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View Diary: Pres Obama Signs Bill Killing Anti-Corruption, Pro-Transparency STOCK Act Provisions (284 comments)

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  •  Jack 'Cayman Islands' Lew now instead of Turbo Tax (4+ / 0-)

    Timmy Geithner, but the name change obviously doesn't mean much and it obviously didn't matter that he had an account in the Cayman islands.
     Whether or not it is illegal it still should disqualify someone from heading the US Treasury and maybe (like John assassination czar Brennan) a couple of years ago he wouldn't have been considered but I think corruption in govt. is reaching new heights. I can't directly call many corrupt but if the cosmic betting window was open I'd bet everything I had and could borrow on the square saying there are very few people in all three brances of govt. that are not owned to one degree or another.

     ( for those possibly unaware he has been part of Obama's cabinet prior to his nomination)

    n Foreign Policy magazine in January 2012, Joshua Keating wrote that in reality Ugland is neither but “the building makes a mockery of the U.S. tax system.”

    Keating noted that the Caymans have no direct taxes, it only costs some $600 to set up a company address there – while the company does business around the world — and that “the Caymans also allow U.S. non-profit entities like pension funds and university endowments to invest in hedge funds without paying the ‘unrelated business income tax,’ which could be as high as 35 percent if those funds were based in the United States.”

    He also cited “concerns that the complexity and lack of transparency in Cayman Islands transactions can make tax evasion and money laundering easier, though,” he adds, “the vast majority of Cayman Islands transactions are entirely legal.” This is what the Internal Revenue Service euphemistically described to the GAO as “the Cayman Islands’ reputation for regulatory sophistication.”

    Wheels within wheels. One of the thousands of entities registered at Ugland House is Citigroup Venture Capital International, a private equity fund in which our new Treasury Secretary Jack Lew invested $56,000 while he was an executive at Citigroup. He sold the investment, at a loss, for $54,118 in 2009 when he joined the Obama administration.

    Asked at his Senate confirmation hearing whether he knew that Citigroup had a presence in the Caymans – 121 subsidiaries, in fact, including the fund in which he had invested — Lew professed, “I do not recall being aware of any particular Citigroup subsidiaries located in the Cayman Islands.”

    That may seem odd, given that, as Bloomberg News and others noted, Lew was managing director and chief operating officer of Citi Global Wealth Management, then moved in 2008 to Citi Alternative Investments, “which managed billions of dollars in private-equity and hedge-fund investments” — the kinds of deals that are as common in the Cayman Islands as piña coladas.

    without the ants the rainforest dies

    by aliasalias on Tue Apr 16, 2013 at 03:22:16 PM PDT

    [ Parent ]

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