– ‘Secretive industry serving the elite’ –
Margaret Hodge, chairwoman of the British parliament’s Public Accounts Committee, told the BBC that lawmakers were launching an “urgent inquiry” and would order HSBC to give evidence if necessary.
“Today’s shocking revelations about HSBC further expose a secretive global industry serving a wealthy elite,” she told the broadcaster on Monday.
The documents show that HSBC opened Swiss accounts for international criminals, businessmen, politicians and celebrities, according to the ICIJ.
The revelations renewed calls for a crackdown on sophisticated tax avoidance by the wealthy and multinational companies. Tax avoidance is legal, but tax evasion is not.
“HSBC profited from doing business with arms dealers who channelled mortar bombs to child soldiers in Africa, bag men for Third World dictators, traffickers in blood diamonds and other international outlaws,” the ICIJ said.
HSBC’s reputation has been tarnished in recent years by a string of high-profile controversies, including oversight failures which meant Mexican drug traffickers could launder money through its accounts.
Shares in the bank were down 1.64 percent at the close of trading in London on Monday.
A range of current and former politicians from Russia, India and various African countries, as well as Saudi, Bahraini, Jordanian and Moroccan royalty, and the late Australian press magnate Kerry Packer were named in the files.
There were calls for a Swiss probe against the bank, which is already facing prosecution in France and Belgium.
Switzerland has so far only launched an investigation against Falciani.
Global fallout on Monday included a Belgian judge said to be considering international arrest warrants for directors of HSBC’s Swiss division.
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