TASE Investor Sues Bank Leumi For $2 Million Loss.(Bank Leumi le-Israel B.M.; Tel-Aviv Stock Exchange Ltd.)(Brief Article)

Israel Business Today, November, 2000

A local resident who suffered big losses in the Tel Aviv Stock Exchange (TASE) crash of 1983 is claiming that because of the manager of the branch of Bank Leumi where he had his account, he lost another $1.5 million in the TASE crash of February 1994. In a suit recently tiled against the bank for $2 million, the businessman is claiming the bank branch manager pressured him to invest in shares by linking the amount of credit he received for his business, to his buying TASE shares recommended by the bank.

He also claims the branch extended credit to him, instructing him to purchase more shares as they were dropping in value. Many TASE investors were misled and given false information about investing in shares during that period. The lesson of separating banks from...