Rahn & Bodmer, Zurich Switzerland’s oldest private bank, will pay $22 million to the U.S. government for conspiring to help U.S. account holders file false federal tax returns and defraud the IRS hiding hundreds of millions of dollars offshore. Rahn & Bodmer helped U.S. account holders file false federal tax returns and commit tax evasion by holding undeclared amounts for about 340 people who didn’t report $16.4 million in U.S. taxes, according to the U.S. Department of Justice. The bank helped about 135 clients by opening what are called numbered accounts for which the bank agreed not to identify people by name on the bank document and understood their U.S. clients sought this to evade detection by U.S. tax authorities, the DOJ said.
According to the statement of facts, Rahn & Bodmer was founded in 1750 and is now a partnership that consists of five general partners along with limited partners and had employed approximately 183 people. The bank acknowledged that it maintained accounts for 174 U.S. taxpayer accounts in other types of legal entities, such as non-U.S. corporations, foundations and trusts that solely existed to help clients hide offshore assets from U.S. tax authorities, the agreement said. Rahn & Bodmer also agreed to hold bank statements and other mail in Switzerland for about 92 people who lived in the U.S. and did not send them the mail to ensure documents that showed the existence of the offshore accounts stayed outside the U.S., according to the agreement.
JEFFREY NEWMAN REPRESENTS WHISTLEBLOWERS NATIONWIDE AND IN OTHER COUNTRIES. FUNDS HELD BY U.S. CITIZENS ABROAD MUST BE REPORTED TO THE U.S. GOVERNMENT. MR. NEWMAN CAN BE REACHED AT jeff@jeffnewmanlaw.com or BY CALLING 978-880-4758
