Eliahu Bakshi-Doron was charged Monday as part of what has become known as the "rabbis' file" affair. Bakshi-Doron and others are accused of falsifying rabbinical certificates for more than 1,000 soldiers and police officers so they could be eligible for salary increases.
The indictment says that as a result, hundreds of millions of shekels were fraudulently awarded from the state without any justification.
The 71-year-old Bakshi-Doron served as one of Israel's two chief rabbis between 1998-2003.
The chief rabbinate oversees many elements of Jewish religious life in Israel.
The religious equality group Hiddush called the indictment "further proof that the institution of the chief rabbinate is unnecessary."
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