Bloomberg is reporting that since the day in February that UBS coughed up 300 client names to the US government in a tax evasion investigation, the Swiss bankers and their clients are quaking in their boots.
The decision marked the first time Switzerland lifted its banking secrecy laws, allowing UBS to pass on client data to avoid U.S. criminal charges.
It’s about f@#$in’ time.
“That’s de facto abolishing banking secrecy,” said Regula Staempfli, a Swiss political scientist in Brussels.
Oh no! No more bank secrecy? How will the Arafats and Mugabes of the world hide the hundreds of millions they steal from IMF and UN aid programs? How will heroin exporters and arms dealers manage their checking accounts? This is awful!
Switzerland can’t ignore U.S. demands because UBS and Credit Suisse Group AG earned more revenue in the Americas from 2004 to 2007 than they did in their home market, company reports show.
Well, that’s the trade-off then. If Credit Suisse and UBS want to play their “Wealth Management” game stateside, then they can’t help U.S. citizens cheat on their taxes when engaged in cross-border business. There’s the choice they need to to make. What’s it gonna be, Hans?
Full Story: Swiss Suffer Secrecy Loss (Bloomberg)
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Full Disclosure: I have no positions long or short in either CSB or UBS