Ethics and governance in the European Financial centers

To reject the French MPs' report about Luxembourg Luc Frieden said in Paris that Luxembourg is not a tax, banking or judiciary haven and explained that their statements were not verified on the field.

The official communication for the financial center states as well that "Contrary to a widely held misconception, Luxembourg is not a tax haven and has many other characteristics which make it internationally attractive. It is, however, stated Government policy to create conditions which will allow the Luxembourg Financial Centre to compete on equal terms with other important financial centres. Over the years, this policy has been translated into various measures such as the auspicious corporate tax of 30,38% and the different VAT rates applicable: 3%, 6%, 12% and 15%".


Let's have a look on the field.

Let's have a look on what is said by a Professional : "Despites moderate taxes rates Luxembourg is not a tax haven. There are taxes for individuals and companies. More than a tax haven, Luxembourg gathers the advantages of an on shore jurisdiction because it is in Europe and the advantages of off shore states taxes of which are similar to a tax haven for Holding 1929 companies, Holding companies' (SOPARFI)...".

Let's see what is said by another professional on the Benefits of the Place :
(...)
The economic policy of Luxembourg is characterized by its liberalism as regards establishment.
The policy pursued by the government encourages the private initiatives, the administration is with the service of the companies, and not the reverse.
The bank secrecy forms integral part of the Luxembourg legislative system.
Absence of local taxation for the non-residents, bearer shares, exemption of appreciations on the participations.
(...)
The abuse social good and tax evasion are non-existent in the Luxembourg law.
The majority of the daily expenses of the leaders can pass in load.
(...)
Anonymity is a paramount concept in the Grand Duchy whose keystone is the bank secrecy.
The economic recipient with the possibility of not appearing as a shareholder and/or an administrator of the company by the installation of the contract of trust.
This contract is regulated by the Luxembourg law as well as the bank secrecy.
Trust is a notion absent from the French right, it makes it possible to transfer the legal property from its goods fiduciary while preserving the economic capacity on the aforementioned goods.
The application of trust makes it possible to manage its business very by preserving anonymity.
(...)
We irremediably entered a phase of delocalization which corresponds above all to problems of tax management and say for the company to a procedure of survival.

And the professional to specify that "thanks to X and has its partners Attorney and Lawyers, you can within the framework of an economic beneficiary, own and manage your business without appearing officially. That can be practical for the detention of goods and real estate , or for the continuation of an activity

The best is the legal page where the fiduciary explains that :
- it does not support fraud, and
- it is not responsible for verifying the compliance with laws and regulation, which is up to the client.



Considering such public marketing communication, that is not repudiated, how can Luc Frieden be so affirmative when saying that Luxembourg is not a tax, banking or judiciary haven for people that do not have a proper business conduct ?