Romney Failed to Disclose Swiss Bank Account Income

ABC News ^ | 1/26/2012 | MATTHEW MOSK and BRIAN ROSS

[Raebie]

Mitt Romney's campaign is amending the financial disclosure form he filed in 2011 to acknowledge that a Romney trust earned interest income from a Swiss bank account, a detail that had been missing from the report.

"An amendment is being filed to address this minor discrepancy," a campaign official told ABC News in an email Thursday in response to questions about the apparent omission.

"The inescapable fact is that by releasing over 600 pages of information regarding his finances, Mitt Romney is clearly coming down on the side of disclosure," said Andrea Saul, a campaign spokeswoman, in a subsequent statement. "Any document with this level of complexity and detail is bound to have a few trivial inadvertent issues. We are in the process of putting together some minor technical amendments, which will not alter the overall picture of Gov. and Mrs. Romney's finances as disclosed in August."

The discovery that the Romneys had $3 million in an account with the Swiss bank UBS came only after the Republican presidential candidate released his tax returns for 2010 on Tuesday. The campaign had maintained that it was not necessary to disclose the Swiss account because Romney's money manager, Brad Malt, had shuttered it in early 2010.

[Semper911]

I hope you are right about all that.

[Gator113]

It all smells to me....

[Gator113]

It smells to me....

[luckystarmom]

I’ll gladly take that interest!!!!!!!!!!!! Sounds like Romney doesn’t need it.

[Ramius]

According to the news, Romney earned only $1,700 on this account. If this is true, it is insignificant.

True, but more fun will be had with the bashing.

It is a sad commentary on the times that you can have 3Mil in the bank and only earn $1,700 in interest.

[Ramius]

If you know where there’s a savings account that is paying more than mere fractions of a percent rates... I’m all ears.

[Prokopton]

So if he went into Saks Fifth Avenue and stole a $1700 wallet that would be the same as if the guy who makes $40,000 went into the 99 Cent store and stole 3 candy bars?

Is that how this works?

It's got nothing to do with stealing, it's about keeping track. Someone making $40,000.00 could easily forget about where $3.00 is, someone making $21,000,000.00 could easily forget about where $1,700.00 is.

[Ramius]

Actually, it only says the account is with UBS. UBS has it’s headquarters in Switzerland, but I think they’re going for the extra-zingy headline by calling it a “swiss bank account”. It’s a bank account, and the bank was originally Swiss, but they also have offices all over the US.

[P-Marlowe]

I am blown away by the number of freepers here who claim they will stay home if their guy doesn't get the nomination. Obama Out is job one.

The first step in getting Obama out is to keep Romney from getting the nomination. I will not vote for Romney for any office under any circumstances. There are millions of Tea Party Conservatives who feel the same way. Job one is to stop Romney. We have less than 6 months to accomplish that task. At this point it is NEWT OR BUST.

BTW we won't stay home. We will vote for Senate and Congress and possibly third party. But we won't vote for Romney.

[Prokopton]

Actually, it only says the account is with UBS. UBS has it’s headquarters in Switzerland, but I think they’re going for the extra-zingy headline by calling it a “swiss bank account”. It’s a bank account, and the bank was originally Swiss, but they also have offices all over the US.

Don't throw facts at a demonization frenzy.

[Suz in AZ]

“Interest on 3 million isn’t a “trivial insignificant” oversight.”

It is if you knew how much interest Swiss banks pay. It is very pathetic. Probably only 1/10%, which might come to a whopping $3,000.

You overestimate Swiss interest rates.

[LuvFreeRepublic]

BTW we won't stay home. We will vote for Senate and Congress and possibly third party. But we won't vote for Romney.

Lots of people are thinking this way, especially after seeing this coordinate assault on Newt by establhisment, Mitt and certain media. They have gone way too far. If Newt isn't our nominee for sure we can say GOP blew it and bye bye Stupid Party.

[P-Marlowe]

If you have $3,000,000 in a Swiss Bank Account, you are not going to misplace the $1700 in interest you earned on that amount. And if you make $21,000,000 a year in dividends and interest, you can afford an accountant who will balance your books down to the penny.

If I make a $1700 error on my tax return, I go to jail or I get a huge fine.

If Romney makes the same mistake, well, it is insignificant, so they'll let it pass.

