Sandiaga Uno Says Offshore Companies Not Used for Illegal Acts
Jakarta. Sandiaga Uno on Thursday (07/04) denied that his business group has been involved in any illegal activities, as local media reported that his name appears in the so-called Panama Papers.
Sandiaga, co-founder of investment firm Saratoga Capital, is among some 2,000 Indonesian individuals and companies listed in the 11.5 million documents leaked from the Panamanian law firm Mossack Fonseca, which specializes in setting up offshore companies.
The businessman said none of his offshore companies listed with the Panamanian law firm was intended to hide illegal activities.
“I don’t remember [the number of companies listed in Panama]. But I assure you I never violated any law, I pay taxes here and I don’t have an account in Panama, not even a cent,” Sandiaga said during a visit to the BeritaSatu Media Holdings office in Jakarta on Thursday (07/04).
Sandiaga, who has expressed an interest in becoming a candidate during next year's gubernatorial election in Jakarta, said the offshore companies under his business group were set up for foreign investment and loans.
Offshore shell companies as such are not illegal, thanks to loopholes in many jurisdictions, and companies around the world usually set them up to gain commercial or financial advantages.
“The public must separate people who use offshore companies legitimately to attract foreign loans and for other business moves and those who use them to avoid taxes and such things,” Sandiaga said.
Other Indonesian businessmen on the list include M. Reza Chalid, who was allegedly involved in controlling Pertamina's oil imports through shady dealings, and fugitive graft suspect Djoko Tjandra.
The Indonesian tax office, antigraft agency and the Attorney General's Office have all expressed their interest in examining Indonesian names and companies listed in the Panama Papers, arguing that offshore accounts are often used by tax evaders and corruption suspects and convicts to hide assets and launder illicit funds.
The Panama Papers leak, which has shone a spotlight on widespread alleged tax evasion and money laundering by politicians and public figures including Russian President Vladimir Putin and Chinese President Xi Jinping, has already led to the resignation of Iceland's prime minister, Sigmundur David Gunnlaugsson.
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