How Pandora Papers Can Take Down the Global Wealthy 2021

How Pandora Papers Can Take Down the Global Wealthy 2021

Pandora Papers Can Take Down the Global Wealthy

How the Pandora Papers Can Take Down the Global Wealth: A few years back, the Panama Papers uncovered how wealthy investors across the globe use offshore accounts held in various banks and Financial Institutions within Panama to hide money and shielded from the IRS and other US tax authorities.  Recently, after several years of research and analysis by various investigative reporters and journalists across the globe — they uncovered the depths of the offshore maze that is still used by international banking conduits in oder to hide and shield assets from the US Government. The investigation reaches to the higher upper echelons of wealth in countries across the globe, and involves many politicians — it has been termed the Pandora papers.

What are the Pandora Papers?

As provided by the International Consortium of Investigative Journalists

      • “The Pandora Papers investigation is the world’s largest-ever journalistic collaboration, involving more than 600 journalists from 150 media outlets in 117 countries.
      • The investigation is based on a leak of confidential records of 14 offshore service providers that give professional services to wealthy individuals and corporations seeking to incorporate shell companies, trusts, foundations and other entities in low- or no-tax jurisdictions. The entities enable owners to conceal their identities from the public and sometimes from regulators. Often, the providers help them open bank accounts in countries with light financial regulation.
      • The 2.94 terabytes of data,  leaked to ICIJ and shared with media partners around the world, arrived in various formats: as documents, images, emails, spreadsheets, and more.
      • The records include an unprecedented amount of information on so-called beneficial owners of entities registered in the British Virgin Islands, Seychelles, Hong Kong, Belize, Panama, South Dakota and other secrecy jurisdictions. They also contain information on the shareholders, directors and officers. In addition to the rich, the famous and the infamous, those exposed by the leak include people who don’t represent a public interest and who don’t appear in our reporting, such as small business owners, doctors and other, usually affluent, individuals  away from the public spotlight.
      • While some of the files date to the 1970s, most of those reviewed by ICIJ were created between 1996 and 2020. They cover a wide range of matters: the creation of shell companies, foundations and trusts; the use of such entities to purchase real estate, yachts, jets and life insurance; their use to make investments and to move money between bank accounts; estate planning and other inheritance issues; and the avoidance of  taxes through complex financial schemes. Some documents are tied to financial crimes, including money laundering.”

What’s in the Pandora Papers?

      • The more than 330 politicians exposed by the leak were from more than 90 countries and territories. They used entities in secrecy jurisdictions to buy real estate, hold money in trust, own other companies and other assets, sometimes anonymously.
      • The Pandora Papers investigation also reveals how banks and law firms work closely with offshore service providers to design complex corporate structures. The files show that providers don’t always know their customers, despite their legal obligation to take care not to do business with people who engage in questionable dealings.
      • The investigation also reports on how U.S. trust providers have taken advantage of some states’ laws that promote secrecy and help wealthy overseas clients hide wealth to avoid taxes in their home countries.
      • The leaked files come from 14 offshore service providers that help clients establish companies in secrecy jurisdictions.

Who are the firms at the heart of the Pandora Papers?

Provider (Click to sort Ascending) Records (Click to sort Descending) Time Period (Click to sort Ascending) Founding Office Location (Click to clear sorting) Year Founded (Click to sort Ascending) Jurisdictions (Click to clear sorting)
Commence Overseas Limited 8,661   British Virgin Islands 1992 British Virgin Islands
CCS Trust Limited 149,378   Belize 2005 Belize
Glenn D. Godfrey and Company LLP 189,907   Belize 2003 Belize
Overseas Management Company Inc 190,477   Panama 1961 Anguilla, Bahamas, Belize, British Virgin Islands, Costa Rica, Hong Kong, New Zealand, Panama, Saint Kitts and Nevis, Seychelles, Switzerland, United Arab Emirates, Uruguay
SFM Corporate Services 191,623    2 offices 2006 Anguilla, Bahamas, Belize, British Virgin Islands, Canada, Cayman Islands, Cyprus, Delaware, Florida, Gibraltar, Hong Kong, Latvia, St Lucia, Malta, Marshall Islands, Netherlands, Nevis, Mauritius, Panama, Ras Al Khaimah, Samoa, Seychelles, Singapore, Switzerland, United Kingdom, Vanuatu, St Vincent
Fidelity Corporate Services Limited 213,733   British Virgin Islands 2005 British Virgin Islands, Seychelles, Belize, Latvia, Gibraltar, Hong Kong and Cyprus
All About Offshore Limited 270,328   Seychelles 2007 Seychelles
CIL Trust International 459,476   Belize 1994 Belize, Seychelles
Demetrios A. Demetriades LLC 469,184   Cyprus 1966 Cyprus
Alpha Consulting Limited 823,305   Seychelles 2008 Seychelles, United Arab Emirates, Belize
Il Shin 1,575,840    2 offices 2004 Hong Kong, Vietnam, China
Asiaciti Trust Asia Limited 1,800,650   Hong Kong 1978 Singapore, Hong Kong, Cook Islands, Nevis, New Zealand, Panama, Samoa
Alemán, Cordero, Galindo & Lee 2,185,783   Panama 1985 Bahamas, Belize, British Virgin Islands, Cyprus, Dubai, Geneva, Hong Kong, New Zealand, Panama, Seychelles, Singapore, Switzerland, Uruguay
Trident Trust Company Limited 3,375,331   British Virgin Islands 1986 Bahamas, Barbados, British Virgin Islands, Canada, Cayman Islands, Cyprus, Dubai, Guernsey, Hong Kong, Isle of Man, Jersey, Luxembourg, Malta, Mauritius, Nevis, New Zealand, Panama, Seychelles, Singapore, Switzerland, United Kingdom, United States, US Virgin Islands

Where are the U.S. Citizens and Multinational corporations?

      • When it comes to creating offshore companies, foundations and trusts, parties from different parts of the world and with different needs select different providers and jurisdictions for their shell companies.
      • Pandora Papers documents cover a large number of providers, but obviously not all, or even most, of them, and many jurisdictions are not represented in the data.
      • In previous ICIJ investigations, including 2017’s  Paradise Papers, the leak came from a prestigious law firm with a larger corporate practice, Appleby. As a result, the data  included more documents about multinationals. Bermuda and the Cayman Islands, which are popular havens for corporations, were among the jurisdictions with a large presence in that leak.
      • As for U.S. nationals, ICIJ identified more than 700 companies with beneficial owners connected to the U.S. in the Pandora Papers;  Americans were also among the top 20 nationalities represented in the data. In the Pandora Papers, Russia, the United Kingdom, Argentina, China and Brazil, are among the countries with the largest representation of beneficial owners.
      • In the Paradise Papers, U.S. citizens had a larger relative presence.”

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