The RBC has recently gotten rid of accounts belonging to 40 clients after it was made privy to the leaked documents from a law firm in the Central American country of Panama. The firm is known offering help to financially comfortable who’d rather not pay taxes by hiding their money in offshore accounts.
The Panama Papers are a collection of 11 million documents that exhibit the way Mossack Fonseca, a Panamanian law firm, created over 200,000 offshore companies as a tax dodge for the rich and stingy.
Since the documents were leaked, many celebrities, businesspersons, etc. have been named and we now know that 625 Canadians; and the RBC created 370 offshore companies for the clients that use the aforementioned law firm.
The bank has denied any wrongdoing and been helping out with the investigation led by the tax authorities in Canada. Since April 2016, the Royal Bank of Canada has been going through 40 years worth of records. It ended the internal investigation by saying that only a little part of its clientele —.001%– was involved with the aforementioned Panamanian law firm.