Big Banks Including Credit Suisse Targeted for Illegal Tax Shelters: US Attorney General Eric Holder Says 'Too Big to Jail' Is Untrue
U.S. Attorney General Eric Holder warned big banks that they are not immune from potential criminal charges and other suits, saying in a video that no company is "too big to jail." Criminal investigations of big financial institutions, including global banks Credit Suisse and BNP Paribas, are being pursued by the U.S. Justice Department, which warns that its investigations may result in actions to be filed in the coming weeks and months.
According to the U.S. Justice Department, certain global financial institutions engage in criminal misconduct in the belief that they are immune to prosecution simply because of their economic influence and sheer size. Holder, however, says that this view is simply mistaken. He reminded everyone that no individual or company, no matter how profitable or how large, is above the law.
While Holder failed to directly identify the Justice Department's targets by name, a Justice official confirmed that the federal prosecutors are almost done with their initial investigations that involve Credit Suisse and BNP Paribas. Official announcements are expected to be released in the coming weeks.
Investigations have been conducted by the federal prosecutors for alleged violations of U.S. sanctions against countries including Sudan and Iran. Credit Suisse is among the targeted financial institutions for allegedly providing Americans with illegal tax shelters. Credit Suisse declined to comment on Monday; BNP did not respond immediately to a request for comment.
Criminal inquiries have moved forward while the prosecutors try to resolve the matters without affecting the economic system and wreaking havoc on the global financial structure. While these are two definite possibilities, prosecutors are aware of any consequences that may follow; they say they will closely coordinate with regulators to oversee that the day-to-day operations are not adversely affected.
Holder adds that cooperation will be key for both parties in handling such a sensitive situation.
Subscribe to Latin Post!
Sign up for our free newsletter for the Latest coverage!