The
Pandora Papers
The wealthy and powerful live a life outside of the view
of the average citizen.
It
is a state of existence that is no longer constantly
controversial but neither is it necessarily accepted by
all.
The
delicate balance is upheld by secrecy and wealth that
can usually conceal whatever becomes unintentionally
revealed.
In
2021 the disclosure of the Pandora Papers tipped the
precarious balance.
Hundreds of investigative journalists from around the
world and from the most popular news agencies such as
the ABC, Washington Post and the BBC worked through the
International Consortium of Investigative Journalists (ICIJ)
on the investigation to reveal one of the biggest data
leaks in history.
The
papers showed how the wealthy and powerful were
continuing to use
offshore tax havens to hide their
ownership of assets and stash their cash in what can
aptly be described as a parallel economy.
The wealthy are able to use offshore territories to set
up companies and take advantage of laws that make it
easy to conceal their identity as owners of these
companies, which means that they can evade taxes of
those assets in their own countries and also take
advantage of lower tax laws available in these offshore
territories.
The information revealed from the investigation spanned
several countries including the United States,
Australia, Singapore and Russia.
It
also spans several industries, including the oil
industry, government agencies, and even farming.
The
papers also contained some shocking revelations that
implicated banking executives and a few world leaders.
It tells a tale of embezzlement, money laundering of
millions of dollars and tax evasion.
The
nature of these crimes means that there is a complex web
behind the scenes that is difficult to unravel.
It
is even difficult for governments because so many
countries are involved and the regulatory laws simply do
not cover every scenario in which the perpetrators will
operate.
The papers are proof that even unknowing accountants,
lawyers and other professionals can unwittingly get
caught up in even assisting the perpetrators.
However, they also prove that the very individuals who
benefit from these illegal acts are also the ones who
could prevent it.
Naturally, it would not be in their personal interest to
have everything arranged legally as it should be.
If you are interested in global financial topics and
getting a peek into the unseen economy then this feature
will be interesting for you.
Source
