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Panama Papers firm pushes for prosecution

The law firm at the centre of the "Panama Papers" scandal said on Thursday it expected the prosecution of a worker from its Geneva office detained on suspicion of stealing company documents.

Panama Papers firm pushes for prosecution
A company worker in Geneva has been detained. Photo: AFP

Mossack Fonseca said in a statement from its Panama headquarters that it had lodged complaints in several jurisdictions against people believed to be “involved in the theft of information that occurred in our company”.

That referred to the leak last year of a massive number of documents covering nearly four decades of business by the law firm, which specializes in setting up and managing offshore companies.

Reports based on the purloined documents resulted in the “Panama Papers”: revelations of how many leaders, politicians, celebrities and a few criminals around the world used entities started by Mossack Fonseca to stash assets.

Though offshore companies are not in themselves illegal, they can be used to engage in illegal activities such as tax evasion or money laundering.

Mossack Fonseca said in its statement it was “fully confident” that authorities in the various countries would “see through the corresponding (legal) processes in a transparent and effective manner”.

On Wednesday, Swiss authorities announced that an information technology employee for the law firm working in its Geneva office had been placed in provisional detention on suspicion of stealing confidential documents.

The spokesman for the Geneva's prosecutor's office, Henri Della Casa, told AFP that “a criminal case has been opened… following a complaint by Mossack Fonseca”.

He declined to comment on whether an arrest had been made.

News of the detention was first given by the Swiss newspaper Le Temps, which said it had no information on whether the arrested individual was the so-called “John Doe” who has claimed credit for the unprecedented “Panama Papers” leak.

Mossack Fonseca said in April that the leak was the result of a hack that came from foreign servers.

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INHERITANCE

Inheritance in Switzerland: Which country’s laws should dual nationals follow?

Switzerland has well-defined rules for inheritance and succession rights. But do dual nationals have some leeway in choosing which country's laws to follow?

Inheritance in Switzerland: Which country's laws should dual nationals follow?

First, let’s look at what Swiss inheritance / succession legislation says.

Who gets what depends on whether you have a will or not when you die (the latter’s legal term is ‘intestate.’)

If you don’t have a will, your estate will be divvied up among your legal heirs: spouse or registered partner and children.

Typically, the spouse gets half of your assets and the children the other half, to be divided equally among them.

In case you have no kids, your parents or even grandparents could inherit from you.

Next in the statuary succession rights  are siblings.

If, however, you have no living relatives whatsoever, your estate will go to the canton or commune of your last residence.

What if you do have a will?

It will give you some, though not total, flexibility in who you want to leave your assets to — and how much. 

For instance, you can choose who your heirs will be and how your estate should be distributed among them.

You can decide to give more than a half to your spouse and less to the children, or vice-versa.

However, your legal heirs — that is, spouse and children — cannot be cut out of your will altogether.

Note that this law applies to Swiss citizens only. If you are a foreign national living in Switzerland, your succession is normally governed by the laws of your country.

However, if you a long-term resident and plan to remain here permanently — for instance, if you have a C permit — you can choose the Swiss law instead of the foreign one to apply upon your death. But you must state your preference in your will.

If you die intestate, then the Swiss legislation will kick in, as it will be deemed the law of your last place of residence.

READ ALSO: 7 things you need to know about Swiss inheritance law

What about dual nationals?

At present, those who have Swiss citizenship in addition to a foreign one, must abide by Switzerland’s inheritance law only.

That’s because, for all intents and purposes (including legal ones), they are considered to be Swiss citizens only.

However, this will soon change.

On December 22nd, 2023, the parliament adopted the Federal Act on International Private Law (PILA), which will give dual nationals in Switzerland the option of basing their succession on the laws of  their ‘other’ country of citizenship.

However, in doing so, dual nationals can’t derogate from Swiss statuary succession rules — that is, they won’t be able to exclude spouses and children from inheriting their part of the estate.

The new legislation is expected to come into force on January 1st, 2025.

READ ALSO: What you should know about dying in Switzerland

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