German police and tax authorities raided more than 20 banks, tax advisers, asset management companies and the homes of eight suspects on Wednesday, in an investigation related to the police search of Deutsche Bank’s headquarters in Frankfurt on 29 and 30 Nov. 2018.
The November raid, involving 170 officers, focussed on clients of a former Deutsche Bank unit in the British Virgin Islands.
“The defendants are wealthy individuals who are subject to German taxation,” prosecutors said in a statement. “They are believed to have set up trusts in the British Virgin Islands with the support of a former subsidiary of a large German lender to hide investment income from German tax authorities and evaded paying tax.”
The Financial Times reported last year that Regula Limited was the targeted BVI unit of Deutsche Bank’s Global Trust Solutions. Deutsche Bank has since sold its trust business outside of the United States to Butterfield.
Regula was named