London: The police officials raided the Mossack Fonseca law firm in Panama city ‘without incident or interference’ and revealed how the world’s wealthy and powerful used offshore companies to stash assets.
The Panama Papers, centered on a huge cache of documents pilfered digitally from the Mossack Fonseca, had repercussions around the world, reports The Guardian.
The leaked ‘ Panama Papers’ have shown how some wealthy people use offshore firms to evade tax and avoid sanctions.
However, the firm has denied any wrongdoing and said that information is being misrepresented.
Panama’s government promised an investigation soon after news reports emerged more than a week ago based on more than 11 million documents from the firm.
Iceland’s Prime Minister Sigurður Ingi Johannsson was forced to resign after his name appeared as one of the beneficiaries of an offshore company. Britain’s Prime Minister David Cameron had to disclose his tax records, reports
Russian President Vladimir Putin has sought to divert attention from his entourage by claiming it is all a US plot against him.
The wealthy citizens in Australia, France, India, Mexico, Peru, Spain and elsewhere face probes over suspected tax avoidance after their names figured in some of the 11.5 million documents.
Panamanian President Juan Carlos Varela has promised to work with other countries to improve transparency in its offshore financial industry.