This is an asset protection scenario for those that may be in serious risk from potential financial enemies. It is a very secure strategy so it is only indicated where the assets and the risk are substantial.
This strategy involves using an anonymous Panama Bearer Share Corporation that is owned by a Panama Foundation. Some of you may someday find yourself in a position of financial distress. This can be as a result of divorce, civil judgments, bankruptcy, or you might even find yourself as a victim of a kidnapping, blackmail, extortion or whatever. You could find yourself being sued (illegally) in some court that is a dictatorship, or very corrupt country you do business or reside in. You may reside or do business in a jurisdiction that does not recognize Panama Foundation assets as separate form your own and the courts in these jurisdictions may try to get the Foundation assets placed in their own country where they can confiscate them, lawfully or maybe not so lawfully depending on the country. This is often done through an order to repatriate funds to the jurisdiction you live or work in. If you fail to comply with the order to repatriate funds you could be held in contempt of court. You must have plausible deniability to avoid complying with such an order. So what is done is done BEFORE any such event occurs, timing is a most important point. Foundation instructions are written to prevent repatriation or forced transfers of funds. One way to prevent this is through the use of a Foundation Protector. The protector can be anyone you appoint. This person must approve any withdraws of funds from the Foundation bank account. This Protector is not a beneficiary owner of the Foundation or Bank account and this person is not a signatory on the bank account. The Protector is thus not capable of withdrawing any funds from the bank account on their own so you do not have a fraud risk. The signatory on the bank account is capable of withdrawing funds BUT before the withdraw goes through the Protector must approve of the transaction. Now if the Protector, through the Foundation is given standing instructions to not approve any transfers if you are in distress such as you are being sued, in divorce, in bankruptcy, have been kidnapped, are being blackmailed, are a victim of extortion, etc then you can not comply with any repatriation orders no matter what you do. If the Protector lives and works outside of the jurisdiction ordering the repatriation or transfer of funds then they can not be ordered to comply by the court attempting to accomplish the repatriation. As an alternative the Foundation can have instructions that call for your removal as signatory on the Foundation bank account in the event you are in certain categories of distress all clearly spelled out including notification procedures for the Protector and then you would need to provide an alternative signatory and beneficial owner of the account. Other preventative measure could be to prevent wire transfers going to certain countries if you are in distress, or money could only be transferred to a list of certain bank accounts in case you are in distress.
Another way to twist and turn things is to have the financial institution act as the Trustee and thus be the signatory on the account. You would then be the protector. You not being the signatory can not withdraw any funds initiate any wire transfers. There needs to be an arrangement for someone to give instructions to the trustee to initiate payments out of the account. Since you are the protector no money can leave the account without your consent in writing with a password by fax or through an online banking password for the protector. You would need to sign a private banking document with the financial institution stating that you are the beneficial owner of the account since it is not lawful for them to be the beneficial owner. This is a private banking document covered by bank secrecy laws in Panama. In any event you would not be a signatory on the account.
Different measure can be built into the Foundation to suit your needs.
Feel free to consult with us for a suitable strategy to protect your assets.
http://www.panamalaw.org/foundation_protectors.html
http://www.panamalaw.org/panama_financial_services_corporation.html
http://www.panamalaw.org/asset_protection.html
For more information, please visit:
http://www.panamalaw.org
email at: panamalegal@hush.com
Related Articles
Panama as an Asset Haven
By: Jean Bouttet | 25/01/2007 | Business
Panama has been long known for its investor friendly tax policies with many tax exemptions given to lure foreign business men, retirees etc. to invest in the country. It has a strong financial network with over 80 national and international banks operating there. It has strict banking secrecy laws which keep the investment details of individuals out of purview of public scrutiny.
A Tourist’s First Impression of Panama City
By: Jean Bouttet | 25/01/2007 | Business
When a tourist first visits Panama City, he or she would be anxious to know what is in store as the plane lands in the tarmac of the city’s airport. Lot would have been read and heard about the place that would arouse the curiosity of a visitor about the country in general and the city in particular.
