Money laundering
“Panama Papers” trial: Public prosecutor demands twelve years in prison for the firm’s founders
After the “Panama Papers” revealed, the law firm founders Mossack and Fonseca alleged that they had illegally received and transferred funds from Germany and Argentina
© Alejandro Bolivar / DPA
The Mossack-Fonseca law firm is said to have hidden assets from the tax authorities for celebrities, politicians and athletes, according to an analysis of 11.5 million leaked documents. Now its founders are on trial.
In the “Panama Papers” trial for tax avoidance and money laundering through letterbox companies in tax havens, the public prosecutor in Panama has demanded twelve years in prison for the founders of the now defunct law firm Mossack-Fonseca. Prosecutor Isis Soto on Wednesday called for the maximum sentence for money laundering to be imposed on Jürgen Mossack and Ramón Fonseca Mora, which in the Central American country is twelve years.
According to Soto, both are also accused of concealing, covering up and passing on false information to banks to open accounts, as well as concealing the ownership of assets. Mossack and Fonseca received and transferred funds “from unlawful activities in Germany and Argentina,” Soto continued.
International research team revealed “Panama Papers”
The trial with more than two dozen other defendants began last week. Mossack initially denied any responsibility.
An international research team from the “Süddeutsche Zeitung” published its findings on the scandal under the title “Panama Papers” in April 2016. The research, which was based on the analysis of 11.5 million documents from the law firm, revealed, among other things, the names of celebrities, politicians and athletes who are said to have hidden assets from the tax authorities.
The publications led to investigations around the world and a debate about tax havens and money laundering. As a result, Icelandic Prime Minister Sigmundur David Gunnlaugsson and Pakistani Prime Minister Nawaz Sharif resigned from their positions.
Former British Prime Minister David Cameron and soccer star Lionel Messi were also listed in the documents. Former Argentine President Mauricio Macri and Spanish filmmaker Pedro Almodóvar are also said to have been involved in the scandal. Der Spiegel cites estimates that more than $1.3 billion in fines and taxes were collected after the publication of the Panama Papers.