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Ecuador President Lasso to be investigated for tax fraud after Pandora Papers leak -Breaking

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© Reuters. FILEPHOTO: Ecuador’s President Guillermo Lasso addressed the 76th Session at the United Nations General Assembly, New York, U.S.A. on September 21, 2021. Mary Altaffer/Pool via REUTERS/File Photograph

By Alexandra Valencia

QUITO (Reuters). Ecuador’s attorney General said on Thursday that it opened a preliminary probe against President Guillermo Lasso in connection to tax fraud. The investigation was initiated after an opposition leader brought up allegations linking him with the Pandora (OTC) Papers leak.

Yaku Perez (former presidential candidate) called for an investigation of Lasso’s finances after the Pandora Papers mentioned offshore Lasso-owned companies.

According to The International Consortium of Investigative Reporters, the papers contain a collection of documents leaked by The International Consortium of Journalists. They reveal transactions offshore involving business and political leaders.

Perez asked investigators to look into accounts that Lasso has held and those of his closest relatives dating back to 2013, when Perez was running for president.

An investigation was initiated into suspected tax fraud on October 18, according to the attorney general’s Office, but no further information was provided.

However, it was not possible to immediately speak with the presidential office.

Lasso questioned the Pandora Papers leak and described it as “some outdated and out of context information.” He also said that he had given up control over the companies mentioned in 2017, when he was again running for president.

Ecuador’s 2017 law prohibited elected officials and candidates to hold investments in “tax havens”.

Ecuador’s national assembly has begun investigating companies named in the Pandora Papers leak. Lasso was summoned Wednesday by a legislative committee to provide explanations. However, he rescheduled and will not attend Friday’s summons.

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