Affordable Living in Panama
By: Jean Bouttet | 25/01/2007 | Business
Panama is a democratic country and has a growing economy. The inflation is a modest 2% and the government provides statutory financial privacy and banking secrecy to investors. The income earned abroad is non-taxable. There are also special benefits for retirees like discounts while buying airplane tickets to groceries and more.
Amazing Places Around Panama City
By: Jean Bouttet | 25/01/2007 | Business
Just 40 minutes drive from Panama City is the Chagres River National Park containing some of the most pristine rain forests in the world. One has to travel by canoe along the Chagres River to meet the Emberas community.
Panama Internet, TV and Phones
By: Jean Bouttet | 25/01/2007 | Business
You can buy airtime cards all over and they seem to have constant specials giving you triple and quadruple minutes for your money thus reducing the cost of the calls drastically.
Buying Property in Panama
By: Jean Bouttet | 25/01/2007 | Business
Weather is an important consideration while choosing a place to settle down and Bocas del Toro has typical Carribean tropical weather. It is warm and humid in summer with sea breeze and light rains from August through January. Volcan is in an elevated location and the weather is usually cool with a prolonged rainy season.
Panama Banking
By: Jean Bouttet | 25/01/2007 | Business
There are about 150 banks in Panama and they come in several flavors. One is the offshore bank that can only do business with entities not in Panama. There are banks that can only do business with entities in Panama and then there are banks that can do business with those offshore as well as those entities within Panama.
Panama Health Tourism
By: Jean Bouttet | 25/01/2007 | Business
Health or medical tourism is a recently coined phrase that denotes tourists visiting other countries not only for sightseeing but also for medical treatment, taking advantage of the low costs prevailing in those countries. It is gaining in popularity as the medical costs in developed countries are becoming exorbitant. Patients can save as much as 50% and more on medical costs depending on the destination.
Got a Question? Ask.
Ask the community a question about this article:
Frequently Asked Questions
Am calling a company on phone for the first time ...
By: robkatch | 19-11-2007
Am calling a company on phone for the first time,how do i talk to the secretary and ask her to forward me to the main person am looking forsay maybe the procurement guy?
Stock exchange
By: ofzer | 19-11-2007
which stock will bring me the most profit
Soccer and Mercedes??
By: muscleguy | 18-11-2007
Omer Golan who scored the match winner is set to receive English millionaire Fred Done's £50,000 Mercedes as a reward for his winning goal against team Russia. On Friday (Nov. 16, 2007), Done, founder of BetFred.com, offered his prized possession to any Israel player who scored the winner in the game. Will Golan be able to accept the Mercedes? What does this mean now for team England? With Israel winning, does this mean England will for sure make it to the next round?
How many companies are there in the US ?
By: misha | 18-11-2007
how many companies are there in the US ?
"short tail" long tail"
By: tammyk | 18-11-2007
what are "long tail" and "short tail" as inThe telecom industry is a prime example of how intelligently serving the long tail ismade unappealing by "short tail" successes
Speed to scale
By: tammyk | 18-11-2007
what does the term "speed to scale" mean ?
Q&A Powered by:
Latest Business Articles
Intuit Software: A Tax Preparation Tool
By: Bei M. | 21/08/2008
In the United Stats, tax legislation is popularly complicated and challenging especially in the corporate and business sectors. Almost all businesses are required to file and pay correct tax. The problem is that not all companies are able to handle well their tax preparation initiatives. That is why Intuit software...
Tips When You Strive to Buy Graphics Software
By: Bei M. | 21/08/2008
If you are regularly doing imaging and image-editing tasks in your computer, there is no doubt you are in need of an appropriate and functional graphics software program. That is why, you should aim to find and buy graphics software that would surely be of great use for you. However,...
Getting to Know More About Microsoft Business Software
By: Bei M. | 21/08/2008
There is no denying that currently, Microsoft Corporation is the world's biggest and most popular developer, designer, and maker of the most reliable computer programs and applications. Since its launch and the initial introduction of its first software, the company has never left the focus and minds of computer owners....
Develop a Better Business Model Faster by Analyzing Past Performance as Though These Were New Tests
By: Donald Mitchell | 21/08/2008
Past successes and failures show clues concerning opportunities and hurdles for creating superior business models. Learn from those experiences.
