Stress levels rise over tax avoidance
(23 March 2010 – Europe) Credit Suisse has said it is restricting bankers' travel to Germany after authorities there launched an investigation against the bank's clients for tax avoidance; also announcing they would be investigating the bank’s staff on suspicion of aiding evasion.
The bank already has restrictions on travel in place and now these are being applied very strictly in the case of Germany, a Credit Suisse spokesman told Reuters on Sunday.
The spokesman added that the bank has had no further contact with the German authorities and cannot comment any further matter.
The German state, North Rhine-Westphalia, brought a stolen CD with information about the investment bank’s clients on it, prompting an investigation into tax avoidance.
Germany's willingness to buy stolen bank data has increased the pressure on Switzerland's large private banking industry and stirred emotions in both countries.
Germans hold an estimated €200 billion (A$295 billion) in undeclared funds in Switzerland, Reuters reported.
Former German finance Hans Eichel called for Credit Suisse's German banking licence to be revoked if its bankers were found to have helped German clients evade taxes, Swiss paper SonntagsBlick reported.
If a company does not respect the laws of the land, it cannot operate here, Mr Eichel added.
The United States already made this clear in the case of UBS. Germany has not acted as tough as this so far, but in view of the scale of the problem, this is what Germany will have to do, Mr Eichel noted.
The spokesman added that the bank has had no further contact with the German authorities and cannot comment any further matter.
The German state, North Rhine-Westphalia, brought a stolen CD with information about the investment bank’s clients on it, prompting an investigation into tax avoidance.
Germany's willingness to buy stolen bank data has increased the pressure on Switzerland's large private banking industry and stirred emotions in both countries.
Germans hold an estimated €200 billion (A$295 billion) in undeclared funds in Switzerland, Reuters reported.
Former German finance Hans Eichel called for Credit Suisse's German banking licence to be revoked if its bankers were found to have helped German clients evade taxes, Swiss paper SonntagsBlick reported.
If a company does not respect the laws of the land, it cannot operate here, Mr Eichel added.
The United States already made this clear in the case of UBS. Germany has not acted as tough as this so far, but in view of the scale of the problem, this is what Germany will have to do, Mr Eichel noted.
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