Bank of Jerusalem issued a public reassurance to its customers on Thursday, insisting there is “no concern whatsoever” that customer funds were embezzled, after widespread rumors surrounding the disappearance of bank employee Mali Yahalomi contributed to a sharp drop in the bank’s stock price.

The statement was released after the bank’s shares tumbled during trading, at one point falling as much as 12.39%, amid speculation surrounding Yahalomi’s disappearance.

In its message to customers, the bank stated: “Following information and rumors that have recently surfaced, and in light of a thorough and comprehensive examination conducted by the bank, we wish to clarify unequivocally that there is no concern whatsoever of embezzlement of Bank of Jerusalem customers’ funds.”

The bank further emphasized: “Customers’ funds are safe and protected, and are held and managed in accordance with the provisions of the law, binding procedures, and the bank’s control systems.”

Officials also stressed that the institution continues to function normally. “The bank is operating routinely and properly, and all activity in customers’ accounts is being conducted as normal.”

In addition, the bank sought to reassure customers that its oversight mechanisms remain fully operational. “The bank’s control and oversight systems operate continuously and ensure the safeguarding of customers’ funds and the proper conduct of banking activities.”

The market decline followed reports and rumors surrounding the disappearance of Yahalomi, who is employed by the bank. In a letter to staff, Bank of Jerusalem CEO Yair Kaplan addressed the situation, writing: “Apart from the fact that she is an employee of the bank, no connection has been found between the incident and the bank.”

Kaplan also reminded employees that the case is subject to a court-issued gag order and warned against circulating information about the investigation. The bank had previously stated: “Following an examination that was conducted, no findings were discovered indicating any unusual activity involving the bank’s funds or assets.”

Meanwhile, a court imposed a gag order on the investigation into the disappearance of two Israeli citizens, Mali and Liel Yahalomi, a mother and daughter who vanished while visiting Vienna, Austria. The pair have been missing since the weekend, and responsibility for the investigation was transferred Wednesday night to the Lahav 433 national crime unit.

Overnight, members of the Yahalomi family provided testimony to Lahav 433 investigators and voiced frustration over reports they said had been released “in the name of Israel Police.”

According to the family, “Some of the information that was published was not presented to the family, and the family possesses information that substantially contradicts some of the claims raised in the reports. According to information provided by the police, there was no unusual activity in Mali and Liel’s bank accounts, and the last activity took place on August 3.”

The family also challenged reports suggesting certain possibilities had been ruled out, stating: “The family wishes to clarify unequivocally that, contrary to what was published by the police spokesperson’s office, at this stage there is no basis whatsoever for ruling out the possibility of a nationalist-motivated terrorist incident.”

Relatives said they have had no contact with Mali and Liel since the evening of Friday, August 7. Throughout their trip, the two had regularly shared updates, photographs, and messages with family members before communication suddenly ceased.

Israeli police have dispatched representatives to Austria to assist local authorities with the investigation. According to published reports, cellphone location data obtained by investigators in both Israel and Austria placed the women near a train station in Vienna during Shabbos. The station is located within a larger complex that includes a sizable public park.

Authorities said there has been no trace of the women since that last cellphone location was recorded, and investigators have detected no activity on either of their credit cards.

Investigators are also reportedly examining whether the mother and daughter were carrying significant amounts of cash and whether location-tracking data had been removed from their mobile phones before they disappeared.

{Matzav.com}