American-Israeli yeshiva student Eli Rozenberg officially dominates Israel’s national carrier El Al. On Oct. 3, the Government Companies Authority granted him a permit to control the airline, rejecting earlier claims by El Al’s board of directors that Rozenberg was acting as a dummy shareholder for his father, American businessman Kenny Rozenberg.
The crisis had hit El Al hard. The company was grounded for weeks, suffering colossal loses and laying off many of its workers. In March, the company warned of imminent collapse if the government didn’t step in. Since then, the company and the government negotiated a bailout deal to save it from bankruptcy. The agreement reached on July 6 stipulated that the government would guarantee loans up to $250 million, while El Al would raise an additional $150 million by selling shares.
