LONDON: The Indian tax department has issued notice to the global giant HSBC due to alleged tax evasion and money laundering.
A list of over 0.1 million account holders in HSBC’s Swiss banking unit, including 1,195 Indians, recently became public, prompting authorities in India and other countries to initiate investigations.
The bank said it is being probed by tax authorities in many other countries as well with regard to alleged irregularities by its Swiss banking unit and there could be “significant” amounts of fines, penalties and/or forfeitures imposed on it.
Separately, the UK-based bank said it has also received “subpoenas and requests for information” from the US and other authorities with respect to certain US-based clients of an HSBC company in India.
This case relates to some NRIs facing investigation in the US for alleged violation of the American tax laws.
Giving an update on the case in its annual report published today, HSBC said it is cooperating with the
relevant authorities, while adding that it was possible that other tax administration, regulatory or law enforcement authorities will also initiate or enlarge similar investigations or regulatory proceedings.
