A motion for approval of a class action lawsuit against Mifal HaPayis, totaling approximately NIS 2.5 million, was recently filed at the Tel Aviv Magistrate's Court. The application, submitted by customers who claim to have been harmed by the organization's conduct, follows reports of a malfunction during the 'Chance' draw. According to reports, the failure stemmed from an operational error in the procedure for placing balls into the lottery machines, which was not carried out according to the prescribed order. As a result of this disruption, Mifal HaPayis announced the cancellation of the draw's results.
The plaintiff, represented by Adv. Yair Shafrane, argues that the incident constitutes gross negligence that harmed thousands of participants. According to the motion, the participation of the group members in the voided draw resulted in their ticket investments being lost. Furthermore, it is alleged that the gamblers lost their right to receive potential prize money due to what was described as the disposal of supposedly winning tickets. As part of the requested legal remedies, the plaintiffs have asked the court to declare that the draw is void ab initio due to material defects. Additionally, the motion claims it was inappropriate to retroactively attempt to validate the results through adjustments made after their publication.
Mifal HaPayis categorically rejects the allegations. In its response to public reports, the organization denied the existence of a technical malfunction during the draw and dismissed the legal arguments presented in the lawsuit. It should be emphasized that at this stage these are merely allegations detailed in pleadings, and no judicial decision on the matter has been reached.
This event occurs against a backdrop of personnel changes within the organization's leadership, as, shortly before the lawsuit was publicized, the CEO of Mifal HaPayis, Adv. Benny Dreyfus, announced his intention to step down after approximately six and a half years. For the organization's customers, this is a matter of significant legal and operational importance, as it raises fundamental questions regarding the transparency, accuracy, and accountability expected of an institutional body operating legal lotteries in Israel. The courts will now be required to examine whether the conduct of Mifal HaPayis constitutes negligence warranting financial compensation, or if the process was managed in accordance with regulatory rules and internal protocols.