The British Virgin Islands (BVI) has fined law firm Mossack Fonseca $440,000 – the biggest fine in the territory’s history – following a probe into Panama Papers leaks.

The BVI Financial Services Commission (FSC) identified eight breaches of anti-money laundering and terrorist financing codes and its regulatory code at the law firm.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

The Panama Papers investigation, based on a trove of 11.5 million leaked files from inside Mossack Fonseca, exposed the inner workings of a secretive financial system used by world leaders, wealthy individuals, drug lords, fraudsters and more. More than half of the offshore companies in the leaked files were incorporated in the BVI.

Premier and Finance Minister Orlando Smith said the investigation and fine against Mossack Fonseca was evidence of the government’s commitment to regulating the financial industry in the BVI and to working with other international authorities to ensure transparency in the system.

“Achieving this outcome in the face of intense international scrutiny is testament to the FSC’s conviction, dedication and willingness to conduct such a thorough investigation whilst holding to account those who fail to comply with the territory’s structure and regulations,” he said.

However, anti-corruption activists Transparency International said the penalty against Mossack Fonseca was “too little, too late” compared to the scale of the revelations in the Panama Papers and the harm caused by offshore financial secrecy.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

It was the fourth time Mossack Fonseca had been penalized by the BVI authority since 2012.