Conditional Arrangement with the Economic Department of the State Attorney's Office

The Economic Department of the State Attorney’s Office handles economic and corruption cases, including cases involving employees of the defense establishment and contractors who work with it. As many as 42 arrangements by the department have been published on the State Attorney’s website. If you work in a public or defense body, or as a contractor working with one, it is worth understanding early on what to expect.

About the Process

A conditional arrangement is an agreement between the prosecution and the suspect: the suspect admits the facts and undertakes to meet certain conditions, and the prosecution undertakes to close the case. Under Attorney General Guideline 4.3042, the State Attorney’s Office may enter into an arrangement in misdemeanor offenses that it handles, and in related offenses handled by the police. In drug cases, the State Attorney’s Office will not enter into an arrangement as long as a treatment program cannot be included.

What Is Closed by an Arrangement in the Economic Department

An analysis of the published arrangements found that the most frequent offenses are fraud (about 25 arrangements), breach of trust (about 14), forgery (about 7) and book-keeping and invoice offenses (about 4). A single offense may appear in several arrangements, and an arrangement may include several offenses, so the numbers do not add up to 42. The classification was made by keywords and is therefore approximate.

Common Offenses

1. Obtaining something by deceit (Section 415): including attempting to obtain something by deceit and aiding the offense.
2. Breach of trust (Section 284): an offense by a public servant in the course of their duties.
3. Forgery (Section 418) and use of a forged document (Section 420).
4. Acts of recklessness and negligence (Section 338): including operating an aircraft or a vehicle in a way that creates a risk.
5. Book-keeping and invoice offenses: under the Income Tax Ordinance and the Value Added Tax Law.
6. Theft (Section 384).

Possible Conditions in an Arrangement

• Payment to the State Treasury or to another body, for a period not exceeding one year.
• Compensation to the victim of the offense.
• An undertaking to refrain from committing an offense, usually for a period not exceeding one year.
• Participation in a treatment program or a probation service program, usually for up to one year and in special cases up to 18 months.
• Consent to admit to disciplinary proceedings, where the suspect is a civil servant or a soldier.
• Forfeiture of seized items or a restriction on a particular occupation for a limited period.

The conditions are set according to the offense and the circumstances, and this page does not promise any particular outcome.

Examples of Published Arrangements

Below are examples from the arrangements published on the State Attorney’s website. The descriptions are abbreviated and identifying details have been removed, and conditions vary from case to case, so they do not indicate the outcome in any other case.

Acts of Recklessness and Negligence (Section 338(a)(2) of the Penal Law)

Employees of a civilian company that manufactures aircraft conducted experiments in civilian and public areas without supervision and without a permit from the Civil Aviation Authority. The conditions: a payment of NIS 15,000 to the State Treasury by each of the suspects and an undertaking to refrain from the offense for one year. Among the prosecution’s reasons: admission, full cooperation and the absence of a criminal record in the last five years.

Acts of Recklessness and Negligence (Section 338(a)(4) of the Penal Law)

An employee of a contracting company that maintained vehicles for a military unit performed actions in an information system under an authorization he had received, without disclosing that his request had previously been denied. The conditions: NIS 2,000 to the State Treasury, an undertaking to refrain from a similar offense for one year, and an undertaking not to engage in the maintenance of similar vehicles during that period.

Fraud and Obtaining Something by Deceit in a Defense Tender

A person responsible for supervision and orders in an infrastructure tender of the defense establishment was suspected of approving orders of goods outside the tender, while submitting false bills of quantities to approve payment. The conditions: NIS 20,000 to the State Treasury, an undertaking to refrain from a similar offense for one year, and consent to admit to a disciplinary petition in the State Employees Disciplinary Tribunal.

How to Prepare

It is advisable to review the evidence, understand which offenses are alleged, examine defense arguments before admitting to anything, and prepare documents on the personal circumstances. Where the suspect is a civil servant, it is also advisable to examine the expected disciplinary proceeding. See conditional arrangement, criminal defense lawyer and expungement of a criminal record.

Representation in a Conditional Arrangement in the Economic Department

Representation includes reviewing the investigation material, approaching the handling prosecutor, presenting the circumstances and reviewing the wording of the arrangement before signing. I appear in all courts and represent clients in criminal cases.

Did you receive a notice of a conditional arrangement from the State Attorney’s Office? Call Adv. Emanuel Trach: 055-2550011 or leave your details.

Frequently Asked Questions

What is the Economic Department of the State Attorney’s Office?

It is a unit of the State Attorney’s Office that handles economic and corruption cases, including cases of employees of the defense establishment and of contractors working with it. It is authorized to enter into conditional arrangements in misdemeanor offenses, under Attorney General Guideline 4.3042.

Is a conditional arrangement in the Economic Department considered a conviction?

As a rule, a case closed by a conditional arrangement does not end in a conviction but in closure on the ground of “closure by arrangement”. The arrangement is published on the State Attorney’s website without identifying details.

What conditions are set in the department’s arrangements?

In the published examples, conditions included payments to the State Treasury in various amounts, an undertaking to refrain from the offense for one year, a temporary restriction on an occupation, and consent to admit to disciplinary proceedings. The conditions are set in each case separately.

What happens to a civil servant or a defense establishment employee under investigation?

In some arrangements the suspect was required to admit to a disciplinary petition, so a disciplinary proceeding may be conducted even after the criminal case is closed. It is advisable to examine both proceedings together before signing.

When should I contact a lawyer?

As early as possible, before notice of a statement of suspicions or an indictment is delivered, in order to present a position and examine suitability for an arrangement.

See also: conditional arrangement with the State Attorney’s Office, conditional arrangement with the police, criminal defense lawyer, the Cyber Department and investigations of police officers.