Wednesday, November 17, 2010

NYC Mayor's '09 Tax Forms Show More Offshore Money

In 2009 Michael Bloomberg's philanthropic foundation invested over $75 million in offshore tax havens. Although not illegal, off-shoring reduces the amount of money the government has to function. Mayor Bloomberg says all his money is held in blind trusts, meaning he has no idea where his money is invested. This practice is designed to eliminate any conflicts of interest as he serves as Mayor.

The Associated Press reports:

    The Bloomberg Family Foundation's 2009 tax forms were filed to the state Monday after two extensions.

    Bloomberg's foundation, which gives away hundreds of millions of dollars, has maintained offshore investments for years — typically more than $100 million annually — but that only came to light earlier this year.

    Bloomberg spokesman Stu Loeser declined to comment on the latest foreign investments.

    When first confronted with questions about the investments last spring, Bloomberg defended the tactic but said he has no control over the money. His investments are maintained in a blind trust that prevents him from knowing his specific holdings to guard against conflicts of interest.

    "As far as I know," he said last spring, "the investments that my money managers make are perfectly legal, they're fully disclosed and they're appropriate to maximize the assets which I'm giving away to charities."

    The mayor signs his own tax forms, which clearly list the offshore investments.

Read more here