Author Topic: Bank Fraud in Jersey  (Read 48749 times)

Offline boatyboy

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Re: Bank Fraud in Jersey
« Reply #180 on: October 10, 2012, 03:13:50 PM »

Jersey issued a press release this morning saying:

The Governments of Guernsey, Jersey and the Isle of Man are today, Tuesday 9 October 2012, simultaneously announcing their intention to negotiate partnership agreements with the United States of America to implement FATCA.

Jersey’s Chief Minister, Senator Ian Gorst, said “Implementing FATCA is necessary for our finance industry to remain competitive and doing so through an intergovernmental agreement is considered to be the best course to adopt. It is our intention to negotiate this with the US Government, in partnership with Guernsey and the Isle of Man .

“This is also the course being adopted by many other countries, and it has industry support.  This announcement is intended to provide certainty for our industry as they prepare for FATCA.  Entering into this type of arrangement will also highlight and confirm our commitment, as a well-regulated jurisdiction, to the international principles of tax transparency and exchange of information.

All of which is a load of rubbish.

http://www.taxresearch.org.uk/Blog/2012/10/09/jersey-trumpets-its-cooperation-on-tax-with-the-usa-whilst-refusing-the-most-basic-information-exchange-with-the-uk/


More spin, from the Chief Minister - dear oh dear he is making himself look foolish when inventing his own facts.

bb

Online Jerry Gosselin

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Re: Bank Fraud in Jersey
« Reply #181 on: July 09, 2014, 06:12:07 PM »
The spin doctoring team at Jersey Finance, not to mention the States of Jersey Communication Unit, will be running around like headless chickens today as they consult with Ministers on how to effectively undermine the imminent release by The Guardian and The International Consortium of Investigative Journalists of the identities of prominent people in British life whose names have been found on a leaked list of clients of the Jersey branch of Kleinwort Benson.  The list apparently includes political donors, celebrities, judges, sports stars, business tycoons and aristocrats.

The Guardian has today commenced its series of leaks with an article about a member of Guernsey's de Putron dynasty, who also happens to be the brother-in-law of the Conservative Goverment's Financial Services Minister, Andrea Leadsom. It is claimed that he has used UK registered companies to channel £800,000 to the Tories since the last election, in addition to almost another £1 million for the benefit of Conservative think tanks and campaign groups. Leadsom claims that she was unaware of these payments made by her brother-in-law.  ::)

Here are two separate extracts from The Guardian's report, credited to David Leigh, James Ball and Leila Haddou:

Quote
The leak comes after ministers launched a scheme for Jersey account-holders to make disclosures last year. They claim the big challenge the authorities face is secret tax evasion, which is a crime. The chancellor, George Osborne, said in April: "If you're evading tax offshore, there is no safe haven and we will find you."

But the findings contradict this picture of illegality. Many Jersey loopholes used by wealthy Britons to pass on their fortunes appear from our research to have been perfectly legal. Both the Tories and to a lesser extent Labour have benefited from political donations by such individuals.

Quote
At a time of debate about inequalities of wealth in the UK, the Guardian's pioneering analysis reveals how the richest families dip in and out of British jurisdiction as it suits them, exploiting what academic experts call Jersey's "fictitious space".

The Treasury minister David Gauke last year called for transparency from users of the Jersey tax haven. He said: "The time has come for those with hidden offshore interests to come forward."

There is no published register of trusts or offshore holdings, and the rich appear to have often been able discreetly to avoid taxes, particularly inheritance tax, in ways too expensive for other people to use.

http://www.theguardian.com/politics/2014/jul/08/andrea-leadsom-family-links-offshore-bank-donations-tories

At the time of writing this, none of Jersey's media outlets appear to be running this major story. ITV CTV is running a story about a tax avoidance scheme but there is no reference to the Guardian or the ICIJ investigation so I presume this is completely unrelated. I think I can guess why they haven't run the story yet- it is to allow Geoff Cook at Jersey Finance, in conjunction with Jersey Ministers, adequate time to prepare a robust response. When he tells them he's ready to be interviewed, the local media will have the green light to report it... 

By the way, I am sure the names of some of these prominent offshore clients will not come as that much of a surprise to regular readers of Private Eye, particularly its 'In the City' column. I recall one such article about Richard Branson's tax domicile status on page 32 of issue No. 1351 (18-31 Oct 2013) which alleged that the bearded one "has always benefited from the creation of a growing maze of offshore family trusts, mainly managed from Guernsey and Jersey by trustees from merchant bankers Morgan Grenfell, now part of Deutsche Bank." Well at least Richard can breathe a sigh of relief that he didn't use Kleinwort Benson!

