Ok, so I managed to make EPUB files in /hebrew and it works great on ipads, iphones.
The problem is with Android - I tried FBReader and the letters are ok but the order of the words is LTR.
I looked around and found that it might be because i'm using SONY device and sipposibly it works well on other devices..
I looked a little more and found that an app called Moon+ Reader might resolve this issue.
Can't check it now but will tomorrow and will let you know. If anyone knows - would love to hear
Thanks