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‘Panama Papers’: Royal Bank denies wrongdoing after leak

RBC has set more money aside to cover losses related to loans made to companies and consumers hit by the oil slump.
The Royal Bank of Canada says it operates within the law and has policies to prevent tax evasion after reports said it used the Panamanian law firm whose leaked documents are said to reveal the use of offshore tax havens. Credit/THE CANADIAN PRESS

TORONTO – The Royal Bank of Canada says it operates within the law and has policies to prevent tax evasion after reports said it used the Panamanian law firm whose leaked documents are said to reveal the use of offshore tax havens.

The International Consortium of Investigative Journalists worked with hundreds of journalists to analyze 11.5 million records from the law firm Mossack Fonseca.

Panama Papers: What you need to know about offshore accounts

The records reportedly show major banks helped clients create companies in offshore havens like Panama.

Mossack Fonseca has confirmed the authenticity of the records that hackers obtained.

The firm denies any wrongdoing and says most of the individuals named in the leaked documents were not its direct clients but accounts set up by intermediaries.

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WATCH: Iceland’s Prime Minister Sigmundur David Gunnlaugsson walked out of an interview with Swedish news agency SVT after being questioned about the Panama Papers allegations.
Iceland PM walks out on interview after being questioned about Panama Papers allegations
Iceland PM walks out on interview after being questioned about Panama Papers allegations

The CBC and the Toronto Star, two of the media outlets that the consortium collaborated with, reported that the Royal Bank of Canada and its subsidiaries set up about 370 of these types of corporations.