Economist Peter Schiff says the only enforcement success of the Joint Chiefs of Global Tax Enforcement (J5) is its “failed” action against his bank, allegedly aimed to “put a stop to the suspected facilitation of offshore tax evasion.” Schiff stressed: “Other than the failed investigation of my bank, which did not result in any charges being filed against anyone, the J5 has not had a single enforcement success in its 5-year plus history of existence.”
Peter Schiff Says J5’s Only Success Is a Failure
Economist Peter Schiff slammed the Joint Chiefs of Global Tax Enforcement (J5) on Wednesday, claiming its only success is a failed action against his bank, Euro Pacific Bank. J5 was established in 2018 by leaders of tax enforcement authorities from Australia, Canada, the Netherlands, the U.K., and the U.S. to increase collaboration in the fight against international and transnational tax crime and money laundering.
The only J5 enforcement success the IRS brags about on its website is the coordinated global day of action in Jan. of 2020 against my bank ‘to put a stop to the suspected facilitation of offshore tax evasion.’
“The action was part of a series of investigations in multiple countries into an international financial institution located in Central America, whose products and services are believed to be facilitating money laundering and tax evasion for customers across the globe,” the economist added.
Euro Pacific Bank’s operations were suspended in July last year by the Puerto Rican Office of the Commissioner of Financial Institutions (OCIF), which cited “serious insolvency” issues. However, a subsequent settlement revealed the bank did have cash on hand. As part of the settlement, Schiff agreed to return $66.7 million in deposits and pay $300,000 in fines, according to a copy of the agreement.
Commenting on the J5’s action against his bank, Schiff stressed: “This ‘success’ was a total failure, as everything they believed was false. No one was using my bank to evade taxes or launder money. All the J5 succeeded in doing was putting a completely innocent bank out of business, and denying its law-abiding customers, who only used their accounts for lawful and legitimate purposes, to be without their savings for over 17 months and counting.” The gold bug further detailed:
Other than the failed investigation of my bank, which did not result in any charges being filed against anyone, the J5 has not had a single enforcement success in its 5-year plus history of existence.