As if there aren’t already enough reasons to dump carbon trading, here’s another one. Seems Wall Street isn’t the only place trying to screw everyone out of every penny they can get. Now we have a problem in Germany per this article in Bloomberg Business Week. Doesn’t sound like it’s just a little problem either, unless you consider the equivalent of $238 million US Dollars to be pocket change.
April 28 (Bloomberg) — German prosecutors searched Deutsche Bank AG and RWE AG in a raid on 230 offices and homes nationwide to investigate 180 million euros ($238 million) of tax evasion linked to emissions trading.
The Frankfurt Chief Prosecutor’s Office said it targeted 150 suspects at 50 companies and has frozen assets. Deutsche Bank, Germany’s largest bank, and RWE, the country’s second- biggest utility, said they are cooperating with the probe and aren’t the focus of the investigations.
The crooks never seem to run out of creativity. Kind of reminds me of some so-called “climatologists.”
The U.K., France, Netherlands are among nations that started investigations last year of “carousel fraud,” where carbon traders collect tax and disappear before turning it in to authorities. Today’s raid was the biggest related to a fraud that may have tainted an estimated 7 percent of carbon trades in last year’s $125 billion market.
On top of that.
Europe lost about 5 billion euros in revenue for the 18 months ending in 2009 because of value-added tax fraud in the CO2 market, according to Europol, the law enforcement agency.
The results of this investigation should be interesting to say the least.
Source: Bloomberg Business Week