The Israeli Consumer Council filed a request for a class action against the Shufersal chain owned by the Amir brothers, claiming that the company systematically violates the deposit law on bottles.

According to the report yesterday in Ynet, in the class action suit against the company it is claimed that it limits the return of deposit bottles to certain hours, does not accept crushed bottles and refuses to return the amount of the deposit to consumers in cash.

According to the report, so far 1,786 complaints have been received against Shufersal for violating the deposit law. The Consumer Council estimates that as a result of Shufersal's alleged violations, approximately 22,760 people were harmed by this each year, while in the last seven years 159,320 were harmed by this.

The company said in response "Shufersal sees great importance in preserving the quality of the environment and implements the provisions of the deposit law, the company collects millions of beverage bottles a year."

The company also said that "These days the company is investing millions of shekels in placing hundreds more advanced machines for collecting bottles, which will make the recycling operation user-friendly. The law suit has not yet been received, and we will respond as is customary in the appropriate courts."

Shufersal, Israel's largest retail chain, continues to make headlines with impressive financial reports, despite public criticism and legal challenges. The company reported a fourfold increase in net profit for Q3 2024, reaching NIS 238 million, compared to NIS 51 million in the same quarter last year.

Key factors contributing to the profit surge include cost reductions, price increases, the timing of the Tishrei holidays, and the ongoing war with Hamas, which boosted local consumption. Quarterly revenues grew by 6% to NIS 4.1 billion, while gross profit margins increased to 28.5%. A significant portion of the profits was attributed to the sale of Shufersal's stake in the PayBox app to Discount Bank.

The owners took many measures to enhance profitability, including laying off 200 employees, reducing retail space, and reshaping the company’s private label. These efforts were reflected in nearly 7% growth in same-store sales and a similar increase in sales at the Be pharmacy chain.

Currently, Shufersal shares have doubled in value, with the company’s market cap reaching NIS 9.2 billion. 

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