Historic UBS case is model for US assault on offshore tax evasion, says former US prosecutor who led it

facebooktwittergoogle_plusredditlinkedinmail

In 2009, the US Justice Department revolutionized the pursuit of offshore tax evasion by bringing a historic criminal case against UBS, Switzerland’s largest bank. The financial giant was accused of conspiring to assist 52,000 American clients evade US taxes. UBS avoided prosecution and agreed to reveal the identity of 4,450 US customers. The IRS imposed a $780 million penalty, a minor sum compared to the UBS earnings from its tax-evading US customers. The case pierced Swiss bank secrecy for the first time and launched a US crackdown on offshore tax evasion by US persons.

Since then, the Justice Department has aggressively pursued tax evaders and Swiss financial institutions that entice them. It has targeted institutions like Credit Suisse and smaller private banks. Recent events suggest that many US tax evaders and other financial criminals are fleeing Switzerland, and that US enforcement efforts may be shifting to places like Hong Kong, Israel and Lichtenstein.

In this CrimeCast, ACFCS speaks with Jeffrey Neiman, the former federal prosecutor who handled the landmark case against UBS. He provides insight into the new Justice Department and IRS enforcement efforts against offshore tax evasion. Neiman gives practical lessons to financial institutions and enforcement agencies from his experience in the UBS case, and examines the changing focus of US efforts against banks for harboring tax evaders.


Lost password?

This content is accessible by ACFCS Members only.
If you are a member, please log in above.

To join now. Click here.

Audio for ACFCS Members Only.

5 replies

Trackbacks & Pingbacks

  1. URL says:

    … [Trackback]

    […] Informations on that Topic: acfcs.org/historic-ubs-case-is-model-for-us-assault-on-offshore-tax-evasion-says-former-us-prosecutor-who-led-it/ […]

  2. […] 2009, UBS agreed to hand over the names of 4,450 tax evaders to the IRS. The UBS case arguably “launched a US crackdown on offshore tax evasion by US persons.” […]

  3. […] found is increasing through information available to the IRS by tax treaties, information from whistleblowers and more revealing information by way of the Foreign Account Tax Compliance Act (FATCA), which […]

  4. […] 2009, UBS agreed to hand over the names of 4,450 tax evaders to the IRS. The UBS case arguably “launched a US crackdown on offshore tax evasion by US persons.” […]

  5. […] they went after UBS, the Swiss banking giant, for helping some 52,000 wealthy Americans conceal income from the IRS. To avoid criminal charges, the firm caved, and agreed to reveal information on 4,450 […]

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply