The Knesset’s legal adviser, Adv. Shagit Afik, sent a sharply worded letter to the Finance Ministry’s legal adviser, Adv. Dudi Koppel, demanding immediate answers about the “improper practice” of transferring funds before Knesset Finance Committee approval.

The demand followed a Supreme Court hearing on Thursday on the Yesh Atid petition against the transfer of nearly one billion shekels to Charedi educational institutions. During the hearing, the state admitted that 90 percent of the money was transferred without the approval of the Finance Committee.

Supreme Court Justice Willner issued an interim order freezing the transfer of funds, but it later emerged that most of the money had already been transferred to the educational institutions. Nevertheless, the outcomes of the petition will have implications for the continuation of funding Charedi education.

During the hearing, a state representative acknowledged that there is an “accepted practice” of transferring budgets before receiving Finance Committee approval—approval that, if it comes at all, is granted only retroactively.

In her letter, Afik stated that this constitutes an “improper practice,” whereby funds are knowingly transferred in advance, sometimes even before a formal budget request is submitted. She wrote that over the years this conduct was not disclosed to the Knesset and did not appear in official documents, explanatory notes, or Finance Committee deliberations.

“No information was provided regarding the transfers made in advance—not in the requests themselves, not in the explanatory notes to them, and not in the Committee’s discussions,” she wrote.

She added that even the current legal adviser to the Finance Committee, Adv. Shlomit Erlich—who has held the position for five years—was unaware that such a practice existed.

Afik further emphasized that the alleged conduct is in direct violation of the Basic Law: The Budget, which explicitly requires prior approval by the Finance Committee for budget transfers—not retroactive approval.

At the conclusion of her letter, the Knesset legal adviser hinted that additional steps are being considered: “Since this information has only now come to our attention—and even then, as a result of petitions to the Supreme Court—we are examining our actions, both with respect to the future and regarding past conduct.”

She asked the Finance Ministry to provide detailed information regarding all cases from the past five years in which budgetary transfers were made before approval was received—including whether the Finance Committee was updated retroactively.

(YWN Israel Desk—Jerusalem)