Is that how it works?

[Kit cat]

ABSOLUTELY NO VOTE FOR ROMNEY HERE EITHER, NOT NO BUT
HELL NO!!!!! The hell with the senate and house also the pubbies will
get what they deserve WE THE PEOPLE,will have to show the elites that
we will NOT have our candidates cramed down our throats again!!!! I can
Not believe how angry I am!!!!!

[circlecity]

"You overestimate Swiss interest rates."

.0005 is a pretty poor return by anyone's account.

[P-Marlowe]

It is if you knew how much interest Swiss banks pay. It is very pathetic. Probably only 1/10%, which might come to a whopping $3,000.

So why on earth would Romney put $3,000,000 in cash in a Swiss Account? If you can't get at least 3% interest on that kind of deposit, then it raises the question of whether or not your purpose in putting the money in there isn't sinister.

What was Romney's purpose in depositing the money there, instead of Wells Fargo or Capital One or Chase, where they would gladly give him short term interest in the 3% range? Is it because there is no reporting requirement for deposits and withdrawals over $10,000 in Switzerland?

[circlecity]

And besides, he “forgot” to report the entire 3 million dollar overseas’ account, not just the interest.

[St_Thomas_Aquinas]

Obviously you've never had to work in, for instance, the financial industry, or any other industry that requires disclosures like this. If you had, you would be familiar with the requirement to fill out forms like this, and if you leave out a $3 million account in a foreign country, they usually fire you for that.

Did he not pay taxes on the interest? I can understand that not disclosing it might be illegal, but if he paid interest on the income, I don't understand why it would be a big deal. Tell me more.

[Ramius]

Wells Fargo or Capital One or Chase, where they would gladly give him short term interest in the 3% range?

Really? Can you point to one of those?

Chase currently has a TEN YEAR CD that pays 2.25%, and everything shorter than that is less than .75%

I would LOVE to find a short-term CD that pays 3%. That's pretty sad, these days.

[Ramius]

No, it was just the interest income that was missing on the disclosure. And... it’s probably not actually an overseas account. It’s just UBS.

[circlecity]

"No, it was just the interest income that was missing on the disclosure"

That's not what the media is reporting.

"The discovery that the Romneys had $3 million in an account with the Swiss bank UBS came only after the Republican presidential candidate released his tax returns for 2010 on Tuesday. The campaign had maintained that it was not necessary to disclose the Swiss account"

[FR_addict]

Something isn’t right here. $1,700 in interest on 3 million is less that .1% (less than a tenth of a percent). They wouldn’t stay in business of this is all they made for their private banking customers.

Maybe he closed this account early in the year. Swiss banks are closing out their US client accounts because of the new US regulations, but I believe the closing of US accounts happened later in the year, not the beginning of last year.

[Thane_Banquo]

Generally, having $3 million in a Swiss bank account and failing to disclose it is considered a sign that something nefarious would perhaps be going on. At the least, it would cause someone in the financial industry to be investigated by his or her employer and possibly the SEC. Most likely the person would get fired.

It is considered a serious ethical breach. At my last employer, a rumor was going around that ownership was looking for someone to fire for being late disclosing stock accounts, just to make an example of someone, because they knew the SEC likes to use things like that as an excuse to effectively shut a firm down. There is no way someone who allegedly worked all his life in the financial industry doesn’t know this and failed to disclose it inadvertently.

[Thane_Banquo]

Actually, it is quite possible. Central banks have set interest rates at much less than 1% for a while now. Swiss Franc rates are very small, just like USD rates.

[St_Thomas_Aquinas]

Generally, having $3 million in a Swiss bank account and failing to disclose it is considered a sign that something nefarious would perhaps be going on. At the least, it would cause someone in the financial industry to be investigated by his or her employer and possibly the SEC. Most likely the person would get fired.

It's wrong if your financial services company doesn't disclose it, but is it legal if you don't disclose it yourself?

But I get your point that someone who's been in the financial services industry should know that.

[Thane_Banquo]

The bigger question is why he had a Swiss bank account just to ostensibly get foreign currency exposure. You don’t have to open an account in Switzerland just to own Swiss Francs (I used to trade foreign exchange for a hedge fund). And there would be no reason to just leave it there earning essentially nothing. If you open a foreign account, more likely it would be for investing in foreign stocks or bonds.

