Banks Supervisor Disqualifies Eti Langermann as Leumi Director

Bank of Israel failed to notice disclosure about her sister's employment at the bank until after she was approved for the board.

Banks Supervisor David Zaken on Sunday disqualified Eti Langermann to serve on the Bank Leumi board of directors after shareholders had approved her appointment, because her sister works at the bank.

Langermann had disclosed the information in her application, but the Bank of Israel approved it notwithstanding, presumably due to an oversight on the part of central bank officials.

Langermann was one of nine candidates vying for five available seats on the bank's board.

Moshe Dovrat, a two-time board member who ranked next after Langermann in shareholder votes, will take her place.

As a result of the disqualification of Langermann, four of the five directors being appointed now come from the closed club of past members of the Leumi board. Three - Dovrat, Yoav Nardi and former Finance Ministry Director General David Brodet - are current board members, while Nurit Segal served on the board previously. The only new first-time board member is former Kadima Knesset member Shai Hermesh.

Reuven Kapuchinsky