Tuesday, January 19, 2010

How Big is the Rudolf Elmer Problem for Bank Julius Baer?

Investigative reporter Lucy Komisar sends me an email pointing out her work on the story:
The whistleblower, Rudolf Elmer, 53, a German, was chief operating officer of Julius Baer Bank & Trust Company (JBBT), Caymans, at 212,000 dollars a year and served on the [Baer Select Management] BSM board from 1999 to November 2002. [Julius Baer Investment Management] JBIM paid fees to BSM to “manage” its investments. Elmer told IPS that JBIM moved to BSM profits it should have reported to the U.S. Internal Revenue Service.

JBIM is now called Artio Global Investors. It manages 72 billion dollars in assets. It has some 900 institutional clients, including corporations, pension funds, endowments and foundations and major financial institutions as well as more than 700,000 mutual fund shareholders.
Read Komisar's full report here.


  1. Perhaps there was a good reason for firing him. Ona has to be a hopeless idiot to publicly mess with people who routinely pump billions through swiss banks and offshores. One has to think for just a moment, take their point of view: what would it cost them to fix this unfortunate problem? There would be no place on Earth, or in near space for that matter, to hide from an inevitable "suicide", a "mysterious disappearance", or at the very least a "tragic car accident". Or may be he actually is suicidal.

  2. Sorry, you got it wrong. It appear Julius Baer seems to be sucidal due to the fact that such simple guy could make such a storm in the banking world.

  3. For the first comment made: There are two types of idiots. Those that do something (or not) because they have been threatened, and those who threaten in order to achieve favorable action (or inertia) to them.