Moneycontrol
you are here: HomeNewsWorld
Apr 20, 2017 12:37 PM IST | Source: Moneycontrol.com

Panamagate verdict: As Nawaz Sharif's fate is to be decided, a recap of the leak

The Panama Papers revealed how a global industry of law firms and big banks sells financial secrecy to politicians, fraudsters and drug traffickers as well as billionaires, celebrities and sports stars.

Panamagate verdict: As Nawaz Sharif's fate is to be decided, a recap of the leak

Moneycontrol News

The Pakistan Supreme Court will announce its verdict on the high profile Panamagate case involving the country’s Prime Minister Nawaz Sharif and his children.

On April 3, 2016, the International Consortium of Investigative Journalists (ICIJ) released details it received through 11.5 million leaked files – later dubbed as the Panama Papers --  to expose the offshore holdings of world political leaders, links to global scandals, and details of the hidden financial dealings of fraudsters, drug traffickers, billionaires, celebrities, sports stars and more.

In the data received, one of Pakistan’s richest families name also surfaced. Nawaz Sharif’s, including three of his four children – Mariam, Hasan and Hussain – were engulfed in controversy over their riches from a network of businesses that includes steel, sugar and paper mills and extensive international property holdings.

The files analysed by ICIJ reveal the offshore holdings of 140 politicians and public officials from around the world.

Right after the release, Iceland’s Prime Minister Sigmundur Davíð Gunnlaugsson resigned as it was revealed that his family had sheltered money offshore.

Since the leak around a year ago, almost 80 different countries have launched around 150 audits, investigations, prosecutions and arrests.

The Panama Papers revealed how a global industry of law firms and big banks sells financial secrecy to politicians, fraudsters and drug traffickers as well as billionaires, celebrities and sports stars.

The files included 33 people and companies blacklisted by the US government because of evidence that they’d been involved in wrongdoing, such as doing business with Mexican drug lords, terrorist organizations like Hezbollah or rogue nations like North Korea and Iran.

One of those companies supplied fuel for the aircraft that the Syrian government used to bomb and kill thousands of its own citizens.

Scenario in India

Many names from India also surfaced, which included Bollywood stars, businessmen and politicians.

Liquor baron Vijay Mallya, actor Ajay Devgn, former president of the Lok Satta Party Delhi Branch Anurag Kejriwal were a few names in a huge list 1,900 persons of Indian origin, suspected to hold undisclosed foreign assets.

The list of 1,900 is in addition to over 400 individuals already being examined by the I-T Department.

Recently, the Supreme Court of India asked the government whether a Special Investigation Team (SIT) should be constituted to probe the offshore accounts of Indians revealed in the Panama paper leaks.

Many of these offshore shell companies may be shut now but this won’t stop the I-T department to penalize those found guilty as the stringent Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015, as provided in Section 48 will still hold.

ICIJ disclaimer: There are legitimate uses for offshore companies and trusts. We do not intend to suggest or imply that any persons, companies or other entities included in the ICIJ Offshore Leaks Database have broken the law or otherwise acted improperly.
Sections
Follow us on
Available On