[Scoutmaster]

[S]omeone making $21,000,000.00 could easily forget about where $1,700.00 is.

He didn't forget about about $1,700 - he *forgot* about $3 million. Three. Million. Dollars. He probably needs to check his accounts in the Cayman Islands, the Isle of Man, Anjouan, Vanuatu, and Andorra. Out of sight, out of mind.

[Thane_Banquo]

Generally, I have to report anything that is considered “reportable”under the relevant law. Basically, individual stocks and bonds. And yes, I am required by federal law to report it to my employer. If I had a $3 million reportable account and didn’t report it, I would be violating federal law.

But the definition of reportable is different in Mitt’s case. From what I understand, he had to report everything. He didn’t.

[Scoutmaster]

I think I stand corrected. The account was reported. I assume that means the $3 million was reported. But it’s Romney, so . . .

[Real Cynic No More]

"The inescapable fact is that by releasing over 600 pages of information regarding his finances, Mitt Romney is clearly coming down on the side of disclosure," said Andrea Saul,

Yeah and if Newt hadn't forced the issue, I'm sure he would have voluntarily done this./s

[Round 9]

While I support Newt, I never thought I’d see our side slam somebody for being successful.

Both of these candidates should quit with the personal attacks. It’s F****** sickening!!!

[Semper911]

I never thought I’d see our side slam somebody for being successful.

Exactly. It is unbelievable to me. It is a-ok with freepers now to criticize someone for his financial success. Mittens the candidate has many problems, but his financial success isn't one of them.

Class warfare is alive and well among conservatives. And the Dems are loving it.

[Suz in AZ]

I would think the reason is to have it in Swiss Francs and out of the US system and out of dollars as an emergency reserve. Not having all eggs in one basket, so to say.

[chessplayer]

Interest on 3 million isn’t a “trivial insignificant” oversight.

---

For Romney it is. How wealthy is he, again? 3 million is pocket change for him.

[AndyJackson]

Is that how this works?

Yes, that is how Washington DC works.

[Pearls Before Swine]

Oh it was on his returns, it was on his ethics disclosure forms he "forgot" he had a three million dollar swiss bank account.

What advantage is there to him in deliberately not mentioning it when he's disclosed much more? By the way, I'm not a Mittwit--I just don't see this as a major issue. He has others.

[mo]

“How can he have a Swiss bank account when I know Swiss citizens living here are forced to close their Swiss accounts while legally residing in the U.S.? ...”

come, come , now , silly boy ...YOU know that the peons and peasants aren't to ask embarrassing questions of their betters ....

[P-Marlowe]

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[Prokopton]

He probably needs to check his accounts in the Cayman Islands, the Isle of Man, Anjouan, Vanuatu, and Andorra. Out of sight, out of mind.

All I know is, I'd like to have those problems.

[Prokopton]

Class warfare is alive and well among conservatives. And the Dems are loving it.

Make no mistake, just because someone supports Gingrich, it sure as hell doesn't make them a conservative.

[HeartlandOfAmerica]

Why does it matter? Because Romney would be just another Ford, Dole, McCain loser in the general!

Actually, it goes farther than that.

WHen he has 3 mil in this overseas acct, 3 mil in that one 3 mil in another and on and on and he's worth 250 million dollars, at what point does he care about the worries, concerns and lives that the rest of us lead?

His kids all go to the best private schools. They have the best security that money can buy. SO what does he care about education bills etc.

He spends more on electricity in one of his mansions, like Algore, than most of us have to spend for an entire month for our entire lives and everything in them. What does he care about how the economy does or how many are unemployed? He's set and being president, he isn't gonna get poorer, he's going to follow all the politico's national trends and get richer by far.

He can afford all the health care anybody can possibly want, so what does he care about the state of health care in this country.

He's got whole legions of tax attorneys and accountants at his disposal, so what does he care about how high taxes are, he'll just hire more people to help find new ways to evade them anyways.

What does he care about the way we live? He doesn't. He couldn't care less.

Godspeed

[xzins]

Having watched the orchestrated events of the last few days and the all out attack on Newt Gingrich, I am more convinced than ever that Romney truly is being crammed down our throats. How do you get every network, every establishment republican, nearly every major website, talk radio, and every commentator to read off of the same sheet?

