Friday, January 4, 2013

UPDATED--Switzerland's Oldest Bank to Close Permanently

Update below.
Original post:
From the BBC:

Swiss bank Wegelin to close after US tax evasion fine

Wegelin headquarters building in St Gallen, Switzerland  
Wegelin admitted that its actions had been "wrong"
Switzerland's oldest bank is to close permanently after pleading guilty in a New York court to helping Americans evade their taxes.
Wegelin, which was established in 1741, has also agreed to pay $57.8m (£36m; 44m euros) in fines to US authorities.

It said that once this was completed, it "will cease to operate as a bank".
The bank had admitted to allowing more than 100 American citizens to hide $1.2bn from the Internal Revenue Service for almost 10 years.

Wegelin, based in the small Swiss town of St Gallen, started in business 35 years before the US declaration of independence.

It becomes the first foreign bank to plead guilty to tax evasion charges in the US.
Other Swiss banks have in recent years moved to prevent US citizens from opening offshore accounts.

US Attorney Preet Bharara said: "The bank wilfully and aggressively jumped in to fill a void that was left when other Swiss banks abandoned the practice due to pressure from US law enforcement."...MORE  
What the Closure of Switzerland's Oldest Bank Means for Swiss Private Banking?