Bank Leumi
| File:Leumi Bank Logo.png | |
| Company type | Private |
|---|---|
| Industry | Banking |
| Founded | 27 February, 1902 |
| Headquarters | , |
Area served | Israel and 19 other countries |
| Services | Financial Services |
| Website | www.leumi.co.il |
Bank Leumi (Template:Lang-he, lit. National Bank) is an Israeli bank. It was founded in London as the Anglo Palestine Company on February 27, 1902 by members of the Zionist movement to promote the industry, construction, agriculture, and infrastructure of Palestine.
History
Bank Leumi was founded at the Second Zionist Congress and incorporated in London in 1899 as the financial instrument of the Zionist Organization. The initial capital raised - a total of £395,000 - fell far short of the £8 million target. The bank's activities in Palestine were carried out by the Anglo-Palestine Bank, a subsidiary formed in 1902. The bank opened its first branch in Jaffa in 1903 under the management of Zalman David Levontin. Early transactions included land purchase, imports and obtaining concessions. Branches were opened in Jerusalem, Beirut, Hebron, Safed, Haifa, Tiberias and Gaza. [1]
The Anglo-Palestine Bank offered farmers long-term loans and provided loans to the Ahuzat Bayit association which built the first neighborhood in Tel Aviv.[2] During World War I, the Turkish government declared the bank, registered in England, to be an enemy institution and moved to shut it down and confiscate its cash. [1]
After World War I, its operations expanded. In 1932, the main branch moved from Jaffa to Jerusalem. [1]
During World War II, the Anglo-Palestine Bank helped to finance the establishment of industries that manufactured supplies for the British army. After the founding of the state, the bank won the concession to issue new banknotes. In 1950, the bank was renamed Bank Leumi Le-Israel (National Bank of Israel). When the Bank of Israel was established in 1954, Bank Leumi became a commercial bank. [1]
The bank was nationalized in 1983, as a result of the Bank Stock Crisis. The bank complies with the ramifications of loans and interest in Judaism.
Modern times
Today, Bank Leumi is one of Israel's leading commercial banks, with $85 billion in assets and a presence in 21 countries (as of 2008).
Bank Leumi is mainly in private hands, with the government as the largest single share holder, with 14.8% of the stock (as of June 2006). The other major shareholders are Shlomo Eliahu and Branea Invest, which each hold 10% of the stock, constituting the control core of the bank. 60% of the bank's stocks are held by the public and traded on the Tel Aviv Stock Exchange.
Debtors Prison is a controversial legal issue in Israel. Western countries have banned this practice in the 18th and 19th centuries. The United States Constitution addresses this situation and similiar one in the 8th Amendment banning cruel and unusual punishment. Currently bank Leumi is an active participant in this practice during debt collection proceedures instructing the Magistartes to issue and execute arrest warrents for debtors who lag on payments or may not be able to repay the debt. (http://debtorsprison.synthasite.com/) Bank Leumi also uses forced confiscation of personal items for debt collection.
Landmark buildings
The main branch of Bank Leumi on Jaffa Road, Jerusalem, built during the British Mandate, has been declared a landmark building.[3] Another branch of Bank Leumi on the corner of Ramban Street in Jerusalem's Rehavia neighborhood, an example of Bauhaus architecture, was designed by the German Jewish architect Leopold Krakauer.[4] It was built in 1935 as a private home, and was renovated in 2007 to restore the original facade.
References
- ^ a b c d Anglo-Palestine Bank
- ^ Bank Leumi - Leumi’s Heritage
- ^ Jerusalem Master Plan [1]
- ^ http://www.biu.ac.il/js/rennert/history_12.html