With regard to corporate tax avoidance, I also recommend Private Eye's Special Report by Richard Brooks - 'Tax, Lies and Videotape' which was originally published on page 19 onwards of issue No. 1349 (20 Sep- 03 Oct 2013) and can be purchased separately here:

https://privateeye.subscribeonline.co.uk/Products/digital-editions

Offline boatyboy

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Re: Bank Fraud in Jersey
« Reply #182 on: July 10, 2014, 06:37:02 AM »
Well spotted Jerry,

Maybe Treasury Minister Ozouf, would like to do some explaining, and also while he is at it, inform the banks that Jersey does not actually want to borrow £250 million, in case we have trouble paying it back, as again due to poor Government the outside world is losing confidence in this island.

The Guardian. [ quotes are selective please read full article ]

The Guardian today reveals the identities of celebrities and aristocrats – including Mel Gibson and Placido Domingo – who have had offshore dealings, as controversy grows over the Jersey links of the newly-appointed financial services minister Andrea Leadsom.

Following Wednesday's disclosure that the Conservatives have received £816,000 in offshore donations from Leadsom's Channel Islands-based brother-in-law, the Labour MP Paul Farrelly, who campaigns on tax issues, has called for the cabinet secretary to step in.

He said: "Any semblance of political donations influencing ministerial appointments needs to be addressed straightaway. The cabinet secretary should ask what she knew of these donations by people and companies connected to her."

Philip Ozouf, Jersey's treasury minister, told the Guardian in 2012: "Did people come here with suitcases full of cash in the 1970s? Of course they did. Was tax evasion widespread? Of course it was. But Jersey moved away from all that a long time ago."

Its critics would say that Jersey did indeed move away from crude suitcase-smuggling, but only into providing facilities for more sophisticated forms of tax avoidance that, while artificial, were also perfectly legal.

http://www.theguardian.com/uk-news/2014/jul/09/offshore-tax-dealings-celebrities-sportsmen-leaked-jersey-files

Boatyboy.
« Last Edit: July 10, 2014, 06:43:04 AM by boatyboy »

Offline gladiator

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Re: Bank Fraud in Jersey
« Reply #183 on: July 11, 2014, 12:59:23 AM »
Just to add on to Jerry's and Boatyboy's important posts as you can't get any decent information from the JEP.

JERSEY is not unsurprisingly  in the bad national press again as the leaked Jersey files by investigative journalists are starting to come to the surface by the British media.

In the Independent today

Here's how to turn the tables on tax avoiders
The problem is that HMRC simply can't compete with the big accountancy firms

By James Moore
Thursday 10 July 2014

Quotes:

If those involved offer up any explanation - and it's rare that they do - it's usually that they were advised to involve themselves in these sort of schemes by their accountants. So they were only following orders, and that makes it alright, doesn't it? Well, no.

Those involved may not have noticed but the rest of the country is still going through austerity. Public sector workers - the people who teach children, cure the sick, keep the country ticking over - have had their pay frozen, their pensions slashed, their workloads increased. Then there are who are looking for work but can't find it, and the young, and the disabled. I could go on.

Every pound stashed in some offshore bolt hole is a pound lost that could be helping them.

The best of it is, the tax burden on the wealthy is coming down. Despite the pain austerity is causing George Osborne lopped 5p off the 50p top rate of tax imposed on earnings above £150,000.

http://www.independent.co.uk/voices/comment/heres-how-to-turn-the-tables-on-tax-avoiders-9598606.html

Also worth to read the whole article by

OWEN JONES

Sunday 19 May 2013
The moral case on tax avoidance is overwhelming - and we all know Google wants to do the right thing
There is nothing law-breaking about tax avoidance and this is of course the point. The law is rigged in favour of the wealthy and the state is at the service of the rich

Quotes:

This is the scandal that currently happens in modern Britain. While low-paid and disabled people are having their state support shredded – no money left, you see – corporate giants like Google are allowed to get away with paying a pittance. From 2007 onwards, the company made £11.9bn worth of revenues in Britain, but gave the taxman only around £10m in corporation tax. Here’s their entirely legal scam: their British sales are registered in Ireland, meaning they technically don’t have to cough up here. Clever, eh?

A few years ago, the issue of tax avoidance languished on the fringes: it was something wonks and geeks worried about. Everyone is now talking about it because an inspirational motley crew of activists called UK Uncut started occupying shops and banks who were guilty of scamming the taxpayer. They stand in Britain’s fine tradition of peaceful civil disobedience, and show it is not just right-wing fronts like the Taxpayers’ Alliance who can create political space – the left can do it, too, with a bit of nous. They helped draw attention to the likes of Richard Murphy, who has drawn up suggested detailed legislation to crack down on the avoiders. Ed Miliband is now pledging an offensive against tax avoidance. Protest works.

