Smart TaxesSmart Taxes

Swiss bankers charged in tax-evasion conspiracy

Credit Suisse employees indicted as part of U.S. crackdown on offshore banks that help Americans hide assets.

By MSN Money Partner Feb 24, 2011 5:00PM

This article is by Matthew Barakat of The Associated Press.

Four bankers with Zurich-based Credit Suisse Group were indicted Wednesday on conspiracy charges, accused of helping U.S. taxpayers hide as much as $3 billion in assets from the IRS.


Arrest warrants have been issued for all four, who are believed to be in Switzerland: Marco Parenti Adami, Emanuel Agustoni, Michele Bergantino and Roger Schaerer. All are Swiss citizens except for Adami, who is Italian.


Prosecutors allege in the indictment that the conspiracy goes back as far as 1953. The indictment alleges that as of late 2008 Credit Suisse was maintaining thousands of secret accounts for U.S. customers with as much as $3 billion in assets.


The indictment itself -- obtained by federal prosecutors in Alexandria, Va. -- does not specify the bank as Credit Suisse, but a law enforcement official with knowledge of the case confirmed the bank's identity to The Associated Press. The official insisted on anonymity because he was not authorized to speak publicly on the case.

Public documents unconnected to the case also identify some of the bankers as Credit Suisse employees.


Credit Suisse itself is not charged in the indictment. But the indictment states that bank officials "knew and should have known that they were aiding and abetting U.S. customers in evading their U.S. income taxes."


The indictment claims the bankers discouraged customers from participating in a 2009 amnesty program offered by the Obama administration, in which U.S. taxpayers could avoid criminal prosecution if they came forward with information on their secret accounts and agreed to pay a penalty.


In the fall of 2008, Credit Suisse began exiting the U.S. cross-border banking business, and the bankers advised clients to transfer their accounts to other Swiss banks that did not operate internationally and were therefore not subject to anything but Swiss law.


Credit Suisse spokesman David Walker said Wednesday the company is "cooperating with the authorities in their investigation of these individuals."


The Obama administration has been cracking down on foreign banks that it believes were helping U.S taxpayers hide assets. Wednesday's indictment is the first major criminal prosecution not involving Swiss-based UBS AG, which in 2009 agreed to pay a $780 million fine and turn over the names of thousands of account holders to U.S. authorities, a landmark case that breached centuries-old Swiss banking secrecy laws.


It was not immediately clear if the Swiss government would cooperate with the prosecution and turn the four bankers over for extradition. Switzerland does not normally extradite its citizens to face criminal charges in foreign countries. UBS banking executive Raoul Weil was indicted in a federal court in Florida in 2008. He was declared a fugitive in 2009, and Swiss authorities have not taken any steps to extradite him.


Copyright 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


More from MSN Money:

 

VIDEO ON MSN MONEY

3Comments
Feb 28, 2011 10:20AM
avatar
I am sure if they would just do it, there is plenty of blame to go around, including banks right here in the U.S.  How about politicians here who get rich while in office.  Just co-incidental?  Their IRS stated earnings does probably not jive with the wealth they have showing.  I just saw a documentary on the Cocaine problem in Miami.  Way more cash deposits than is normal in the banks in that area, but, no investigation where those people were getting all that money.  I guess the feds were afraid of stepping on the wrong toes, or, perhaps they too were receiving kick backs for doing nothing.
Mar 26, 2012 1:56PM
avatar

Why should the Swiss? SINCE WHEN is a Swiss citizen subject to U.S. law while IN SWITZERLAND??? What absolute BALLS the U.S. Government displays. Swiss Banker, Swiss Bank, in Switzerland, and the U.S. wants to subject them to U.S. LAWS, extradite and prosecute them. INCREDIBLE!.

 

I am an American Citizen and a former US Marine. Let's see the Government of Canada, Mexico, or China indict me and try to extradite me, issue and execute an arrest warrant. Good luck.

Mar 8, 2011 2:34AM
avatar
The beat goes on, yeah the friggin beat goes on. 
Report
Please help us to maintain a healthy and vibrant community by reporting any illegal or inappropriate behavior. If you believe a message violates theCode of Conductplease use this form to notify the moderators. They will investigate your report and take appropriate action. If necessary, they report all illegal activity to the proper authorities.
Categories
100 character limit
Are you sure you want to delete this comment?

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.