Mailing Blunder Leads to Tax Busts

March 15, 2013 Taxation in SwitzerlandTaxation in USA

Mail Blunder Leads to Tax BustsWASHINGTON D.C. – A simple mailing error made by a financial adviser has led to the discovery of nearly USD 184 million worth of assets hidden in Swiss bank accounts.

Early last week at a press conference following the sentencing of the convicted tax evader Jacques Wajsfelner, the Assistant US Attorney Dan Levy revealed that a filing mistake made by the Swiss financial adviser Beda Singenberger has directly led to the prosecution of several US based tax evaders, and this oversight could further lead to the investigation and prosecution of several more US taxpayers who hid their wealth from the Internal Revenue Service.

According to the Dan Levy, Beda Singenberger was sending a package of documents to an individual in the USA, but accidentally also included a full list of all of his US client.

The mistakenly sent document contained extensive details on 60 of the adviser’s US based clients, along with some information on the extent and nature of their hidden wealth.

Dan Levy stated that the “…government has mined that list to great effect and prosecuted a number of people who were on that list”, and he added that as it usually is difficult for investigators to track down details of taxpayers using Swiss bank accounts to hide their wealth, the erroneously acquired list is the only reason that some of these taxpayers were discovered in the first place.

Commenting on the repercussion of the simple mistake, Jeffrey Denner, the defense lawyer of Jacques Wajsfelner, said that the handling error has “put a lot of people in the frying pan”.

It is estimated that the 60 individuals named in Beda Singenberger’s files have hidden a cumulative USD 184 million from US authorities over the last 11 years.

Photo by HowardLake