This month, UK Uncut’s legal team dragged HMRC to court over a sweetheart deal with Goldman Sachs. It was unlikely they would ever have won – a ruling against HMRC’s legal responsibility for collecting taxes would have been stunning – but the case was damning and revealing. It was “not a glorious episode in the history of the Revenue”, the judge ruled, because it was shrouded in secrecy and lacked proper legal approval. Dave Hartnett, then the permanent secretary for tax, took the  “potential embarrassment” to George Osborne into account. UK Uncut have helped expose the murky relationship between corporate titans and the British state.

There is the infrastructure all companies depend on: like having roads and railways. They need a workforce educated by state-provided schools and universities, and kept healthy by the health  service. The banks they rely on were rescued by the taxpayer. Because companies are unwilling to pay their workers proper wages, the state steps in to subsidise them through tax credits, housing benefit, and so on. Tax avoiders expect to benefit from corporate welfare but pay nothing in, yet no one calls them “scroungers”.

http://www.independent.co.uk/voices/comment/the-moral-case-on-tax-avoidance-is-overwhelming--and-we-all-know-google-wants-to-do-the-right-thing-8622565.html

Why can't Jersey show some civil disobedience and rally for their own vulnerable people but also for the future of their youth who will end up with paying or not able to be paying off the debts current politicians are trying to create because taxpayer's money is wasted and important tax revenue for the island from those UK and foreign companies is not coming in?
« Last Edit: July 11, 2014, 06:17:58 AM by gladiator »

Offline shortport

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Re: Bank Fraud in Jersey
« Reply #184 on: July 11, 2014, 02:23:17 AM »
i'm surprised more people aren't making a fuss over our 0/10 tax system.Ever since its introduction we have been in economical decline.Under this system businesses pay 0% tax and finance pays 10% tax.
The reason we have GST on everything is because companies are not paying any tax,nothing,not a penny.
The whole tax burden has been put onto the employee through ITIS yet company owners are laughing all the way to the bank.Most  countries have a progressively higher tax rate the more you earn yet we have gone in totally the opposite direction and its not working,all its doing is encouraging tax avoidance from foreign companies with no benefit to Jersey people except to make us despised by the rest of the world.No wonder our tourism is declining,who from the UK would want to spend their holiday money here when we are depriving them of so much tax revenue.

Offline Fritz

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Re: Bank Fraud in Jersey
« Reply #185 on: July 11, 2014, 03:52:08 AM »
Fact is. Working class Jersey residents no longer benefit from the Island being a tax-haven for financial institutions.
"Throwing glass beads", at the natives was played out long ago. Financial Institutions play the long game,(Its what they do). Jersey had a couple of decades of fun, where,"We had Money coming out of our ears". (IE: Natives loved the glass beads).
Once the invaders had control, they dictated the rules. "Simples".
That is why the finance sector now owns Jersey, and dictates who and who doesn,t pay tax.
"You,ve had your glass beads, You accepted them gladly. And now this land is ours". (Read the contract).
He who plays the long game usually wins, no matter what he appears to give in the short term.
PS: 25-50 yrs is a fairly short time when planning in financial institution terms.

Jersey has been,"HAD", simple as.

Offline gladiator

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Re: Bank Fraud in Jersey
« Reply #186 on: July 11, 2014, 06:38:34 AM »
PART 2 OF THE JERSEY FILES

You can not make this up!

Nando's using secretive tax haven trust to avoid inheritance tax bills
Popular restaurant chain's Channel Islands tax haven trust at top of elaborate web of companies is worth £750m

QUOTES:

Those named with offshore links include the Rothermere family, owners of the Daily Mail; Sir Ken Morrison of supermarket fame; the Laura Ashley family; Sir Stelios Haji-Ioannou, the founder of easyJet; the inventor Sir James Dyson, the Malaysian tycoon Khoo Kay Peng; the software executive Martin Read; and the television boss Bruce Gyngell.

The offshore world of Nando's is particularly elaborate. The family's personal cash pile, their £8m Wiltshire stately home, and their corporate structures all have offshore addresses.

The chicken business profits ultimately flow to a Luxembourg low-tax registered partnership. Accounts show the Luxembourg entity then pays cash over to the tax-free Jersey family trust as interest on a £750m loan.

"In the UK, Nando's Group Holdings Ltd incurred corporation tax of £12.6m on a profit of £58.2m with revenues of £485.2m in the year ending February 2013," he said.

The Guardian calculates that the tax bill might have been half as much again, at £18m, had offshoring arrangements not existed.
The company added: "Nando's is a concept founded in South Africa. Nando's in the UK is one of 22 national franchises operating globally. All the franchises operate under standard market licensing arrangements and this includes the brand licensing fee. This franchising arrangement enables the UK company to access expertise, intellectual property and capital from the company's global operations and has helped fund its growth."
 