Insights on Successfully Leading Corporate Initiatives
By: Gayla Hodges | 20/08/2008
Corporations often present line managers the challenge of achieving assigned goals on corporate initiatives. In many cases the primary difficulty is that it is hard to see how the initiative relates to the day-to-day-activities of the plant or division or its specific strategic goals in production or sales, etc. Learn how to incorporate the corporate initiatives into daily work and use them to enhance achievement of goals in the strategic plan.
Secret Wholesale List Suppliers: Exposed!
By: Joaquin Reveron | 20/08/2008
You have a business. You need a wholesale list source to expand your product line and surely for possibilities of profiting more from the acquirement of wholesale products from such suppliers. Precisely, one of the easiest ways to get a source contact list of distributors and wholesalers is by hitting...
Wholesale Video Games: Extreme Infamous Tactics!
By: Joaquin Reveron | 20/08/2008
Let say that you have a successful wholesale video games accessory and your back up is your affiliated company that offers DVDs. Pay attention, this is one of the tools many of us on the top use to beat many competitors, make competitors paralyzed and not even make them think...
6 Reasons to Start a Drop Ship Baby Gift Ecommerce Business
By: Stuart Sherm | 20/08/2008
Starting any Ecommerce business is a daunting task, but here are some ideas where you can make money, have virtually no overhead and never leave your home. What you need is to join a great drop ship gift program.
Essentially you are aware that when you buy certain gifts online they...
More from Ronald Edwards
Nigerian Scam Emails
By: Ronald Edwards | 15/01/2007 | Business
Yes this is an actual email that was sent to us by the scammers. First ask yourself how does the lottery make any money if you do not buy a ticket? It is really not a lottery anymore is it? If the drawing is based on your email address and they say that it is a promotion being run by Microsoft it makes no sense in that one can have an email address and never be using a Microsoft product to access their email.
Another Nigerian Inheritance Scam Email
By: Ronald Edwards | 15/01/2007 | Business
They play along with their intended victim for a time and then they ask for money to cover expenses usually to get the funds released. They will say they need a certificate of good standing on the funds or some nonsense document that does not exist in the real world of banking. Rest assured they have some documents they can show you complete with stamps, seals etc – all junk they made themselves.
Nigerian Inheritance Scam Emails
By: Ronald Edwards | 15/01/2007 | Business
The Nigerians look for links between people on the internet apparently. They play along with their intended victim for a time and then they ask for money to cover expenses usually to get the funds released. They will say they need a certificate of good standing on the funds or some nonsense document that does not exist in the real world of banking.
Forum Scams
By: Ronald Edwards | 15/01/2007 | Business
Many forums are far from impartial in that the forum owners have businesses that the forums are indirectly used to promote. If the forum owner just provides a forum for people to post they are not really responsible for what is posted. So how hard is it for the forum owner to create a screen name and promote a product/service or bad mouth a competitor thus committing deniable slander.
Nigerian Scams
By: Ronald Edwards | 15/01/2007 | Business
The scam starts with an email or fax. Some plot is created like money needs to be gotten out of Nigeria or now we see South Africa popping up too. There might be a child that needs to be taken care of and you for some seemingly good reason have been selected to be entrusted with millions of dollars to take care of him or her. There may talk about oil contracts worth millions that are available.
Offshore Seminars
By: Ronald Edwards | 15/01/2007 | Business
Most seminar producers publish a newsletter to get credibility and a newsletter does not make you an expert. Anyone with a computer can write a newsletter. Folks these are highly skilled marketing people who know how to promote seminars, sell products and services.
Anonymous Atm Debit Cards
By: Ronald Edwards | 15/01/2007 | Business
A copy of a Passport or drivers license or national identity card is required to purchase card, nothing else. This is provided to the card company we deal with. These are not our cards, we are a reseller.
Offshore Mastercard Debit Cards
By: Ronald Edwards | 15/01/2007 | Business
There is no way to get a MasterCard or Visa physical card, without a persons name on it. This is to prevent fraud so the merchant can check ID of purchaser.
Business 
