Bank Leumi recently agreed to pay $270 million to the IRS for knowingly and willfully aiding and assisting in the preparation of false income tax returns for its clients and by hiding income and assets in offshore bank accounts.
It was found that Bank Leumi Group’s senior bankers, compliance officers and legal staff knew of the bank’s wrongful conduct and, rather than reporting the bad conduct to the bank’s regulators, actively supported it.
As part of the agreement, the bank must fire the head of Bank Leumi Trust and must submit a written plan to improve its compliance programs in the United States. The investigation also led to the resignation of two individuals that played an essential role in the bank’s improper conduct.
If you were advised on your taxes by Bank Leumi representatives, you might consider having your tax returns double checked. Bank Leumi has already provided the names of more than 1,500 of its U.S. account holders and will continue to disclose information.
It sounds to us that the bank actually got off light. What do you think?
If you were advised by your bank on how to hide offshore assets, give us a call. We can help!