- "In the DPA and related court documents, Mizrahi-Tefahot admitted that from 2002 until 2012 the actions of its bankers, relationship managers, and other employees defrauded the United States and specifically the Internal Revenue Service (IRS) with respect to taxes by conspiring with U.S. taxpayer-customers and others. Mizrahi-Tefahot employees’ acts of opening and maintaining bank accounts in Israel and elsewhere around the world and violating Mizrahi-Tefahot’s Qualified Intermediary Agreement (QI Agreement) with the IRS enabled U.S. taxpayers to hide income and assets from the IRS." [This apparently is the defraud / Klein conspiracy.]
- Mizrahi admits the standard range of conduct by foreign banks playing in this field.
- "The DPA also requires Mizrahi-Tefahot and its subsidiaries affirmatively to disclose certain material information it may later uncover regarding U.S.-related accounts, as well as to disclose certain information consistent with the Department’s Swiss Bank Program with respect to accounts closed between Jan. 1, 2009, and October 2017." [For that reason, I have included Mizrahi in the Category 1 for the DOJ Swiss Bank Program; Mizrahi is not technically within the program but did have a Swiss subsidiary.]
- Mizrahi will pay $195 million total, consisting of "1) restitution in the amount of $53 million, representing the approximate unpaid pecuniary loss to the United States as a result of the criminal conduct; 2) disgorgement in the amount of $24 million, representing the approximate gross fees paid to the bank by U.S. taxpayers with undeclared accounts at the bank from 2002 through 2012; and 3) a fine of $118 million."
US DOJ Swiss Bank Program
|
Number
|
Resolved
|
Total Costs
|
U.S. / Swiss Bank
Initiative Category 1 (Criminal Inv.) *
|
19
|
9
|
$4,376,733,560
|
U.S. / Swiss Bank
Initiative Category 2
|
87
|
81
|
$1,368,983,990
|
U.S. / Swiss Bank
Initiative Category 3
|
13
|
$0
|
|
U.S. / Swiss Bank
Initiative Category 4
|
8
|
$0
|
|
Swiss Bank Program Results
|
127
|
$5,745,717,550
|
|
* Number and Number Resolved may not be same as DOJ and IRS
numbers because of how related entities were counted; the Total Costs Column
should be consistent.
|
|||
Recoveries from Swiss Financial and Related Institutions (per
above)
|
$5,745,717,550
|
||
Recoveries from NonSwiss Offshore Financial and Related
Institutions
|
$298,770,542
|
||
Recoveries from All Offshore Financial and Related Institutions
|
$6,044,488,092
|
||
No comments:
Post a Comment
Comments are moderated. Jack Townsend will review and approve comments only to make sure the comments are appropriate. Although comments can be made anonymously, please identify yourself (either by real name or pseudonymn) so that, over a few comments, readers will be able to better judge whether to read the comments and respond to the comments.