Why white-collar criminals evade justice

“Why White Collar Crime Is Here to Stay” – Bloomberg reports on a new book by ENRON investigator Samuel Buell.

If “corporations are people too,” why isn’t anyone in jail? The former head of the Enron Corp. Task Force explains why it’s so difficult to convict companies and their executives.

Opening up shell companies

The Economist reports on efforts to make ‘offshore’ less synonymous with corruption and tax evasion.

  “Tracing illicit funds to a shell’s bank account is of little use if you cannot identify the individuals who control it. This worries business people as well as policymakers: a recent survey of corporate leaders in 62 countries by EY, an accounting firm, found strong support for more openness in ownership; legitimate firms want to know whom they are trading with.”

The article concludes that in spite of the attention afforded offshore havens via the blanket coverage of the Panama Papers and others, there is little hope for a full, open register of such entities any time soon, and we’re inclined to agree.

Battling shell companies – an unlikely hero

Elliott Management’s ‘vulture fund’ has emerged as an unlikely hero in the crusade against shell companies secrecy. Chasing several billion owed it by the Argentinian government, Elliott has for over a year been piecing together an elaborate web of fraudulent transactions and shadow corporations and, writes The Economist, is nearing a conclusion that might help lift the lid on global financial secrecy and corruption.

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