WILL EUROPEAN PRESSURE CAUSE LUXEMBOURG TO CLOSE UP LE FREEPORT ?

The European Commission is taking a close look at Le Freeport, a facility in Luxembourg reputed to be a destination for money launderers and European tax evaders. The warehouse allows individuals to store luxury goods, such as high-end art, jewelry and automobile far from the prying eyes of their country's tax collectors, but is allegedly little more than a place to hide assets.

While traditional freeports allow businesses to locate goods there, tax-free, while they find buyers, the Le Freeport warehouse in Luxembourg has come to the attention of the president of the European Commission, which has referred the matter for further inquiry. One MEP has demanded that Luxembourg close it down.

The last thing Luxembourg needs in 2019 is an issue with the EU; we have seen that Malta's problems, its CBI passports, its dodgy banks with foreign owners, and its officials named in the Panama Papers, all damaged its image with the European Union. We trust that Luxembourg's leaders move promptly to shut down this facility, which will certainly affect its reputation abroad, as well as within the EU.