The Panama papers and further leaks have revealed that money laundering and tax evasion are high on the political agenda, often going hand in hand. Offshore centres are seen as playing a critical role in the hiding of illicit activities and criminal property. Governments have sought to combat money laundering and tax evasion in a number of ways, whether this is by increasing the compliance burden onto so called “facilitators”, such as banks, lawyers, notaries, real estate agents etc., to police their own clients, or by increased criminal sanctions for individuals and/or corporates involved in potential
wrongdoing.
Whilst increased regulation of traditional monies and transactions is on the rise, cryptocurrencies appear to leave open a potential loophole. How are governments responding to this potential additional threat?
What are the potential ramifications of all these measures on the legal profession, on our clients and on businesses?
