Since the fall of the Berlin wall, high-tax countries seem to have discovered the offshore world as a substitute for the lost “enemy”. A world without wars became a dream of all peoples and taxpayers expected governments to pay back the “peace cent”.
At the time the communist system was breaking down, it was found out that riding the money-laundering horse one could catch the tax evaders as well. On this path, “all-crime legislation” was born which included all tax offences under the money-laundering penal norm. But by far not all countries were ready to adapt their legislation to satisfy the demands of the OECD. Small jurisdictions like Liechtenstein, Panama, Belize and many others did not see any reason why they should change a tax system which had served them quite well. Pressures and menaces on “tax havens” – OECD had announced in 2000 that it would impose sanctions – grew more and more but, in a way, this was good for the development of such low-tax areas. Due diligence and compliance became a normal business procedure.
Although the abolition of bearer shares in the Bahamas and the “demobilisation” of such certificates in the BVI has been one of the concessions to the “standard setters” (USA, EU, OECD, FSF, etc.), offshore jurisdictions are very good regulated today – often even better than onshore countries. Most offshore financial centres have introduced stricter anti-money-laundering regulations than many onshore financial centres within the OECD. In most offshore jurisdictions, only licensed institutions may act as registered agent (in Panama, such an institution must even have the qualification as attorney-at-law), trustee, nominee director, etc. for offshore companies. Good examples for bad regulated onshore financial centres are the United Kingdom and the USA where there is little regulation for fiduciary service providers. Anybody can form and register companies and it is scandalous to see how easy a limited liability company can be incorporated in the US via internet.
Additionally to the well-regulation of their jurisdictions, offshore providers consider themselves as part of the anti-money-laundering system. This is the reason why MMG Panazur does not allow issuing powers of attorney to persons who are not regulated finance intermediaries. Likewise, non-regulated persons cannot become members of the board of directors of an offshore company or foundation. The principle is that offshore vehicles (companies, foundations, trusts) cannot be sufficiently controlled from overseas – despite excellent anti-money-laundering regulations in their place of incorporation. Therefore, offshore vehicles must be supervised by at least one of the financial intermediaries active in the financial service community (banks, lawyers, trustees, asset managers). In other words, offshore vehicles must always be controlled by regulated entities.
MMG Panazur’s business policy is oriented towards serving professional, so-called institutional clients regulated under the Swiss Anti-Money-Laundering Law (GwG). Before accepting a new client, MMG Panazur identifies the entity and physical persons to assure that they are members of one of the organisations created by GwG to supervise the Swiss financial system. As for MMG Panazur, it is member of one of Switzerland’s 11 Self-Controlled Organisations since 2001. Its offices are in well-regulated jurisdictions like Panama, Belize, Bahamas, the BVI, Singapore and Switzerland. I.e., from the creation of the offshore vehicle until the opening of the bank account, its offshore services are offered within a well-regulated environment including offshore and onshore jurisdiction and the entities acting as finance intermediaries.
MMG Panazur belongs 100% to the Morgan & Morgan Group which now exists for 85 years. This group disposes of the law office Morgan & Morgan Attorneys-at-Law in Panama City, the largest one in Central America. With fully staffed offices in Panama, Belize, Bahamas, the BVI, London, Madrid, Luxembourg, Lugano, Geneva, Zurich, Singapore, Buenos Aires, Sao Paulo, Guayaquil and Hong Kong, it is your ideal provider for offshore companies, foundations and trusts.