'A mockery': how offshore tax havens are thwarting the UK’s transparency push
Critics say ownership registers are too costly and too complicated, scuppering attempts to expose alleged money laundering
TL;DR
- Offshore jurisdictions like the Cayman Islands and British Virgin Islands have implemented corporate transparency measures, but critics argue they are too costly and complicated.
- Accessing ownership information requires proving a "legitimate interest" and involves fees and lengthy application processes, with potential delays and exemptions.
- Transparency campaigners highlight issues such as subjects of inquiry being informed of the questions asked and significant delays in receiving replies.
- High-profile cases, including the 1MDB scandal and funding for Chelsea FC, demonstrate the role of these havens in illicit finance.
- Despite promises of transparency, campaigners believe the current registers are an "interim step" and that fully public registers are needed.
- UK officials are in a tense dispute with offshore outposts over the pace and effectiveness of transparency reforms.
- Spokespeople for the Cayman Islands and BVI defend their regimes, stating they offer transparency alongside privacy and align with international standards, while tax and criminal authorities already have full access.