This is a concerted effort to take down Newt Gingrich, but the flip side of it is to ensure a Romney victory.

Romney remains a pro-abortion, pro-gay marriage, anti-gun, big government, romneycare liberal. Romney is not somehow less a liberal because Newt has ever done or not done something at any point in his life. Romney is not any less a crony capitalist because of anything Newt has ever done. Newt has governed as a conservative and Romney has governed as a liberal/socialist. The contrast cannot be more clear.

Romney is not any less the man who would force money out of a conscientious pro-life pocket and use it to perform an abortion. That is beyond despicable and well on its way to demonic.

This is all to say that not only WILL I not ever support Romney, but I CANNOT ever support Romney. In this evening’s debate, he says this or that about his finances or about the border or about his wife, and the media says “isn’t that nice”. Behind all of that, behind the smiles, behind the lines, is a man who will force demonic behavior on us. I CAN NEVER, am unable ever, am bound by my faith to NEVER ever support Romney. Obama/Romney: Do I really care if it’s nero or caligula who is in charge? Either way evil is heaped on the nation.

There are two real candidates left in this race: Gingrich and Santorum. Paul is a bit of a crazy old man, he’s unelectable, but at the same time, he’s not the beast that Romney or Obama are. I don’t really have to say that I won’t support Paul, because Paul isn’t going anywhere.

I support Newt, but if he stumbles, or if there’s some state that Santorum can win but Newt can’t, then I’ll be on the side of the one defeating Romney. Pennsylvania, for instance, might be a fight between Romney and Santorum since it’s Santorum’s home state. If Santorum can take Romney out in PA, and Newt can’t, then I’d support every conservative in the race supporting Santorum to deny that state to Romney. That’s what was suggested in IOWA, and it worked.

I will support a 3rd party candidate — and the only current 3rd party with a candidate I could support is at this point the pro-life, pro-God, pro-gun Constitution Party — if Romney gets the nomination. I will actively work, then, to deny my precinct (and hopefully my county) here in swing state Ohio to Romney. I’m in a bible belt county, and I do think that I can rally believers to the pro-God Constitution Party which is relatively unknown.

The establishment GOP might think it’s cool to shove someone down our throats, but if we make a concerted effort to deny victory to Romney, then the defeat of their candidate at the hands of those formerly their friends will be a victory that I will savor.

[SatinDoll]

There is no difference between Obama, who is a puppet of Globalists, and Romney who is a Globalist himself.

What is a “Globalist”?

In the context used here, American power players and Wall Street interests have dominated international commerce and established monetary structures in a Global network that requires military strength projected worldwide as protection from the Third World aggression. It is commonly referred to as protecting US interests overseas but has grown far beyond that in reality as huge international conglomerates have developed and moved American jobs overseas. It has in the past been neither conservative nor liberal in orientation and both Democrats and Republicans have been involved over the decades.

[Notary Sojac]

Newt is a pro-life, small government, strong defense, Reagan conservative. Wants to gut government, drastically reduce taxes and spending, neuter the Fed and the EPA, restore the constitution and the bill of rights especially the first, second and tenth amendments, defrock our black robed rulers, restore religious freedom and stop the wholesale slaughter of the innocent unborn!!

Agree with all of the above Jim.

But what a difference a few months makes.

Back when I was one of the first members of the Gingrich pinglist here back in September, I couldn't go two minutes without having to scrape another "Amnesty Newt!" or "Pelosi's butt buddy!" post off my screen.

I don't recall you or the mods making much of an effort to defend Newt back then.

[XenaLee]

I'm in total agreement, Semper911. I'm supporting Newt now...but if the Obama media takes Newt out like they took Cain out, I'll support Santorum. If what we're left with is Romney, I'll hold my nose and vote AGAINST Obama, who is much, MUCH worse and a deadly threat to this nation and our lives and future.

"I am going to support whoever is running against Obama. Period. Any one of them would be better than an Obama second term."

[XenaLee]

So HOW do we get rid of Romney...when he’s the one the leftie media and the Dems all want to win the nomination? They’re crossing over and voting for him, just like they did in 2008 for McLame.

And why the HELL do we even have open primaries that allow leftists to cheat and vote in them?