Premier Dr. Orlando Smith held a press conference Friday in his office to talk about the Panama Papers, a trove of more than 11.5 million documents leaked from the Panama-based law firm Mossack Fonseca — some of which allegedly contain evidence that Virgin Islands-based companies were used for money laundering, tax evasion and other nefarious activities.
In his first public appearance since news of the leak broke on Sunday, Dr. Smith said an investigation is already under way into the allegations contained in various newspaper articles about the VI, though he wouldn’t comment on what specific allegations are being probed.
“That would prejudice the investigation,” explained Financial Secretary Neil Smith.
Dr. Smith also said that on Friday, he agreed to “sign an exchange of notes for beneficial ownership” with the United Kingdom.
The premier wouldn’t go into detail about what the agreement will entail, but said it has to do with ongoing discussions his government has been having with the UK about exchanging financial services information.
Asked whether Dr. Smith or Mr. Smith found any recently published articles about the Panama Papers to contain inaccurate information about the VI, Mr. Smith replied that he thinks the International Consortium of Investigative Journalists — the organisation that spearheaded the investigation of the Mossack documents — doesn’t put the VI’s role in the world economy in proper context.
“What the ICIJ does is taints jurisdictions like the BVI and makes people think they’re only used for illegitimate activities,” he said, adding that more than 90 percent of the business conducted through the territory’s financial services sector helps the world economy.