The reported unprecedented leak of 11.5 million documents from a Panama law firm has made international news and elicited the ire of many governments and tax authorities, including Israel.

The news of the leak of the confidential documents has sent a shockwave through financial and diplomatic communities. The documents were leaked from the Panama-based law firm Mossack Fonseca, and the computer breach reveals how the wealthiest people in the world launder their funds to avoid paying taxes and where and how funds are hidden.

Among the interested parties is the Israel Tax Authority, which announced it is going to probe Israeli accounts that are located abroad for the purpose of evading taxes. Tax Authority Director Moshe Asher has already released statements that the authority realizes some of the names listed have reported businesses abroad and that is fine but for those who have not reported income abroad, they were required to do so.

Haaretz is a member of the team of international journalists permitted to probe the leaked documents and has reported no less than 600 Israeli companies and approximately 850 Israeli shareholders are involved as per the leaked documents.

Among the prominent names appearing in the documents leaked are;

1. Yaakov Weinroth, a former close confident to Prime Minister Ariel Sharon

2. Dov Weisglass, a former bureau chief to Sharon

3. Many of the documents show a link between Bank Leumi and the law firm Mossack Fonseca

According to Mossack Fonseca attorney Amir Maor, who represents the firm in Israel, the breach and leak of documents from its computers was reported last week, explaining any information obtained is “stolen data” and therefore, one must act accordingly.

(YWN – Israel Desk, Jerusalem)