Many Indian Americans that have either heard of or have entered into the 2011 OVDI know of the outrageously high civil penalties they could face by maintaining undisclosed foreign bank accounts; now, these Indian Americans are taking action with the U.S. Government to lessen their penalties.

The Department of Justice has made it clear Credit Suisse is in serious trouble and that these are very serious allegations that relate to conduct extending beyond a tax conspiracy and into a broader range of criminal activity.  Specifically, conduct concerning possible destruction of records and helping people even evade the Department of Justice investigations.  Even worse conduct than UBS!

Recently HSBC India has severed all ties with U.S. Clients and anyone associated with U.S. persons.  Due to heightened pressure by the U.S. government into banks such as UBS and Credit Suisse, HSBC India is taking preventative action in order to limit current investigations by U.S. authorities.  The branch has issued letters to all of its U.S. clients informing them of their recent change in client structure, that is they do not want U.S. clients.

There has been talk amongst government officials of a Global Resolution, expected to come to terms within the next few months, between several foreign banks, in order to put an end to tax evasion within the U.S.  However, there is a catch.  In exchange for investigations against the foreign banks to be discontinued, the respective bank will be required to turn over all U.S. client names, which will then be used by U.S. government agencies to open criminal investigations against said taxpayer. HSBC, world-wide banking giant that has been under high scrutiny by U.S. officials, seems to have caught wind of the potential Resolution and is making plans to come into compliance with the U.S. government.

A New York lawyer admitted hiding more than $26.4 million in a Swiss bank to avoid paying taxes.  He also agreed to pay a fine of around $9.8 million.