Veridis Awaits Prosecution Decision Amid Ongoing State Subsidy Disputes
Two years after an investigation into waste management firm Veridis concluded, the prosecution has yet to decide on indictments, while the state weighs a settlement over withheld millions.
Two years after the conclusion of a police and environmental investigation into the public waste management company Veridis, controlling shareholder Gil Agmon, and other senior officials, the Tel Aviv District Prosecutor's Office has yet to make a decision on whether to file charges or hold a pre-indictment hearing. The case involves suspected environmental offenses, illegal waste dumping, and obtaining government grants under false pretenses. The Prosecutor's Office stated that the case is currently under review.
Despite the pending investigation, Veridis continues to receive state subsidies. According to the Ministry of Environmental Protection, subsidies for the years 2024 to 2026 have been approved, subject to compliance with legal conditions. Meanwhile, Veridis is pursuing an administrative petition against the ministry, which previously revoked approximately 124 million NIS in subsidies for 2022 and 2023. Veridis refunded the money to the state while contesting the decision in court.
Legal Proceedings and Settlement Talks
During court proceedings, the parties announced they were holding discussions and requested a postponement. In a recent filing, Veridis noted that discussions are ongoing regarding various issues that could impact the litigation, requesting an update by November 2026. Judge Chaya Zandberg approved the extension, stating that the time had come for the matter to reach a conclusion.
At the request of Veridis, various state entities are examining a framework to resolve the disputes, including the subsidy issue and the pending petition, which requires professional and legal review. As part of this framework, a solution for rehabilitating the area is also being considered.
Public Criticism and Core Allegations
The Lobby 99 organization recently urged the Ministry of Environmental Protection to stand by its decision to withhold subsidies, arguing that negotiations demonstrate the disproportionate leverage held by the corporate giant. Veridis, owned by Delek Automotive, specializes in recycling and hazardous waste disposal.
The police and environmental investigation, launched in early 2023, centers on suspicions that the company illegally dumped waste disguised as compost in the Jordan Valley, thereby evading landfill fees and environmental levies. Veridis and its executives categorically deny all allegations, maintaining their innocence and expressing confidence that any potential criminal proceedings will be dismissed.
(Note: Veridis, Gil Agmon, and the company executives have not been charged or convicted and retain the presumption of innocence.)
