Panama Papers: Are businesspeople serving on public bodies an asset or a liability?

In the public’s mind, offshore companies are associated with wealthy tax evaders, money launderers and people with something to hide. Several national leaders and former leaders from various countries were named, along with many of their friends and relatives. The media also reported that Hong Kong was home to the largest number of banks and law firms connected with these offshore companies.

Within days, my phone started to ring. Hong Kong reporters involved in searching through the leaked data had found names of local people holding public office. I was one of them.

One reporter thought he had found something: the Companies Registry shows me as a director of a couple of companies that are not mentioned on my declaration of interests as a non-official member of the Executive Council. I was able to tell him that disclosure is not necessary for positions – like these – that are not remunerated or if you own less than 1 per cent of the company.

Prominent Hong Kong politicians and businessmen named in new round of Panama Papers leaks

The reporter moved on to two British Virgin Island (BVI) companies (which are on the Exco declaration of interests). I explained that they are holding companies for the family business, and my holdings are only 0.09 per cent of one, and 1.3 per cent of the other. He was trying to find an angle for his story. Because any mention of “offshore companies” makes people think of wrongdoing, he brought up the subjects of tax-evasion and abuse of offshore centres’ privacy laws.