World News

Police Raids Panama Papers Firm Mossack Fonseca Headquarters

2

Panama police raids Tuesday the headquarters of Mossack Fonseca, a law firm involved in setting up offshore companies for world riches to hide their wealth and evade taxes.

Prosecutors said the operation had been carried out at the offices of Mossack Fonseca in Panama City “without incident or interference”.

The leaked “Panama Papers” have shown how some wealthy people use offshore firms to evade tax and avoid sanctions. However, the firm has denied wrong doing. It says it is the victim of a hack and that the information is being misrepresented.

Panamanian President Juan Carlos Varela has promised to work with other countries to improve transparency in its offshore financial industry.

A private security guard stands outside the building where Panama-based Mossack Fonseca law firm is based, in Panama City, on April 5, 2016. A massive leak -coming from Mossack Fonseca- of 11.5 million tax documents on Sunday exposed the secret offshore dealings of aides to Russian president Vladimir Putin, world leaders and celebrities including Barcelona forward Lionel Messi. An investigation into the documents by more than 100 media groups, described as one of the largest such probes in history, revealed the hidden offshore dealings in the assets of around 140 political figures -- including 12 current or former heads of states. / AFP PHOTO / RODRIGO ARANGUA

Afterwards, the attorney general’s office said the aim had been “to obtain documentation linked to the information published in news articles that establish the use of the firm in illicit activities”. The statement added that searches would also take place at subsidiaries of the firm.

Panama’s government promised an investigation soon after news reports emerged more than a week ago based on more than 11 million documents from the firm.

The firm tweeted that it “continues to co-operate with authorities in investigations made at our headquarters”. Many other countries are probing possible financial crimes by the rich and powerful in the aftermath of the leak.

Mossack Fonseca partner Ramon Fonseca says the company had been hacked by servers based abroad and has filed a complaint with the Panamanian attorney general’s office.

Mr Fonseca served as a minister in Mr Valera’s government but stepped aside earlier this year after separate allegations linked the firm to the corruption scandal engulfing the Brazilian state oil company Petrobras.

 

Source: bbc.com

Previous ArticleNext Article

Leave a Reply

Your email address will not be published. Required fields are marked *