In December 2025, two top managers of the Isrotel hotel chain were questioned on suspicion of filing a false claim with the Internal Revenue Service compensation fund in connection with the June 2025 Iranian missile strike on the chain’s Tel Aviv property.
According to the investigation, much of the damage to the property for which the company applied for compensation did not result from a missile attack, but from demolition carried out by the building’s owners five years earlier in order to obtain a council tax exemption.
After interrogation, the detainees were released by the Rishon Lezion Magistrate’s Court under restrictive conditions, but the court still prohibited the publication of the names of the detainees and the name of the network.
As Calcalist reports, the fact of the investigation was made public by the network itself in a stock exchange report for 2025 published at the end of March.
In the report, the company said that “on December 17, the Internal Revenue Service opened an investigation related to a claim for compensation for damage to the facility. During the investigation, company managers were questioned and statements were also obtained from additional employees.” Isrotel stated that “it is the company’s opinion, based on the legal advice it has received, that there has been no impropriety in its actions. In the company’s assessment and based on the information available to it as of the date of this report, no material adverse effect on its operations or financial statements is expected. However, to the company’s knowledge, the investigation is ongoing and the company will continue to review, including with the assistance of legal counsel, the possible impact, if any, on it as events unfold.”
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