Saturday, February 11, 2012

Swiss Bank Stands Up to DOJ

Business Week reports:
The Justice Department is calling Switzerland's largest private bank a fugitive from justice after it didn't show up for a court hearing in New York.

The bank was indicted on Feb. 2. Since then, U.S. officials haven't found a way to move the case forward.

Wegelin & Co. is charged with conspiring with American clients to hide $1.2 billion from the Internal Revenue Service.

In a statement issued in Switzerland after the court hearing, the bank said it had not been properly served with the criminal summons. It said it was therefore under no obligation to appear in court. As for the charges, the bank suggested that there was a conflict between US and Swiss law.

The bank was summoned to appear before a federal judge at 3 p.m. Friday, but no one showed.
As I have pointed out before, the late Harry Browne always said it would be the private Swiss banks with no assets in the United States that would stand up to the U.S. government and protect their clients confidentiality.

This could get interesting. The U.S. government doesn't like being dissed. The pressure on Wegelin to roll is going to be enormous.

5 comments:

  1. didn't obama just not show up for some court hearing in GA?

    is he now a fugitive from justice too?

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  2. They weren't properly served with a summons. The idea that they are fugitives is ludicrous.

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  3. I support Wegelin. The US DOJ case is shameful.

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  4. Whether Wegelin rolls depends on to whom the $1.2B belongs...

    ReplyDelete