Biggest Data Leak ! What are the Paradise Papers ?

Similar to the Panama Papers, the dubbed Paradise Papers has come to town. Another massive leak of the year about financial documents.

It contains how the global rich and wealthy, secretly store their money in tax havens.

The Investigation

Previously, the investigation carried out revealed information from Bermuda and Singapore based firms. In addition, it contains 714 Indian links, including Jayant Sinha, Amitabh Bachchan, Sanjay Dutt’s Wife, and Vijay Mallya.

Whereas, globally, the leaks include names like Donald Trump. Furthermore, the information creates connections between President Trump and Russian allies.

What are tax havens?

Simply, offshore financing is about companies or individuals keeping their money outside of their nation’s regulation. Subsequently, this helps them benefit from lower taxes.

They are called tax havens  because they offer foreign nationalities minimum tax liability. Furthermore, this is done in a politically and economically stable environment.

In addition, little to no financial information is shared with tax authorities.

The problem with offshore financing

While offshore financing is not exactly illegal, however it does raise many questions.

This method of money conservation can result in various harms. Money laundering, trafficking, tax evasion, and inequality are among these harms.

In addition, this sort of financing affects the every day citizen. This secrecy attract various money launderers, drug traffickers. Eventually, this leads to a corrupted finance system, and consequently affecting the people.

India’s connection

Ironically, the leak came just days before the government’s Anti Black Money Day. This day is observed to mark one year of demonetization.

Here are the Indians mentioned in the leak.

MoS Jayant Sinha

Minister of State for Civil Aviation’s name appears in the leaked documents. The connection is made because of his previous work with Omidyar Network. Sinha worked there are the managing director.

BJP MP RK Sinha

According to the investigation, MP Sinha was connected to a private security service.

The current MP, founded the Security and Intelligence Services before entering politics.

Recently, he has responded to the allegation by saying that he is on a week long vow of silence. 

Amitabh Bachchan

Just like the Panama Papers, Big B’s name has again appeared in the leaks.

The leak mentions his name due to his shareholding in a Bermuda Company.

In addition, Sanjay Dutt’s wife Manyata, has also been featured with her former name Dilnashin.