Sunday, 6 February 2011

We would love to stop this but we can't (don't want to)

Every once in a while there is a story about tax havens and how the money is disappearing into them. There will be a public outcry, some spokesman will say that they will shut it down, and then all goes back to normal. It would often be cited that they would like to do something about it back they can't because the tax havens are under their own sovereignty. That is of course not the whole story. Most tax havens are controlled by larger counties for the purposes of politicians and the elites to hide their money. Further more like in the case of UK's Cayman Islands these offshore states are used to siphon out money from USA and South American Countries. Often that money comes from organised criminals.

This subject is far too large to discuss in this blog and if you want to find out more I would strongly recommend Treasure Islands: Tax Havens and The Men who Stole the World by Nicholas Shaxson.

I will leave you with this; A Caymanian lawyer in the 1970s explained how his clients would worry about Fidel Castro's Cuba next door and would insist on special clauses to compensate them if Castro invaded. 'I have to explain that Castro wouldn't find any [money] in the safe,' he said. 'They're all really held in New York or London.'

22 comments:

  1. Corruption is a virus, on both ends of the haves and have nots.

    ReplyDelete
  2. I'm not so black and white about it. Corruption is built into our capitalism system.

    That means that those that are corrupt are using the system efficiently and those that aren't are the ones keeping them self behind

    ReplyDelete
  3. Nice, a blog that reminds us of what's really going on in the world. Followed.

    ReplyDelete
  4. I agree with the second comment. Corruption is indeed a virus.

    ReplyDelete
  5. great blog following
    http://GADAFINY.blogspot.com
    http://gadafiny-club.blogspot.com/

    ReplyDelete
  6. its a far cry from what we can actually do to stop all the insanity. Maybe someday it'll all be different

    ReplyDelete
  7. corruption: a virus that cant be cured

    ReplyDelete
  8. Yep corruption is bad but what are you gonna do about it? Can't just take it all on by yourself when they're so much bigger.

    ReplyDelete
  9. I agree about corruption being a virus.

    ReplyDelete
  10. hey, nice blog! i will follow!
    check out mine, too!

    ReplyDelete
  11. Intersting post, great food for thought.

    ReplyDelete
  12. not just those countries but in canada too.

    ReplyDelete
  13. Awesome post man, definitely gonna follow your blog. Some great thoughts and info being shared

    ReplyDelete
  14. Looking forward to following your blog and hearing more on these topics.

    http://gnarlyweather.blogspot.com/

    ReplyDelete
  15. Intense post, really enjoyed reading it.

    Following for interest.

    ReplyDelete
  16. Interesting read. Good post. Following for more post.

    ReplyDelete
  17. It's kinda weird to me how organised criminals actually use the law to help themselves lol

    ReplyDelete
  18. I'm pretty sure that if any of us could make millions of dollars a year by sending it to a tax haven then we would. I know I would in a heartbeat.

    ReplyDelete