Looks Like They’re Not Wegelin ( Wigglin’) Out Of This One

wegelin-co

It is a known fact that many Americans open offshore bank accounts in order to avoid taxes and recently through the Obama administration conducting investigations of offshore accounts, Wegelin & Co., Switzerland’s oldest private bank was ordered by a judge to pay up $74 million for breaking United States tax laws and for their role in helping Americans evade taxation. What’s interesting is that this bank dating back to 1741, which makes it 272 years old, is the first foreign bank that actually pleaded guilty for breaking United States tax laws. The banker’s of Wegelin and Co. performed acts such as opening accounts for customers using fake names and non existent business entities in far and remote places such as Panama, which resulted in the hiding of around $1.2 billion of untaxed American dollars. With their payment, and settling this case, which started a year ago, Wegelin and Co. will finally close down after providing services for more than almost three centuries. Looks like this will be one of the many cases that will be brought up due to to the efforts of the Obama administration.

Written by: Kevin Zhang

Source:

Werdigier, Julia. “Wegelin Ordered to Pay $74 Million in Tax Plea.” The New York Times. The New York Times, 06 Mar. 2013. Web. 05 Mar. 2013. <http://www.nytimes.com/2013/03/06/business/global/06iht-wegelin06.html?ref=business&gt;.

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