Court: State must give Delek details of EMG’s tax exemption

Delek controlling shareholder Yitzhak Tshuva told Knesset the tax exemption to EMG discriminated against Israeli gas.

October 24, 2010 23:16
delek gas station 88 298

delek gas station 224.88. (photo credit: Courtesy.)

The Jerusalem District Court on Sunday ordered the state to hand over the tax-exemption document of Egypt’s East Mediterranean Gas Company (EMG) to Delek Group Ltd. and its co-petitioners.

Judge Noam Sohlberg also ordered the state to provide Delek and its partners the tax arrangement with Merhav Group, controlled by Yosef Maiman, which owns 20.6 percent of EMG through Ampal-American Israel Corporation and Merhav MNF Ltd.

Sohlberg accepted the petition of Delek and its co-petitioners to disclose EMG’s tax-exemption document.

Globes was the first to report about the tax agreement, which awards EMG a 20-year exemption on paying taxes in Israel. Merhav Group has argued in the past that the exemption is no different from exemptions awarded to foreign oil and gas exploration companies operating in Israel.

Delek Group controlling shareholder Yitzhak Tshuva recently told the Knesset the sweeping tax exemption to EMG discriminated against Israeli gas in favor of Egyptian gas.

Sohlberg ordered the state, Merhav and Maiman to pay NIS 25,000 in court costs to Delek Group and its co-petitioners.

Related Content

The Teva Pharmaceutical Industries
April 30, 2015
Teva doubles down on Mylan, despite rejection


Cookie Settings