Lapid Accuses Government of Illegal Funding to Haredi Schools

Opposition leader Yair Lapid has ignited a political firestorm by accusing the Israeli government of illegally transferring over NIS 1 billion to ultra-Orthodox (haredi) educational institutions. Speaking after a dramatic High Court of Justice hearing, Lapid charged that the funds were funneled to schools that don’t teach the core curriculum and operate without proper oversight an act he called “fraud” and “theft of state funds.”

“What was revealed today at the High Court is nothing short of an earthquake,” Lapid said. “MKs voted on budget transfers long after the money had already been transferred. That is against the law. The government is systematically deceiving the public.”

According to court proceedings, most of the funds in question had already been sent before the Knesset Finance Committee formally approved them. That revelation has prompted Lapid and members of his Yesh Atid party to file a petition demanding an investigation and to call on police to question Finance Minister Bezalel Smotrich and senior ministry officials.

Lapid was blunt in his criticism. “This is fraud, and fraud must be investigated. Any government accountant who approved these transfers needs to know that they will eventually end up in an interrogation room,” he warned. While stressing that his criticism is not directed at haredi children, he argued that state funding must be tied to a minimum educational standard including the teaching of Hebrew, English, mathematics, and Zionist history.

Lapid’s stance is echoed by other lawmakers. MK Naama Lazimi of The Democrats called it “a rotten fraud at the expense of the public,” while party chairman Yair Golan accused the coalition of running a corrupt patronage system. “While Israeli families struggle with war and the cost of living, the government reaches into our pockets and steals money from us,” Golan charged.

The High Court has already issued an interim order freezing the funds, pending a full judicial review. In addition to the petition against the budget transfer itself, a second petition demands an explanation from the Education Ministry as to why schools not teaching the state-mandated core curriculum continue to receive government funding.

For many Israelis, this controversy cuts to the heart of a broader national debate: What should the social contract between the state and its citizens look like? Should taxpayers be funding schools that do not prepare students for the workforce or national service? And who is ultimately responsible for upholding standards in Israeli education?

As Israel faces internal challenges and external threats, this legal and political battle touches on fundamental questions about accountability, equality, and the future of the next generation.

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