Warren, Brown urge Treasury to investigate Panama Papers

Sens. Elizabeth Warren (D-Mass.) and Sherrod Brown (D-Ohio) are urging the Treasury Department to investigate any involvement of U.S. or U.S.-linked companies with the law firm at the center of the Panama Papers.

The Justice Department is already conducting a review of the Panama Papers. But in a letter sent to Treasury Secretary Jack Lew on Thursday, Warren and Brown said Treasury should to do its own investigation, because it is “the primary agency charged with protecting the integrity of the U.S. financial system and enforcing our laws against money laundering and terrorist financing.”

Reports on the leaked information by more than 100 media outlets showed that Panama-based law firm Mossack Fonseca helped create shell companies for clients, in some cases so said clients could allegedly engage in money laundering and tax evasion. Mossack Fonseca has U.S. offices in Miami and Las Vegas.

Warren and Brown said they were particularly concerned about whether anyone involved with the firm facilitated or is facilitating money laundering or terrorist financing with people or entities sanctioned by Treasury.

According to reports on the Panama Papers, Mossack Fonesca enabled 617 middlemen operating in the United States to set up shell companies, and the files included names of at least 33 people and companies that have been blacklisted by the U.S. due to evidence of wrongdoing.

“These disturbing revelations and others reveal activity that may threaten our national security and our financial system by undermining U.S. and international laws promoting financial transparency and combating money laundering and terrorist financing,” Warren and Brown said.

The Senators asked Treasury to brief their staff by May 9.