Desert)
accessdate = 2007-12-28
url = http://www.marxists.org/history/etol/document/mideast/ironwall/13-desert.htm
] For the Israeli right, it was (and still is)Cite web
title = ליכוד1 - נאמני שלמות המולדת בליכוד
accessdate = 2007-12-28
url = http://likud1.ios.st/Front/Newsnet/reports.asp?reportId=4660
he icon] evidence of the Labor Party's corruptibility. It is widely regarded as one of the main causes of the Labor party's downfall in the elections.

Yadlin was released from prison in 1981 and subsequently emigrated to the United States. Talia Livni, Yadlin's common law wife, was a lawyer who assisted him in legal matters. She married him while he was in jail, but divorced him after he emigrated. Dalia, Yadlin's ex-wife, supported him and tried to present him as a pawn in the party's hands and as a victim of its "method".

Ofer, Whose name was associated with the Yadlin affair as well as another one, could not take the pressure and committed suicide on January 3, 1977.

Barak was seen as a relentless fighter against corruption. He was later appointed to the supreme court. Some argue that his role in the Yadlin affair hepled him carry out his famous judicial activist positions.Cite web
last = דר
first = יוסי
title = אהרן ברק ומבחן בוזגלו
work = nfc
accessdate = 2007-12-28
url = http://www.nfc.co.il/Archive/003-D-18337-00.html?tag=16-11-24
he icon]

The "Yadlin House", a building in north Tel Aviv, whose construction was linked to the bribe money, remained unfinished. In 2005 it was sold and is designated for demolition.Cite news
title = "בית ידלין" ייהרס לטובת שכונת "אביב בגימל" - כלכלה
work = Ynet
accessdate = 2007-12-28
url = http://www.ynet.co.il/articles/0,7340,L-3058590,00.html
he icon]

References

External links

* [http://www.nrg.co.il/online/archive/ART/276/334.html Yadlin Affair, 1975] Maariv, 17 December 2007 he icon


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