Swiss banks appear to be ready to settle a far-reaching investigation by paying billions of dollars and turning over to U.S. authorities the names of thousands of American tax-evaders, according to a report in Bloomberg.
“U.S. and Swiss officials are concluding negotiations on a civil settlement amid U.S. criminal probes of 11 financial institutions, including Credit Suisse Group AG, suspected of helping American clients hide money from the Internal Revenue Service, according to five people with knowledge of the talks who declined to speak publicly because they are confidential,” Bloomberg said.
The level of detail and specificity cited in the Bloomberg report suggests that major developments in the investigation may be imminent. It has been known for months that a major inquiry into Swiss banking activities was under way, as Main Justice reported. Earlier this year, the Swiss reached accords with Germany and the United Kingdom.
“The Swiss would like to get out of this by paying money, and they’ve done that with other countries,” tax attorney H. David Rosenbloom of Washington’s Caplin & Drysdale, who is not involved in the talks, told Bloomberg. “For the U.S., it’s not primarily a money question. It’s a matter of making sure the laws apply fairly among taxpayers.”
For the moment, Swiss bankers seem intent on preserving their image of buttoned-down discretion (or cynical secrecy, depending on one’s perspective) involving money. And several thousand Americans may be trying to keep their composure as they dial their lawyers.
