Two years after the affair broke out, the National Fraud Investigations Unit in Lahav 433 announces the end of the investigation against the businessman Moshe Hogeg and others, and says that evidence has been gathered regarding the crimes of fraud under aggravated circumstances, theft by an authorized person, money laundering and other crimes.
Hogeg was the owner of the Beitar Jerusalem soccer club, and due to his entanglement in the investigation and the freezing of his bank accounts, he was forced to sell the club.
The inception of the investigation in a clandestine manner began over two years ago by the Israel Police's Anti Fraud Unit, due to initial suspicions that businessman Moshe Hogeg and others had raised substantial funds from investors in Israel and around the world, ostensibly for establishing ventures in the field of cryptocurrencies. However, in practice, most of the raised funds were not used for the establishment of the ventures but for personal purposes.
Raising $290 million from investors for personal use
As the covert investigation concluded and transitioned to an overt investigation in November 2021, numerous and diverse investigative actions were carried out. These actions included investigating approximately 180 individuals, conducting dozens of searches, seizing over 900 exhibits, seizing assets and property for the purpose of confiscation, conducting legal proceedings in multiple countries, and more. The entirety of the investigation, both covert and overt, led to the establishment of substantial evidential grounds against the suspects.
From the extensive collected evidence, a seemingly coherent picture emerges that during the years 2017-2018, Hogeg and his associates allegedly raised approximately $290 million from investors for four cryptocurrency ventures. This was done through deceptive presentations, emptying the projects' funds, and diverting the investors' money for personal use.
According to law enforcement, upon the conclusion of the investigation, it can be stated that a substantial evidential foundation has been established against Moshe Hogeg for offenses including receiving property under aggravated circumstances, embezzlement by a person in authority, aiding and abetting in the commission of a crime, false registration in corporate documents, forgery, violations of the Anti-Money Laundering Law, tax offenses, and other offenses.
Additionally, an evidential foundation has been established against other suspects in the case for offenses including receiving property under aggravated circumstances, embezzlement by a person in authority, false registration in corporate documents, violations of the Anti-Money Laundering Law, and tax offenses.
The investigation file is now transferred for examination and decision by the prosecution authorities for tax and economics.
Furthermore, it should be noted that within the framework of the investigation, there is also a suspicion against Moshe Hogeg for committing sexual offenses and systematic invasion of privacy towards women. This aspect of the case has been handled by the Tel Aviv District Prosecutor's Office (Criminal), and the investigation file regarding the suspected offenses against women is also being transferred for examination and decision by the prosecutors today.