- Tories claim to be on the offensive over tax avoidance
- But #1 donor running secretive Bermuda hedge funds
- Territory snubbed David Cameron over tax deal last week
In the wake of the G8 summit (and a controversial donation to the Labour Party in company shares) the Tories have become complacently smug when it comes to tax avoidance.
Indeed, Tory whips are even handing out lame patsy questions for PMQs:
Mr Marcus Jones: I welcome the prime minister’s leadership on getting the G8 to agree a deal on tackling aggressive corporate tax avoidance. Will my right honourable friend confirm that we won’t be offering a corporate tax avoidance service as does the party opposite?
In the spirit of leadership so admired by obliging backbenchers, perhaps the prime minister can ask Michael Farmer, the Tories #1 donor, former party co-treasurer and now board member, why he is linked to at least six hedge funds operating out of Pembroke?
That’s not Pembroke, West Wales but Pembroke, Bermuda — a country which snubbed David Cameron’s entreaties over tax avoidance just last week.
When not giving the Tories £4.9 million or paying for his son to join the Bullingdon Club, “Mr Copper” runs the extractive commodities-focused hedge fund RK Capital Management.
While ostensibly being managed from New York and London, filings with US regulators indicate that portions of the company’s leading offering, the Red Kite hedge funds, are operating out of the tax haven (click links below for SEC filings):
- Red Kite Compass Fund LP
- Red Kite Mine Finance Fund I Ltd
- Red Kite Mine Finance Fund LP
- Red Kite Metals LLC
- Red Kite Prospect Fund I LP
- Red Kite Real Return Fund Ltd
With his new found enthusiasm for stamping out tax avoidance, doubtless David Cameron will be enquiring as to the purpose of these arrangements shortly.