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Bitcoin Skeptic Peter Schiff’s Bank Investigated for Allegedly Serving Top Criminals

Summary:
Peter Schiff may hate Bitcoin for having no value and being the money of criminals. Still, his bank Euro Pacific Capital is not without its sins either. A joint investigation by the tax authorities of Australia, the Netherlands, Canada, the United Kingdom, and the United States has Peter Schiff’s bank targeted for allegedly facilitating tax evasion and offering its services to known multinational top criminals. Screenshot of Euro Pacific Capital’s main site, with a picture of Peter Schiff. Image: Euro Pacific CapitalPeter Schiff’s Bank is Under The Scope of Tax Agencies The joint operation is codenamed “Atlantis” and began sometime after the scandal of the Panama Papers, exposing how criminals and tax evaders use legal loopholes to evade taxes, generating damages in the

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Peter Schiff may hate Bitcoin for having no value and being the money of criminals. Still, his bank Euro Pacific Capital is not without its sins either.

A joint investigation by the tax authorities of Australia, the Netherlands, Canada, the United Kingdom, and the United States has Peter Schiff’s bank targeted for allegedly facilitating tax evasion and offering its services to known multinational top criminals.

Bitcoin Skeptic Peter Schiff’s Bank Investigated for Allegedly Serving Top Criminals
Screenshot of Euro Pacific Capital’s main site, with a picture of Peter Schiff. Image: Euro Pacific Capital

Peter Schiff’s Bank is Under The Scope of Tax Agencies

The joint operation is codenamed “Atlantis” and began sometime after the scandal of the Panama Papers, exposing how criminals and tax evaders use legal loopholes to evade taxes, generating damages in the order of several billion dollars.

The probe into the bank started as a result of the leaking of confidential data. That Information allowed the Joint Five – the anti-fraud task force created by the five governments – to cross-check several databases and conclude that Peter Schiff’s bank did not care much about anti-fraud policies.

Among the clients Peter Schiff had on his bank authorities identified:

  • The most dangerous cybercrime syndicate in the world
  • Simon Anqueti, the mastermind behind the multi-million dollar Plutus Payroll fraud – the most significant tax fraud in Australia’s history with over $100 million in damages
  • Australian entrepreneur Darby Angel, convicted in 1995 of drug trafficking
  • Gunnar Helgason, a Canadian national arrested in Thailand for being the mastermind of “an international boiler-room scam.”

Speaking to The Age, Hegalson talked about Euro Pacific Capital’s poor KYC/AML policies, saying the bank didn’t care about his past and just filled out “standard check-the-box questions.”

“No one at Euro Pacific Bank said: ‘Can we have a copy of your most up-to-date CV? And by the way, don’t leave anything out,”

(Don’t) Pay Your Taxes

The investigation also shows that one of the key points used by referrers to attract potential clients was precisely highlighting how easy it was to stay away from tax authorities.

It’s important to note that the bank focuses on privacy, is located in Puerto Rico and according to The Age, referrers like the lawyer Patrick Flynn used that to their advantage. Even though he told media that he only helped legitimate clients with no investigation or illicit intentions, The Age shared a quote allegedly from him promoting his services in a very unorthodox way:

“In the event of a lawsuit or tax investigation or regulatory inquiry, your client can swear under oath ‘I am not the legal or beneficial owner of this company (which could be the difference between being charged with/jailed for tax evasion and walking away a free man)’,”

Peter Schiff is more enthusiastic when he speaks about Bitcoin’s flaws than when talking about his bank’s problems. In an interview for the show 60 Minutes, the businessman simply denied any wrongdoing when asked about the issue:

“People can be investigated for lots or reasons (and) it doesn’t mean they did anything wrong,” he said. When pressed for a more detailed response, he simply abandoned the interview: “There’s no more questions,” he replied as he removed the microphone and left his wife with the reporters.

Authorities are still investigating the Euro Pacific Capital case, and it will likely take years to close the case. Peter Schiff’s bank is still in operation…

As is Bitcoin.

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