Panama Papers Leak Draws Severe Scrutiny Globally

For Panama, a country which has been under scrutiny for being a haven for tax evaders, a lot is at stake after the leaked Panama Papers; mainly its reputation and its legal and financial services industries, on which the economy is heavily dependent. Mossack Fonseca created by a reserved German immigrant and an aspiring novelist namely; Jürgen Mossack and Ramon Fonseca came into existence when the duo merged their law firms in 1986. At present the law firm has become a powerhouse of mysterious offshore banking used by the wealthy worldwide. In about thirty years the pair has grown their business to a firm that employs five hundred staff. It has several affiliate companies globally and a client base immensely strong with many famous and infamous names.

Mossack Fonseca, the law firm stood on assurances of complete privacy to its clients, but luckily or unluckily for some, its operations were exposed few days back by a huge leak that revealed millions of documents. These documents exposed the explosion of shell companies and tax evading refuge for some of the richest people in the world. The revelations did not come without a cost, recently Iceland's Prime Minister resigned and some other governments started criminal investigations.