Neither the Enthovens nor Nando's UK commented on the Taro III Trust or the company's other offshore structures.
http://www.theguardian.com/business/2014/jul/10/nandos-using-secretive-tax-haven-trust-avoid-inheritance-tax-bills

JEP catch up! "Only 511 comments" so far in the Guardian since this report was released this late evening. What does that tell you? I wonder how much tax revenue Jersey would have received, if those companies would have paid their share?


A who's who of Britain's legal offshore tax avoidance
Some of the UK's most prominent business people appear in Jersey's offshore history of legal avoidance

http://www.theguardian.com/business/2014/jul/10/whos-who-britain-legal-offshore-tax-avoidance-james-dyson


 
« Last Edit: July 11, 2014, 06:47:01 AM by gladiator »

Offline shortport

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Re: Bank Fraud in Jersey
« Reply #187 on: July 12, 2014, 01:47:34 AM »
Interesting to see Bernie Madoff on the list.Obviously Jersey financial companies are taking ,'know your client' seriously ;)

Online Jerry Gosselin

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Re: Buying influence in the Conservative Party
« Reply #188 on: July 06, 2016, 07:02:28 PM »

The Guardian has today commenced its series of leaks with an article about a member of Guernsey's de Putron dynasty, who also happens to be the brother-in-law of the Conservative Goverment's Financial Services Minister, Andrea Leadsom. It is claimed that he has used UK registered companies to channel £800,000 to the Tories since the last election, in addition to almost another £1 million for the benefit of Conservative think tanks and campaign groups. Leadsom claims that she was unaware of these payments made by her brother-in-law.  ::)

Here are two separate extracts from The Guardian's report, credited to David Leigh, James Ball and Leila Haddou:

http://www.theguardian.com/politics/2014/jul/08/andrea-leadsom-family-links-offshore-bank-donations-tories


Exactly two years has passed since those revelations by The Guardian and it is now a bit easier to recognise the sheer level of influence that De Putron's money has had on the Tory Party: yesterday, his sister-in-law, Andrea Leadsom, polled a very respectable 66 votes in the first ballot to choose a new Prime Minister for the UK, finishing second behind Theresa May.

Would she have polled as many votes as this without De Putron's money? After all, she is far from being a universally respected political heavyweight in the Commons. She was just a Conservative councillor in South Oxfordshire from 2003 to 2007 and only entered Parliament in 2010. In January 2013, she told the BBC's Daily Politics: "we don't want to leave the EU, it would be a disaster for Britain's economy", yet three years later she had completely flip-flopped and was standing alongside Boris Johnson urging the country to vote "leave". De Putron's influence must have helped in getting Cameron to appoint her Energy and Climate Change Minister, which she has quite shamelessly used to promote the fracking industry. There is little chance that she could actually become PM but she and De Putron will be fully aware of that. The real intention behind her leadership campaign is probably to ensure that she ends up getting one of the three biggest roles in the UK Government after Theresa May becomes Prime Minister. The Press are speculating that she could end up as Chancellor:o

Frankly I find that prospect almost as chilling as her ending up as Prime Minister.

http://www.theguardian.com/politics/2016/jul/04/andrea-leadsom-financial-affairs-scrutiny-conservative-party-leadership-race


Update:

And here's another worrying quote by Andrea Leadsom in 2012 on the subject of employment rights for workers in small businesses:

https://pbs.twimg.com/media/CmmhyrlWIAAtHHg.jpg:large


« Last Edit: July 06, 2016, 07:41:35 PM by Jerry Gosselin »

Offline gladiator

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Re: Bank Fraud in Jersey
« Reply #189 on: December 12, 2016, 07:07:39 AM »
Ozouf says Jersey is not a tax haven – but the world does - again

Another light reading of international and national news regarding Jersey and oversea territories as The Sydney Morning Herald and The Guardian published

Bermuda tops list of world's top tax havens according to Oxfam
DECEMBER 12 2016   Nassim Khadem


The report, based on 2014 data, exposes 15 jurisdictions as the "worst tax havens" used globally by multinationals to avoid paying tax in the countries where they operate.

They include Bermuda, the Cayman Islands, the Netherlands, Switzerland, Singapore, Ireland, Luxembourg, Curaçao, Hong Kong, Cyprus, Bahamas, Jersey, Barbados, Mauritius and the British Virgin Islands.

This article includes a short video clip of Senator Philip Ozouf saying:
Why Jersey says it's not a tax haven


Quote:

The island of Jersey is welcoming the prospect of more regulation of offshore financial centres.

http://www.smh.com.au/business/the-economy/bermuda-tops-list-of-worlds-top-tax-havens-according-to-oxfam-20161208-gt6v3n.html

https://www.theguardian.com/world/2016/dec/12/bermuda-is-worlds-worst-corporate-tax-haven-says-oxfam

Reading the old posts from 2014 is quite interesting but just also depressing at the same time.Will the people power wave reach Jersey next year?