Cyber Attack forces Panama Papers firm to close its business

Mossack Fonseca, the firm behind the scandal of Panama Papers has made it official that it is going to shut its business by this March end due to repercussions of the cyber attack. In a recent news post aired by Sky News, the firm explained how a cyber attack brought its operations to international attention showing a negative impact on its business.

The world’s 4th biggest provider of offshore financial services headquartered in Panama City has released a press statement in Spanish to the International Consortium of Investigative Journalists.

The same statement available in recorded form was aired by Sky News and states that Mossack Fonseca &Co which is now operating with only 50 employees will cease its operations by this month end- all due to document leakage which proved how the rich and famous across the world exploited secretive offshore tax regimes to evade taxes and became rich.

Ramon Fonseca, one of the founders of Mossack Fonseca & Co said that the data breach was a crime as it broke the privacy of its clients who put a lot of faith by entrusting to their firm their valuable tax info.

In a letter explaining the shutdown, Ramon agreed that his company’s reputation deteriorated after the data breach. And the media campaigns, the financial siege and the unlawful actions of some Panamanian authorities have added fuel to the incident causing irreparable damage to the business.

Thus, as a result of the cyber attack, the business which had a reputation of 40 years of growth and also contributing to the economic growth of the country had to be wound off in silence.

Naveen Goud
Naveen Goud is a writer at Cybersecurity Insiders covering topics such as Mergers & Acquisitions, Startups, Cyber Attacks, Cloud Security and Mobile Security

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