The source of funding for the Kohelet Policy Forum, a conservative think tank that has played a significant role in advocating the judicial reform led by Prime Minister Benjamin Netanyahu's administration, has remained shrouded in secrecy during its 11 years of operation. Individuals associated with Kohelet, which also champions various right-wing initiatives, have chosen not to disclose their funding sources. The identity of American billionaire Arthur Dantchik was revealed in a March 2021 Haaretz report, and only recently did he acknowledge his connection to Kohelet.

New Financial Connections Revealed:

Shomrim has now uncovered another financial link in this enigma. Documents obtained from the United States Internal Revenue Service (IRS) unveil substantial contributions made by Dantchik to an American nonprofit organization ostensibly engaged in "medical research." This organization subsequently funneled funds to another American entity, the Central Fund of Israel (CFI), a charitable organization. Notably, the Kohelet Policy Forum's reports to the Registrar of Associations in Israel list the CFI as its sole donor.

Notable Developments:

In early August, the Israeli financial newspaper Calcalist reported that Dantchik had ceased his donations to Kohelet. In a departure from convention, Dantchik confirmed this report, inadvertently acknowledging his role as the primary benefactor of Kohelet. Simultaneously, reports submitted by Danchik's philanthropic foundation to the IRS indicated that no money was channeled to the "medical research" organization facilitating his donations to Kohelet in 2021. Reports for the subsequent years, 2022 and 2023, remain pending release.

Philanthropic Endeavors and Financial Channels:

Dantchik, residing on the outskirts of Philadelphia, has predominantly overseen his philanthropic ventures through the Claws Foundation, established in 2004. Over the last decade, Claws' funding has been exclusively attributed to Dantchik, yet the day-to-day management has been entrusted to Sterling Foundation Management—a private charitable consulting and management company serving private foundations.

Claws' contributions have spanned various causes within the United States, including conservative think tanks, hospitals, and synagogues. Notably, Claws has also extended substantial financial support to Israeli organizations, including non-right-wing groups like the Taub Center and the Shalom Hartman Institute. In 2021, approximately $500,000 was donated to the American Friends of the Hebrew University of Jerusalem. However, no direct transfers from the Claws Foundation to Kohelet have been identified so far.

In-Depth Financial Overview:

The IRS documents furnish a comprehensive outline of Dantchik's contributions to his philanthropic foundation. Between 2013 and 2020, Dantchik's donations totaled roughly $220 million to Claws, subsequently benefiting other organizations. Of this sum, around $110 million was contributed in 2020 alone. Although Dantchik had consistently contributed to Claws, he refrained from doing so in 2021. The extent of his donations in 2022 remains unconfirmed pending the release of the IRS reports for that year.

Unaffected by the lack of funding from Dantchik in 2021, Claws committed $45 million to various causes during the same year, while still maintaining a comparable amount in reserves.

The Intricacies of the Funding Path:

The trail of financial resources to the Kohelet Policy Forum has perpetually been shrouded in uncertainty. As a registered nonprofit association in Israel, Kohelet is obligated to disclose its funding sources to the Registrar of Associations. Past reports indicate that the organization received funding from the American Friends of Kohelet Policy Forum, a U.S.-registered association that does not divulge its sources of funding. Recent years have seen Kohelet reporting donations from the Central Fund of Israel, known as a conduit for multiple right-leaning organizations in Israel.

Shomrim's investigation now unveils the money transfer route through which Dantchik channeled funds to the CFI. Documents indicate that Claws transferred approximately $12 million to the Silver Valley Research Foundation, an American nonprofit established a few months prior. While Silver Valley focuses on "medical research and public education for advancing medical research," it also grants funds to other nonprofit organizations as determined by its board of directors.

Parallels can be drawn between Claws and Silver Valley, as both entities are overseen by Sterling Foundation Management, and some of Sterling's employees also serve on Silver Valley's board. It's important to note that Dantchik himself does not hold an official role or connection to these foundations.

Disposition of Funds:

A scrutiny of the documents reveals that the lion's share of the $12 million donation was allocated to the Central Fund of Israel in 2021. A comparison with Kohelet's filings for the same year illustrates that the organization received 25 million shekels (approximately $7.7 million in 2021 exchange rate) from the CFI in 2021. The subsequent year witnessed the CFI transferring an additional 29 million shekels (approximately $8.5 million) to Kohelet. As Silver Valley's reports for the last year are pending release, any equivalent donation to the CFI in 2022 remains unknown.

Jay Marcus, the director of the Central Fund of Israel, declined to respond to specific questions pertaining to donations to the Kohelet Policy Forum, saying that the questions should be addressed directly to Kohelet. He added that his foundation supports a variety of causes in Israel. “I will not divulge the names of people who give me money or who donate to me. They know that we do everything by the book.”

The Kohelet Policy Forum and Arthur Danchik declined to respond.