“How Delaware Thrives as a Corporate Tax Haven” detailed how the oldest state in the union enables some of the most heinous crimes by allowing arms traffickers, corrupt Washington lobbyists, and drug smugglers, among others, to anonymously shield their activities from law enforcement under the guise of a legitimate U.S. corporation.  While Delaware may be the biggest example, it is not alone.  Nevada, Wyoming and most other states allow varying degrees of anonymity while incorporating.

“Almost two million corporations are formed in the U.S. each year, and the vast majority of those corporations are not required to provide any information—neither names nor addresses—about the true human (beneficial) owners of the firms,” explained Tom Cardamone, managing director of GFI...

“Keep the Dictators Out of Malibu,” makes the case for the Incorporation Transparency and Law Enforcement Assistance Act—bi-partisan Congressional legislation which would ban anonymous shell companies from the U.S. financial system...it explains how corrupt foreign dictators, such as Equatorial Guinea’s Obiang family, have used anonymous U.S. corporations to steal from their people.   Indeed, a recent World Bank report revealed that the United States was the top destination for corrupt foreign officials establishing offshore shell companies to launder their money and gain access to the global financial system.