Panama Papers Hit Brazil, FIFA, U.S.

The Panama Papers continue to steer events around the world. In Brazil the confirmation of large amounts of offshore money may have set up the political environment for the impeachment of the president, even if the articles of impeachment refers to the reallocation of government funds rather than anything to do with anyone’s personal funds. It is a troubling situation in governance in Brazil, with roughly half of top officials named in one of several active corruption investigations. The corrupt will have to judge the corrupt. The situation is not so different in FIFA, where one key figure was connected to the Panama Papers after a bribery scandal had already taken out much of the leadership. Meanwhile, the United States has started a criminal investigation into possible tax evasion in offshore shell companies. The Internal Revenue Service is encouraging taxpayers to correct their tax reports before they get caught to avoid prosecution.