Israel Continental Bank petitioned the courts today to appoint a receiver to Hayl Holdings, a member of the crumbling Peled-Givony group.

Continental Bank wants attorney Zvi Porat to be named permanent receiver of Hayl Holdings, and of its fully-owned subsidiary, Hayl Assets.

Hayl owes Continental Bank some NIS 52 million, which the bank frets it may never regain due to the Peled-Givony group's shaky financial situation. Also, most of the uppermost echelon of the Peled-Givony group have resigned after the Israel Securities Authority commenced a probe into financial arrangements between the group companies.

The bank's legal representatives also noted in their petition to the court that the bank learned, to its astonishment, that a Hayl subsidiary was selling assets without transferring any of the proceeds to the bank, despite the bank's rights.

The bank also claims that Hayl sold NIS 17 million worth of rights to a joint project with Solel Boneh, at a time that Hayl was in a state of collapse, not during the company's regular course of business. Hayl's purpose was to evade its commitments to the bank, Continental charges.

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