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international trade matters and international financing. The threshold question that must

be examined is whether the offshore financial centers possess the degree of legitimacy

mentioned by D. Lowell Jensen. It is clear that the centers through their respective

legislatures have more often than not shown the determination to dissuade money

launderers and their associates in business from coming to their shores.

However, if such financial centers are to operate and provided there is a clean and

transparent atmosphere in their operations it is necessary that the OECD, its membership

and the developed nations generally respect those jurisdictions and their laws. Hence,

those investigating possible infringements in their tax laws should consistently seek to

obtain banking information through the manner prescribed in the law of the particular

center and not through the back door.17 This level of cooperation in the international tax

arena would provide some ease of the strained relations which have existed between

offshore financial centers and the developed nations with regard to bank secrecy and

confidentiality matters. An identical case to United States v Bank of Nova Scotia18

which was decided differently by the United States Court of Appeal Seventh Circuit is

United States v First National Bank of Chicago.19 The facts of case concerned an Internal

Revenue Service investigation into two bank depositors maintaining accounts at the

Athens, Greece branch.

16 Problems of Obtaining Evidence in Foreign States for Use in Federal Criminal Prosecutions 22 COLUM J. TRANSNAT’L L. 233, (1984) page 216 See The Third Party Record Keeper’s Act 19 U.S.C. 1509 (1982) allowing disclosure of financial records to the Internal Revenue Service, but only under limited circumstances and with sufficient procedural protection. Supra page 5 699 F. 2d at 1391 17 18 19

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