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December 17, 1971 - Image 14

Resource type:
Text
Publication:
The Detroit Jewish News, 1971-12-17

Disclaimer: Computer generated plain text may have errors. Read more about this.

Knesset Hears Sapir Proposals to Control Govt.-Owned Finns

JERUSALEM (JTA) — Finance
Minister Pinhas Sapir presented
the Knesset Monday night with a
long list of propsals to tighten con-
trol over government-owned corpo-
rations, three of which are under
official investigation for alleged
mismanagement.
Sapir promised the full power of
the law would be applied if any of
the allegations are substantiated.
But he denounced what he called
sensational reporting of alleged
financial irregularities in the af-
fairs of the- bankrupt Autocar Co.,
the Vered Water Resources De-
velopment Co. and Netivei Neft,
the government-owned, firm drilling
for -oil in the Sinai.
Some high-ranking government
and public figures have been men-
tioned in connection with each of
the cases. Sapir fold the Knesset
that a campaign of "cheap -smears
and slanders" was being waged
against the cabinet and against
himself personally.
With reference to Autocar,- the
Israeli subsidiary of British Ley-
Land Motors which was put into
receivership last month, Sapir
blamed the parent company for
reneging on its undertaking to ex-
pand and invest more money in
Autocar's Ashdod assembly plant_
Regarding arered, which unac-
countably lost several million dol-
lars this year in ventures abroad,
Sapir admitted that 'the govern-
ment-controlled firm had overex-
tended itself but said "It should
be judged by results which speak
louder than the armchair know-it-
all."
Sapir referred only briefly to
Netivei Neft, which is under in-

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vestigation by a state commission-
ed Pena for alleged mismanage-
ment, theft of government proper-
ty_and fraudulent book keeping.

• The proposed controls which
have cabinet approval include
promulgation of a government
corporations law to govern the
activities of firms that are wholly
or partly -owned by the govern-
ment. -
A special committee composed
of civil servants and public figures
would, be formed: to supplement the
present government • companies'
authority, Deaths ; of ,directors of
.goverfinient companies would be
:selected:front among persons who
can 4evote a •reasonable amount
of time to company affairs.
Meanwhile Yitzhak Shubinsky,
former managing director of Auto-
car blamed the government for
his firm's financial woes that led
to bankruptcy: He told the Knesset
finance committee :Abet pressure
froth the government forced Auto-
car to buy the floundering.Til Auto
Assembly and Spare Parts Co. in
Haifa. lie said. Autocar's downfall
occurred between June 1, 1970 and
April 2. 197L On the first date, the
Ifistadrut-owned Koor, Ltd. and the
Central Trade and Investment Co.
bought" into Auto-ear's- Ashdod
plant, appointed board members
and administrators and effectively
took control of the company out
of his hands, Shubinsky claimed.
On the latter date, they pulled out
of the troubled company.
Shubinsky's testimony was

-

Divorce Dissolves Third
of Israeli Marriages



rectly contrary to that presented
last week by Meir Amit, general
manager of Koor, who said his
firm sold its shares in Autocar
because of its inability to break
the power of Shubinsky and correct
alleged mismanagement. Shubin-
sky claimed that in 1968-69 the
firm was still operating at a pro-
fit. Committee members asked
him how debts exceeding the book
value of Autocar's assets by over
$3,000,000. could have been ac-
cumulated in one year.
Acting Premier Yigal Alton
defended his colleague, Justice
Minister Yaacov Shimshon Sha-
piro, against allegations that he
was slow to investigate the af-
fairs of Netiv Neft. In a state-
ment issued f011owing the cabi-
net _meeting, Allan said the en.
_ tire cabinet disassociated itself
from the "false suspicions" and
"groundless allegations" regard-
ing Shapiro's actions.
Sapir last week rejected a de-
mand that Shapiro resign. The de-

TEL AVIV (ZINS)—There were
2,279 divorces in 1970. Another
6,659 were pending.
Considering that apProximitalY
20,000 marriages- take place annu-
ally in +Israel, it would mean that
about one-third of all marriages
end in a''clivorce.
Commenting -editorially on thiS,
fact, the paper liatzafe writes-that
the problem is due in large mea-
sure to premature marriages, lack-
of adequate preparation and famil-
iarity with the problems and re-
sponsibilities of family life.

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14—Friday, December 17, 1971

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Amended Citizenship Law
Seen to Aid Soviet Jews

JERUSALEM (JTA)
Interior
Minister Joseph Burg informed
the Knesset that 68 Jews residing
outside of Israel have been grant-
ed Israeli citizenship under a re-
cent amendment of the Law of
Return.
The amendment permits the con-
ferring of citizenship in absentia
on Jews abroad who apply for it
but are prevented by circumstances
from going to Israel.
The amendment was a i m ed
mainly at -helping-Soviet Jews.

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mand for Shapiro's resignation was
made by Mrs. Shulathit Aloni, a
lawyer and former Knesset mein-

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