This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-20907359
The article has changed 14 times. There is an RSS feed of changes available.
| Version 1 | Version 2 |
|---|---|
| Swiss bank Wegelin to close after US tax evasion fine | Swiss bank Wegelin to close after US tax evasion fine |
| (about 1 hour later) | |
| Switzerland's oldest bank is to close permanently after pleading guilty in a New York court to helping Americans evade their taxes. | Switzerland's oldest bank is to close permanently after pleading guilty in a New York court to helping Americans evade their taxes. |
| Wegelin, which was established in 1741, has also agreed to pay $57.8m (£36m; 44m euros) in fines to US authorities. | Wegelin, which was established in 1741, has also agreed to pay $57.8m (£36m; 44m euros) in fines to US authorities. |
| It said that once this was completed, it "will cease to operate as a bank". | It said that once this was completed, it "will cease to operate as a bank". |
| The bank had admitted to allowing more than 100 American citizens to hide $1.2bn from the Internal Revenue Service for almost 10 years. | |
| Wegelin, based in the small Swiss town of St Gallen, becomes the first foreign bank to plead guilty to tax evasion charges in the US. | Wegelin, based in the small Swiss town of St Gallen, becomes the first foreign bank to plead guilty to tax evasion charges in the US. |
| Other Swiss banks have in recent years moved to prevent US citizens from opening offshore accounts. | Other Swiss banks have in recent years moved to prevent US citizens from opening offshore accounts. |
| US Attorney Preet Bharara said: "The bank wilfully and aggressively jumped in to fill a void that was left when other Swiss banks abandoned the practice due to pressure from US law enforcement." | US Attorney Preet Bharara said: "The bank wilfully and aggressively jumped in to fill a void that was left when other Swiss banks abandoned the practice due to pressure from US law enforcement." |
| He added that it was a "watershed moment in our efforts to hold to account both the individuals and the banks - wherever they may be in the world - who are engaging in unlawful conduct that deprives the US Treasury of billions of dollars of tax revenue". | He added that it was a "watershed moment in our efforts to hold to account both the individuals and the banks - wherever they may be in the world - who are engaging in unlawful conduct that deprives the US Treasury of billions of dollars of tax revenue". |
| Otto Bruderer, a managing partner at the bank, said it was aware that its previous conduct had been "wrong". | Otto Bruderer, a managing partner at the bank, said it was aware that its previous conduct had been "wrong". |
| 'Aggressively pursuing' | 'Aggressively pursuing' |
| After Wegelin was first indicted by US authorities in February last year, it was declared a fugitive from justice when its executives failed to appear in a US court. | After Wegelin was first indicted by US authorities in February last year, it was declared a fugitive from justice when its executives failed to appear in a US court. |
| The bank had vowed to fight the charges, claiming that because it only had branches in Switzerland, it was bound only by its home country's relaxed banking laws. | The bank had vowed to fight the charges, claiming that because it only had branches in Switzerland, it was bound only by its home country's relaxed banking laws. |
| Jeffrey Neiman, a former US federal prosecutor who was involved in a previous investigation into Swiss banks, said: "It is unclear whether the bank was required to turn over American client names who held secret Swiss bank accounts. | Jeffrey Neiman, a former US federal prosecutor who was involved in a previous investigation into Swiss banks, said: "It is unclear whether the bank was required to turn over American client names who held secret Swiss bank accounts. |
| "What is clear is that the Justice Department is aggressively pursuing foreign banks who have helped Americans commit overseas tax evasion." | "What is clear is that the Justice Department is aggressively pursuing foreign banks who have helped Americans commit overseas tax evasion." |
| It remains to be seen whether US authorities will continue with, or drop, parallel charges against three Wegelin bankers, Michael Berlinka, Urs Frei and Roger Keller. | It remains to be seen whether US authorities will continue with, or drop, parallel charges against three Wegelin bankers, Michael Berlinka, Urs Frei and Roger Keller. |