{"id":18549,"date":"2016-12-27T13:16:01","date_gmt":"2016-12-27T18:16:01","guid":{"rendered":"http:\/\/panamaadvisoryinternationalgroup.com\/blog\/?p=18549"},"modified":"2016-12-27T13:16:01","modified_gmt":"2016-12-27T18:16:01","slug":"how-panamas-revolving-door-helps-shadowy-industry-defy-reform","status":"publish","type":"post","link":"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/how-panamas-revolving-door-helps-shadowy-industry-defy-reform\/","title":{"rendered":"How Panama’s revolving door helps shadowy industry defy reform"},"content":{"rendered":"

\"Businessman<\/a><\/p>\n

This is a great story written by Michael Hudson, Will Fitzgibbon and Emilia Diaz-Struck for The Center for Public Integrity.<\/p>\n

In a country where top-drawer lawyers move freely between government posts and offshore law firms, bringing lasting change to Panama’s offshore industry remains a challenge.<\/p>\n

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Panama\u2019s leaders were defiant after the Panama Papers scandal broke open April 3 via hundreds of news stories circling the globe.<\/p>\n

President Juan Carlos Varela\u2019s chief of staff, \u00c1lvaro Alem\u00e1n, called the disclosures about suspect dealings inside the country\u2019s offshore financial industry a \u201ccampaign against Panama.\u201d<\/p>\n

\u201cWe will not allow Panama to be used as a scapegoat,\u201d Alem\u00e1n told a news conference.<\/p>\n

Some of Panama\u2019s anger was focused on the OECD, a Paris-based, multinational coalition that has been a key protagonist in the war over cross-border tax evasion. On April 4, the Organization for Economic Cooperation and Development\u2019s secretary general, Angel Gurr\u00eda, called out Panama as a \u201choldout\u201d amid the world\u2019s progress toward financial transparency.<\/p>\n

Luis Miguel Hincapi\u00e9, Panama\u2019s deputy foreign minister, responded with a letter<\/a> blasting Gurr\u00eda for making \u201callegations and insinuations whose falsity is easily demonstrated.\u201d He said the Panama Papers were being used to \u201cdistort the facts and tarnish the reputation of the country.\u201d<\/p>\n

As pressure grew from media and governments around the world, Panamanian officials shifted to a more conciliatory stance.<\/p>\n

On April 19, President Varela announced Panama was willing to join an OECD-sponsored initiative that encourages members to share information with other nations trying to track offshore tax dodging. Hincapi\u00e9 headed to Paris in May to discuss the details.<\/p>\n

The OECD praised the deal<\/a> as a sign Panama was stepping up to join the fight against offshore-fueled corruption.<\/p>\n

But in a country where top-drawer lawyers move freely between high government posts and law firms selling secrecy-cloaked shell companies, bringing lasting change to the offshore industry is a challenge. The revolving door between Panama\u2019s government and its shadow economy has prompted some critics to refer to President Varela\u2019s top advisers as his \u201coffshore cabinet.\u201d<\/p>\n

Read the full story<\/strong><\/a><\/p>\n<\/div>\n<\/div>\n<\/div>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

This is a great story written by Michael Hudson, Will Fitzgibbon and Emilia Diaz-Struck for The Center for<\/p>\n","protected":false},"author":5,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[242,10,12,241,39,34,33,62,219,245,243,7,246,244,44],"class_list":["post-18549","post","type-post","status-publish","format-standard","hentry","category-news-articles-panama-perpsective","tag-boca-chica-real-estate","tag-bocas-del-toro","tag-boquete","tag-boquete-real-estate","tag-buenaventura","tag-casco-antiguo","tag-casco-viejo","tag-coffee-in-panama","tag-move-to-panama","tag-offshore-real-estate-panama","tag-panama-papers","tag-panama-real-estate","tag-relocate-to-panama","tag-rum-in-panama","tag-travel-to-panama"],"yoast_head":"\nHow Panama's revolving door helps shadowy industry defy reform - Blog and Newsletter<\/title>\n<meta name=\"robots\" content=\"index, follow, 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