Police have raided the offices of Mossack Fonseca – the law firm at the centre of the ‘Panama Papers’ leaks scandal – to search for any evidence of illegal activities.
Police offers and patrol cars began gathering around the company’s building on Tuesday afternoon under the command of prosecutor Javier Caravallo, who specialises in organised crime and money laundering.
The law firm, based in Panama City, specialises in setting up offshore companies. It denies any wrongdoing.
But after last week’s revelations, France put Panama back on its blacklist of uncooperative tax havens.
The Central American country’s President, Juan Carlos Varela, is not happy and is threatening retaliation.
“If the French government does not reconsider its decision, the Panamanian government will have to take diplomatic measures in response,” he warned.
More than 11 million leaked documents from Mossack Fonseca, spanning four decades, reveal how some of the world’s rich and powerful hide their wealth.
The scandal has embarrassed several world leaders and shone a spotlight on the shadowy world of offshore companies.
Get a different perspective
Every story can be told in many ways: see the perspectives from Euronews journalists in our other language teams.