Three Israeli companies and 10 suspects were indicted on Monday after they were found to have exported cruise missiles to China without a permit.
The Economic Department of the State Attorney informed the suspects that it would be filing an indictment on charges of committing security offenses, offenses in the field of weapons, offenses under the Defense Export Control Law, offenses under the Anti Money Laundering Law and more.
Ephraim Menashe, the owner of the Solar Sky company, which manufactures cruise missiles, among other things, brokered a deal with entities from China who were competing for a tender to provide cruise missiles to the Chinese military.
The deal was mediated by Zion Gazit and Uri Shachar, the owners of a security consulting company, which deals in consulting and mediation between foreign investors and Israeli tech companies.
Menashe also hired Zvika and Ziv Naveh, the owners of Innocon, which produces UAVs for intelligence purposes. Menashe also recruited other people who worked to produce cruise missiles and all their parts.
The suspects produced dozens of cruise missiles and performed a number of tests with them in Israeli territory, endangering human life, according to the State Attorney. The missiles were transferred to China in a concealed manner and Menashe received millions of dollars in return which he disguised as part of his connections with a foreign company.
The weapons were not used by the Chinese military in the end.
The case is being investigated by the Unit of International Crime Investigations in Lahav 433 organization of Israel Police.
In February, over 20 Israelis were interrogated by the Shin Bet and Israel Police on suspicion that they developed, manufactured, and traded illegal weapons with a country in Asia.
The investigation also found that the suspects received operational orders from people tied to this foreign country, and received money and other benefits in return.