Having become a real tax haven, the world’s leading economic power has finally decided to seriously fight against shell companies and money laundering, according to several media.
The American Minister of Finance has said it herself: “It can be argued that the best place to hide and launder illicit earnings right now is in the United States.” A reality that the Pandora Papers had brought to light.
That is why the Financial Times greet Janet Yellen’s desire at the US Democracy Summit last week to take a more active role in combating corruption and money laundering. “Biden goes after the kleptocrats”, also title the American magazine Foreign Policy, writing that “The United States is finally taking strong measures to close the legislative loopholes that make it a haven for money laundering”.
It’s not just an announcement effect, says the Financial Times. A Corporate Transparency Act was passed in January 2021, “Too rare example of relative cooperation between the two parties”, notes the British newspaper. Once applied, it should put an end to anonymous front companies. The Ministry of Finance issued the equivalent of an implementing decree, which shows that it “Takes the subject really seriously”.
Fund against kleptocracy
The fight is being waged on other fronts, adds the daily. Janet Yellen has initiated a public consultation on of measures aimed at preventing money laundering in the real estate market.
It also announced an ‘anti-leptocracy fund’ to reward and finance those who expose corrupt foreign actors seeking to take advantage of the US financial system. ”
These measures must be further strengthened and effectively applied, underlines the Financial Times. They nevertheless deserve to be applauded, concludes the newspaper, because financial corruption feeds populism and eats away at democracy.
–
