Israel’s national airline, EL AL, is expected to be hit with tens of millions of shekels in fines over allegations that it price-gouged passengers during Israel’s two-year war against Hamas, according to a report Tuesday night by Channel 12 News.

The impending penalty follows a months-long investigation by Israel’s Competition Authority, which concluded that EL AL sharply raised fares while operating as a virtual monopoly after most foreign airlines suspended flights to and from Israel during the fighting. With demand soaring and alternatives disappearing, ticket prices climbed to record highs, fueling public outrage and political pressure.

Channel 12 reported that regulators are also weighing personal financial sanctions against former CEO Dina Ben Tal Ganancia, an unusually severe step that would mark one of the most aggressive enforcement actions ever taken against a senior executive in Israel’s aviation sector.

During the war, EL AL posted record-breaking profits, benefiting from its dominant position at a time when tens of thousands of Israelis had little choice but to rely on the flag carrier for travel in and out of the country. Critics have accused the airline of exploiting a national emergency for commercial gain.

Beyond the regulatory probe, EL AL is also facing a separate civil lawsuit seeking hundreds of millions of dollars in damages, alleging systematic price-gouging and abuse of market power during the conflict.

The airline has denied all allegations, maintaining that its pricing reflected operational costs, security challenges, and extraordinary wartime conditions. EL AL has not publicly commented on the reported size of the expected fine or the potential action against its former chief executive.

(YWN World Headquarters – NYC)