Catalogue of malpractice endorsed by bankers laid bare in HSBC files | Business | The Guardian

HSBC global locations

HSBC global locations (Photo credit: Wikipedia)

Here an amazing story of where the Swiss branch of major international bank, HSBC, helped wealthy clients hide secret bank accounts from the tax authorities. It’s a must-read. Check it out!

Catalogue of malpractice endorsed by bankers laid bare in HSBC files | Business | The Guardian.

The article highlights case after case where wealthy families have been helped to hide their cash.

Many of the of the examples are related to the UK. Despite the overwhelming evidence, few people have been prosecuted and gone to jail in the UK. The UK tax authorities, HMRC, have preferred to exact massive penalties for tax evasion.

Clearly, there’s something wrong when the wealthy are able to avoid custodial jail sentences and just offer up money in a settlement.

Let me illustrate the extremes of banking regulation. These days, when ordinary people in the UK want to take out a mortgage to buy a home, they are embarrassingly forced to explain almost every pound of their house-hold budget.

This leads me to an open question:

Why is there seemingly one law for the privileged and wealthy and another for ordinary people?


One response

  1. Dr Alf poses an old age question to which the answer is it has always been like that going back more than 1000 years in this country.
    The “law” is a device for maintaining a social order which suits those at the top and those who can buy themselves access to good lawyers who can work the system.
    There is no “seem” or “alleged ” about it and it will not change any time soon.
    Vodaphone has avoided £8 billion gbp in taxes thanks to the assistance of Dave Hartnett the former CEO of HMRC who now works for Deloittes and most of the UK high street and the Times 1000 all pay a lot less than the official rate of tax.
    90% of the wealth of the UK has lain offshore for years and in the last financial crisis the wealth of the top 0.25% of the UK’s citizens and residents doubled whilst everyone else became poorer
    Even the Guardian which claims to be a left wing newspaper ,is run by Oxbridge graduates and its parent company Guardian Media Services uses the same complex tax structure as the one which the disgraced Tesc PLC has been using for years.
    The rest of the population have to learn to think for themselves and take action for themselves by trying to create no hostages to fortune or taking unnecessary risks.
    They to quote Sun Tzu must be “Extremely secretive,moving across the earth without form even to the point of soundlessness”.
    That means mind your own business,work smart,keep your own counsel,believe that which you can verify for yourself,watch what people do,listen to the things which people leave out of their conversations more than the words they leave in,apply commonsense to the pronouncements of politicians ,plutocrats,the “great and the good” and expect whatever justice and equity you can afford but no more.

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