New York – New York state’s financial regulator is seeking more than $300 million from Bank Leumi as part of a probe of whether the Israeli bank assisted US citizens in evading taxes, according to a person familiar with the matter.
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Bank Leumi, Israel’s second-largest bank, has been negotiating with US authorities for months to settle an investigation of possible tax evasion by the bank’s American clients.
The penalty from New York state’s Department of Financial Services, which regulates certain banks in the state, is separate from demands by federal authorities.
Before some idiot starts screaming “anti-Semitism,” please be reminded that this is an ongoing effort by the IRS, and indeed by the taxation authorities in the European Union as well, to put their hands on undeclared income earned by people of all backgrounds. It is not aimed specifically at Yidden, though some amongst us think that tax laws should be observed by others. At least in the U.S. you are taxed on income, and not on wealth as in some other countries. The Swiss banks have come to settlements involving billions of dollars. If Leumi gets away with only $300 million and an agreement to end the litigation with prejudice, it got a good deal.
Hope they get as much as they can from the rishaim at Bank Leumi–they turned my family’s lives upside down!!!!
They closed my account because i had 2 times over drawn….Now great to see you pay such a hefty fine…
Anyview, the question is not defending tax evaders. The question is the moral rectitude of twisting an Israeli bank’s arm and forcing it to comply with US law.
Would you think it proper for the Israeli govt. to fine Chase Manhattan 300 million bucks because it did not comply with Israeli law? It doesn’t need to!!
Just because you can bully someone into something doesn’t make it right. And that is what the feds are doing; fining foreign banks for not keeping US law by threatening to refuse to allow them to do business with the USA. Its morally wrong, methinks.