According to a Senate Report issued to pierce the secrecy surrounding offshore bank accounts, the big Swiss bank UBS and Liechtenstein Global Trust (LGT), which is run by the royal family of Liechtenstein, might help wealthy individuals avoid paying taxes in the United States.
The report consists of 115 pages and describes the way 8 persons used offshore accounts in order to evade taxes. These individuals include Harvey Greenfield, the owner of the Commonwealth Toy and Novelty Company, which sells Beverly Hills Pups; Frank Lowy, the Australian billionaire who runs the Westfield Group; and the world’s largest owner of shopping centers; Richard M. Chong, a venture capitalist.
The report says that that Prince Phillipp of Liechtenstein courted clients for LGT. In March 2001, he met with members of the Greenfield family in Vaduz, the capital of Liechtenstein, in order to persuade them to move a USD 30 million offshore trust held at another bank to LGT. By 2001 LGT had established a Liechtenstein foundation for the Greenfields that used two companies incorporated in the British Virgin Islands corporations with a view to transfer at least USD 2.2 million.
Also, the report issued by the Senate details the marketing efforts made by UBS in order to win new clients in the US. It is worth noting that UBS is cooperating with authorities in the investigation and does not comment the situation.