I found out that in Israel many people use old Christmas decorations sold in the shuk for Sukkos decorations. Apparently they are sold at a discount and many Charedi people have no idea what they are. So much so that I heard some stories of Americans going to very frum peoples houses and seeing big Santa Clause picture decorating the sukkah wall.
It appears that many Charedim in Israel think that Santa Clause is a Chassid dressed in red!