Bank (UBS) kept 52,000 secret Swiss accounts for U.S. taxpayers, IRS says

[cal04]

IRS tries to force UBS to reveal U.S. tax dodgers
Bank kept 52,000 secret Swiss accounts for U.S. taxpayers, IRS says

http://www.marketwatch.com/news/story/UBS-kept-52000-secret-bank/story.aspx?guid=%7B1264AD62%2D1C52%2D4444%2D8398%2D6D2E6B08E1DE%7D&dist=hplatest

UBS AG kept as many as 52,000 secret Swiss bank accounts for U.S. taxpayers and the firm should turn over information on all of them, the Internal Revenue Service said Thursday.

UBS said it would fight the demand, citing Swiss financial privacy laws, U.S. law and an agreement the bank already has with the IRS.

UBS agreed on Wednesday to pay $780 million in fines and other payments for helping U.S. clients avoid paying taxes. Switzerland's largest bank and the country's financial regulator also agreed to turn over the identities and account information of some of these customers to the U.S. government.

The move is unprecedented for a country that's built its banking industry on privacy for centuries. In agreeing to reveal the identities of some account holders, Switzerland is walking a fine line.

"Switzerland's offshore private banking industry is trying to assure its foreign investors that the country still provides the same level of protection as before, while at the same time ordering UBS to disclose names to U.S. authorities," Alois Pirker, a senior analyst at consulting firm Aite Group, said.

[Donnachaidh]

1. 52K accounts, but only 250 names given up

Wonder who the sacrificial lambs are? WHY aren't we going after ALL of them? Who is UBS tossing to the wolves, and who are they covering up for?

[leftstreet]

2. Good point

Why the sacrificial lambs?

:shrug:

[LSparkle]

3. Yeah, and are they making exceptions for EMPLOYEES .. like Phil Gramm?

:argh:

[global1]

4. All 52,000 Of These Tax Cheats Should Be Exposed........

why only 250?

You know that there are a lot of people in the 52K that would be terribly embarrassed if their name was outed.

[kestrel91316]

5. That headline SHOULD read:

"Bank kept 52,000 secret Swiss accounts for U.S. tax EVADERS...."

[MineralMan]

6. Poor UBS....Poor Swiss Banks...

""Switzerland's offshore private banking industry is trying to assure its foreign investors that the country still provides the same level of protection as before, while at the same time ordering UBS to disclose names to U.S. authorities," Alois Pirker, a senior analyst at consulting firm Aite Group, said.""

So, UBS and the other banks have been enabling citizens of many countries to break the laws of their own countries by hiding assets. Ohhh....poor babies. Such a pity that they may have to come clean.

Today, it is reported that Switzerland, the nation, is on the verge of bankruptcy. More's the pity.

Perhaps the United States, along with some European countries, might just be able to put some pressure on Switzerland to offer a little help in breaking the cycle of illegal money hoarding. Perhaps we could help Switzerland with it's critical financial needs if they could help us with apprehending our lawbreakers.

Ya think?

At this point, I suggest that whoever's in charge of the banking industry here in the US might want to consider raiding all the UBS offices here and seizing all their records. Of course, the offices would have to be shut down for a time, despite the inconvenience that would be felt by the criminals here in accessing their illegally hidden assets.

So sad that Swiss Banks may have to give up sheltering assets of US criminals. My heart goes out to them. Truly it does.

[Incitatus]

7. How does their money get into these accounts in the first place?

Are they not transferred from American banks? Is this money from illegal activities that is smuggled out of the country and then deposited?

[MineralMan]

8. Well, you see...

UBS personal bankers are pleased to handle all transactions by their US customers. The utmost discretion is always used, you understand. It is none of UBS's business whether the funds are being legally transferred. It's UBS's policy to serve its customers in the most discreet way possible.

As you know, Swiss banks have the highest standards of privacy in the world. Your funds will be perfectly safe in our hands...away from the prying eyes of any government agencies. You see, we Swiss have laws protecting your privacy.

We believe you to be an honest person. It is your responsibility to follow the laws of your country, not ours. Wink, wink, nod, nod. I'll say no more.

[MineralMan]

9. Oh, yes, sir....we'd be happy to assist you in moving

funds from your business and personal accounts to your secure account with UBS. We have a number of firms established in Luxembourg, the Bahamas, and in other nations which will be happy to invoice you for any amount you wish. You may then wire payment to them, through us, with instructions to transfer the funds to your UBS account in Switzerland. If you wish, we can even arrange for you to establish your own corporation in one of these countries, allowing you to maintain total control of the transfers.

It's all quite simple for you, but most complex to outsiders who may take an interest in your assets. I see you understand my meaning, wink, wink, nod, nod, so I'll say no more.

[MineralMan]

10. May I introduce Mr. Clive Beamish. He is the CEO of

Beamish, Ltd., a wonderful consulting firm in the Bahamas. Surely you have an interest in expanding your firm into the ever-growing Caribbean economic community. Beamish, Ltd. will be happy to consult with your firm in any amount you wish, and can provide full reports on short notice. You may transfer funds from your open UBS account here to Mr. Beamish's account, where the funds will be dealt with according your consulting contract. Mr. Beamish deposits quite a few assets into our Bahamas Branch office, and we trust him absolutely.

The consulting reports you receive from Beamish, Ltd. will demonstrate fully your interest in expanding into that region, you see. A small fee, of course, of 2% of the assets will be required to cover expenses and for the documents and consulting reports.

The process is quite safe, discreet, and foolproof. As you know, Bahamian law prohibits any foreign government from accessing Bahamian company documents. You'll understand what I'm saying, I'm sure.

[satya]

11. The IRS should collect taxes and penalties on all 52K accts -- heckuva stimulus. nt

[MineralMan]

12. How about beginning prosecutions for tax evasion on all 52k,

then settling for seizing all the assets. Now, that would be a nice addition to funds needed to pay down some of the debt, I'd think.

The cases would be easily made, and the plea bargains should be easy, as well.

[satya]

13. That's even better! nt