Panama Papers Scandal: Twenty-seven people are set to go on trial on Monday for money laundering in connection with the “Panama Papers” tax evasion scandal, which revealed how many of the world’s wealthy stashed assets in offshore companies.
The 2016 revelations rocked governments, exposed high-profile personalities, triggered scores of investigations around the world and dealt a blow to Panama’s reputation as an offshore financial hub.
The defendants due to go on trial in a Panamanian criminal court include Jurgen Mossack and Ramon Fonseca Mora, the founders of the now-defunct law firm at the centre of the scandal.
The leaked trove of 11.5 million files from their company Mossack Fonseca implicated influential figures including billionaires, politicians and even sports stars.
Icelandic Prime Minister Sigmundur David Gunnlaugsson was forced to resign after it was revealed his family had offshore accounts.
Then Pakistani Prime Minister Nawaz Sharif was disqualified for life from office after being implicated in the documents.
Others implicated included former British premier David Cameron, football star Lionel Messi, Argentina’s then-president Mauricio Macri, and Spanish filmmaker Pedro Almodovar, to name but a few.
The files were leaked to a German newspaper, Sueddeutsche Zeitung, which shared them with the International Consortium of Investigative Journalists.
Many of those caught up in the scandal put forward reasons to explain their offshore presence and said they did not act illegally.
Even so, Mossack Fonseca said in 2018 that it would close due to “irreparable damage” to its reputation.
Panama has adopted new legislation since the scandal broke out, but the Central American country remains on a European Union tax haven blacklist.
The fact that part of its laws against money laundering did not exist when the Panama Papers revelations emerged could complicate efforts by the judiciary to achieve convictions.
In Panama, the crime of tax evasion has only been punishable since 2019 and for amounts greater than $300,000 annually.
In 2023, Mossack and Fonseca were tried in Panama for alleged money laundering in Brazil’s “Car Wash” corruption scandal involving construction group Odebrecht.
The prosecution requested up to 12 years in prison for both in that case. The sentence has not yet been announced.
The latest trial is expected to run until April 26, according to the judiciary.
HM Revenue & Customs (HMRC) has nearly doubled the amount paid out to people making tip offs about suspected tax evasion, according to data obtained by Price Bailey, the Top 30 firm of accountants.
The new president of the Central Bank of Brazil has linked the rapid growth of stablecoins with tax evasion and money laundering. He remarked that individuals use these tools for cross-border payments
The Ad Hoc Intergovernmental Committee on International Tax Cooperation adopted the Draft Terms of Reference (ToR) for a United Nations Framework Convention on International Tax Cooperation in August
Assets seized in Singapore’s biggest money laundering case have risen to more than S$3 billion ($2.24 billion) from S$2.8 billion in October, Singapore’s Business Times reported on Friday.The