500 Indians among mega-rich linked to ‘shady’ offshore deals
Washington/New Delhi, April 4
An investigation by the International Consortium of Investigative Journalists (ICIJ) and more than 100 news organisations around the globe has revealed alleged offshore links of some of the planet's most prominent people. The list included over 500 Indians.
“In terms of size, the Panama Papers is likely the biggest leak of inside information in history-more than 11.5 million documents-and it is equally likely to be one of the most explosive in the nature of its revelations," the consortium said of its investigation published on Sunday.
In India, The Indian Express ran several pages of the investigation reports alleging among other names that Bollywood superstars Amitabh Bachchan and Aishwarya Rai were directors in companies in Panama. The two did not immediately respond despite efforts to contact them. Aishwarya Rai's media adviser told the paper that the information was false. While there was no reaction from those named in the Express report, the spokesperson for Aishwarya Rai said "no" when asked if she intended to issue a statement. In 2004, India legally allowed investments abroad by companies, and later individuals, through the Liberalised Remittance Scheme.
Also named were Sameer Gehlaut of Indiabulls, for properties owned in Bahamas, Jersey and the United Kingdom, and KP Singh of DLF for companies registered in British Virgin Islands. Vinod Adani, elder brother of industrialist Gautam Adani, politician Shishir Bajoria from West Bengal and Anurag Kejriwal of Loksatta Party were also alleged to have set up companies in tax havens. Bajoria told the paper that "erroneous beneficial owner information" was given by mistake.
According to the ICIJ, “The leak exposes the offshore holdings of 12 current and former world leaders (including Pakistan Prime Minister Nawaz Sharif's family members) and reveals how associates of Russian President Vladimir Putin secretly shuffled as much as $2 billion through banks and shadow companies”. The Kremlin defended the President saying “there are no details, all are based on allegations and speculation”.
Sharif's son Hussain told the country's largest private broadcaster Geo that his family had not done anything wrong. “Those apartments are ours and those offshore companies are also ours. There is nothing wrong with it and I have never concealed them, nor do I need to do that," he said, adding that all this was in accordance with British laws.
They also provide details of the hidden financial dealings of 128 other politicians and public officials around the world and show how a global industry of law firms and big banks sells financial secrecy to fraudsters and drug traffickers as well as billionaires, celebrities and sports stars.
"The Panama Papers expose offshore companies controlled by the prime ministers of Iceland and Pakistan, the king of Saudi Arabia and the children of the president of Azerbaijan. They also include the names of at least 33 people and companies blacklisted by the US government because of evidence that they've done business with Mexican drug lords, terrorist organisations like Hezbollah or rogue nations, including North Korea and Iran."
On allegations against his father (see box above), British PM David Cameron's spokeswoman said: “That is a private matter, I am focused on what the government is doing.” — Agencies
2,600 GB of data of law firm Mossack Fonseca accessed by a consortium of more than 100 media groups
11.5 million documents were scanned of the firm that has offices in more than 35 locations around the globe
214,000 hidden offshore companies linked to influential people in over 200 countries have been revealed
Other Indians on list
Sameer Gehlaut of Indiabulls, for properties owned in Bahamas, Jersey and the United Kingdom; KP Singh of DLF for companies registered in British Virgin Islands; Vinod Adani, elder brother of industrialist Gautam Adani, politician Shishir Bajoria from West Bengal and Anurag Kejriwal of Loksatta Party
Tax havens of the elite
Not all schemes illegal
While the “Panama Papers” detail complex financial arrangements benefitting the world’s elite, they do not necessarily mean the schemes were all illegal
Arms and drugs?
The accessed material spans over a period of almost 40 years, from 1977 till December last, and allegedly shows that some companies domiciled in tax havens were being used for suspected money laundering, arms and drug deals, and tax evasion.
Database ‘hack’
The head of Mossack Fonseca, Ramon Fonseca, has denied any wrongdoing but said his firm had suffered a successful but “limited” hack on database. He described the hack and leak as “an international campaign against privacy”. He said the firms formed by them were “vastly” used for “legitimate purposes”.
What they say
The Prime Minister's credibility is at stake with the latest expose. Some of the names that have come in public domain include some industrialist friends and travel companions of Modi and some of those who have been brand ambassador of Modi government. —Randeep Surjewala, cong spokesman
The revelations are very serious but their authenticity will have to be established by the government. But this indicates the promise made by the PM during poll campaign that all black money will be unearthed, and all money will come, and all of us were promised that Rs 15 lakh will come into our accounts is false. —Sitaram Yechury, cpm leader
We demand a Supreme Court-monitored time-bound investigation into the case. It’s a straight case of black money. And any hope of a fair probe by the government is very low considering the names involved. —Sanjay Singh, senior aap leader
