Bank secrecy

Bank secrecy (or bank privacy) is a legal principle in some jurisdictions under which banks are not allowed to provide to authorities personal and account information about their customers unless certain conditions apply (for example, a criminal complaint has been filed). In some cases, additional privacy is provided to beneficial owners through the use of numbered bank accounts or otherwise. Bank secrecy is prevalent in certain countries such as Switzerland, Lebanon, Singapore and Luxembourg, as well as offshore banks and other tax havens under voluntary or statutory privacy provisions.

Created by the Swiss Banking Act of 1934, which led to the famous Swiss bank numbered account, the principle of bank secrecy is always considered one of the main aspects of private banking. It has also been accused by NGOs and governments of being one of the main instruments of underground economy and organized crime, in particular following the class action suit against the Vatican Bank in the 1990s, the Clearstream scandal and the terrorist attacks of September 11, 2001. Former bank employees from banks in Switzerland (UBS, Julius Baer) and Liechtenstein (LGT Group) have testified that their former institutions helped clients evade billions of dollars in taxes by routing money through offshore havens in the Caribbean and Switzerland. One of these, Rudolf M. Elmer, wrote, "It is a global problem...Offshore tax evasion is the biggest theft among societies and neighbor states in this world." The Swiss Parliament ratified on June 17, 2010 an agreement between the Swiss and the United States governments allowing UBS to transmit to the US authorities information concerning 4,450 American clients of UBS suspected of tax evasion.

Latest News for: Bank secrecy laws

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Marcos signs Anti-Financial Account Scamming Act

Manila Bulletin 20 Jul 2024
"This new law mandates financial institutions to implement necessary safeguards to protect our citizens' ... The BSP shall be exempted from existing laws on bank secrecy and data privacy to gather sufficient information relative to the commission of prohibited acts under the Law....
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BSP lauds passage of anti-financial scamming law

Manila Bulletin 20 Jul 2024
While it is a limited authority, the new law will allow BSP to examine and investigate bank accounts, e-wallets, and other financial accounts that are involved in the prohibited acts ... and enforcement of the law.” ... These are the AFASA and the amendments to the Bank Secrecy Law....
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Marcos signs new procurement, anti-scam laws

The Manila Times 20 Jul 2024
Marcos led the signing of the two new laws in a ceremony witnessed by lawmakers, and other government officials in Malacañang ... The BSP will also be exempted from existing laws on bank secrecy and data privacy to gather sufficient information relative to the commission of prohibited acts under the law....
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BBM signs anti-scam, procurement laws

The Manila Times 20 Jul 2024
The BSP will also be exempted from existing laws on bank secrecy and data privacy to gather sufficient information relative to the commission of prohibited acts under the law. Government agencies concerned, banks and covered financial institutions, the private sector, and other ......
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Binance Introduces BANANA as First Crypto Project on HODLer Airdrops

Coinspeaker 19 Jul 2024
Coinspeaker. Binance Introduces BANANA as First Crypto Project on HODLer Airdrops ... The exchange and its then-CEO Changpeng Zhao (CZ) were accused of violating several US laws, including the Bank Secrecy Act (BSA), failure to register as a money-transmitting business, and the International Emergency Economic Powers Act (IEEPA) ... next....
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Garcia diverting from offshore bank accounts issue, says Marcoleta

Manila Bulletin 16 Jul 2024
... accounts in foreign banks that are beyond Philippine jurisdiction, or any transaction made in regard to such accounts, must require the involvement of their foreign governments, and shall be subject to the respective bank secrecy laws of such foreign jurisdictions," he explained....
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Crypto Trading Platform BitMEX Pleads Guilty To Bank Secrecy Act Violations

The Daily Hodl 12 Jul 2024
Crypto exchange platform BitMEX is pleading guilty to violations of the Bank Secrecy Act, according to the Department of Justice (DOJ) ... According to the press release, violating the Bank Secrecy Act carries a maximum penalty of five years behind bars and a fine....
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BitMEX Admits Guilt in Bank Secrecy Act Violation

CoinChapter 11 Jul 2024
BitMEX Admits Guilt in Bank Secrecy Act Violation ... NAIROBI (CoinChapter.com)— Cryptocurrency exchange BitMEX admitted guilty of violating the Bank Secrecy Act (BSA) by operating without a meaningful Anti-Money Laundering (AML) program ... law if they operate in the U.S ... BitMEX faces charges for Bank Secrecy Act violations....
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BDL's Wassim Mansouri's US visit: Will he shield Lebanon from the FATF 'grey list'?

LBC International 08 Jul 2024
Sources stressed that the government and parliament must pass laws and procedures that limit the cash economy, prevent smuggling, reduce banking secrecy measures, restore order to the financial system, including restructuring banks, implementing reforms that allow for an agreement with the IMF, and combating corruption....
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The BSP’s priority legislative measures

Manila Standard 03 Jul 2024
Amendments to the Bank Deposits Secrecy Law. The Bank Deposits Secrecy Law is ......
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