Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Freshfields Bruckhaus Deringer’s Frankfurt office has been raided by German prosecutors in connection with a tax evasion investigation.

Reuters reported that the raid was connected to an investigation into so-called “cum-ex” transactions, which are at the center of one of the largest tax scandals in Germany.

The asset-stripping deals have allegedly been used by a number of banks in Germany to claim billions of euros in rebates from authorities in the country before a loophole was closed in 2012. The loophole effectively allowed two parties to claim ownership of the same shares, enabling both parties to receive the rebates.

German newspaper Sueddeutsche Zeitung, which broke the news of the raid on Freshfields, claimed that it related to an opinion that the Magic Circle firm had prepared for Canada’s Maple Financial Group Inc. The German arm of the bank, which was raided by German authorities in connection with the tax evasion investigation in 2015, was closed by German authorities last year amid worries that unpaid taxes were threatening its financial position.

“Freshfields is confident that the prosecutor’s review will reveal that our advice has been legally sound,” the London-based legal giant said in a statement.

Earlier this year, Jones Day’s Frankfurt office was raided by German authorities investigating its client, auto giant Volkswagen AG. Jones Day had carried out an internal investigation into an emissions-rigging scandal at Volkswagen.

A German court later ruled that documents seized in the raid could not be used by investigators looking into the scandal. Freshfields also had a role representing Volkswagen, having advised on the company’s $4.3 billion settlement with the U.S. Department of Justice.

This content has been archived. It is available exclusively through our partner LexisNexis®.

To view this content, please continue to Lexis Advance®.

Not a Lexis Advance® Subscriber? Subscribe Now

Why am I seeing this?

LexisNexis® is now the exclusive third party online distributor of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® customers will be able to access and use ALM's content by subscribing to the LexisNexis® services via Lexis Advance®. This includes content from the National Law Journal®, The American Lawyer®, Law Technology News®, The New York Law Journal® and Corporate Counsel®, as well as ALM's other newspapers, directories, legal treatises, published and unpublished court opinions, and other sources of legal information.

ALM's content plays a significant role in your work and research, and now through this alliance LexisNexis® will bring you access to an even more comprehensive collection of legal content.

For questions call 1-877-256-2472 or contact us at customercare@alm.com


ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2018 ALM Media Properties, LLC. All Rights Reserved.