Painting Stark Pictures Data Journalism Offends The Powerful

Michael Hedges October 6, 2021 - Follow on Twitter

From oligarchs and kings to pop stars and football players lifestyles - and the money paying for them - are closely guarded. Secrets, in fact. Taxes are such an annoyance there are special means of avoid them all. Media outlets thrive on revealing these secrets. Democracies depend on it.

International Consortium of Investigative Journalists (ICIJ) and its partners published the Pandora Papers this week (October 3). Over 600 investigators scoured leaked data from 13 sources over two years. The general thrust was dodgy and sometimes corrupt financial practices of the rich, powerful and famous through efforts of well-known law firms, accountants and banks. Offshore accounts, mansions and yachts were mentioned. The revelations occupied the news cycle, particularly in countries where the names were known.

ICIJ is based in Washington DC. The Pandora Papers follows LuxLeaks (2014), Panama Papers (2016), Paradise Papers (2017) and FinCEN Files (2020). Both the Panama Papers and Paradise Papers were derived from data leaked to Süddeutsche Zeitung investigative reporters Bastian Obermeyer and Frederik Obermaier. A not-for-profit organization ICIJ is supported by institutional and individual donors, including Luminate, the philanthropic organization founded by eBay founder Pierre Omidyar and Pam Omidyar.

The Panama Papers release was, arguably, the best known internationally. It was so named because the focus of the data leak was the Panama office of law firm Mossack Fonseca, now closed, principals charged with forming a criminal organization. About 100 media outlets participated in the release. By notoriety, the Panama Papers vastly eclipsed WikiLeaks and significantly added professionalism to data journalism. In 2019 streaming video service Netflix released The Laundromat, a film based on Secrecy World by investigative reporter Jake Bernstein. The Panama Papers brought ICIJ and its partners the 2017 Pulitzer Prize for Explanatory Reporting.

“This leak is really Panama Papers on steroids,” said ICIJ Director Gerard Rye, quoted by France 24 (October 3). “These documents, for the very first time, are actually showing the US as a tax haven itself.” Yes, the midwestern US state of South Dakota has now eclipsed formerly popular tax havens of the Bahamas and Bermuda. Tax havens and shell companies remain popular topics.

The unique strength of the Pandora Papers release, is the reports by 150 distinguished and widely dispersed media partners in 117 countries. ICIJ compiled and cleaned the data, releasing to qualified publishers and broadcasters. By far the largest contingent of investigative journalists pouring over the Pandora Papers were from the United States, the Washington Post, public broadcaster PBS Frontline and Miami Herald with news agency McClatchy notable. The Washington Post focused on US tax havens and, later, calls for government investigations. The Miami Herald detailed the secret property dealings of pop star Julio Iglesias and the infamous Indian Creek Village development known locally as “billionaires bunker.”

German media was represented by the aforementioned Süddeutsche Zeitung as well as regional public broadcasters NDR and WDR. Süddeutsche Zeitung led with corruption - Russian and Ukrainian oligarchs, generally related. NDR opened its reporting with the troubles of Czech prime minister Andrej Babis with that mansion in Monaco.

Taking its usual worldview, Le Monde noted corruption in Seychelles, Cameroon and Morocco before addressing, with public broadcaster France24, the awkward dealings of disgraced former French politician Dominique Strauss-Kahn. It seems he compiled a list of “advantageous” tax havens that he shared for a fee after he left the International Monetary Fund, which he led.

The BBC, the Guardian and investigative portal Finance Uncovered had a field day with dodgy characters in London real estate, from the Qatari royal family, rulers of Azerbaijan and Jordan. The King of Jordan Abdullah II has been a prolific real estate investor, US$100 million worth of luxury London, Washington DC and London properties acquired between 2003 and 2017. A statement for the King said disclosure was “a flagrant security breach and a threat to His Majesty’s and his family’s safety.” Jordanian authorities sought to block access to the ICIJ website hours before publication, reported the Guardian (October 3).

Russian Federation investigative portal iStories fielded a plethora of noteworthy items and juicy gossip. It seems Russian state broadcaster First Channel director Konstantin Ernst became a major cinema operator and property developer with the financial assistance of British Virgin Islands (BVI) “offshore service provider” Trident Trust. Mr. Ernst complained that the ICIJ is “not an independent investigation company but an organisation commissioned by the US secret services.” Russian “patriotic” activist Alexander Ionov asked the State Prosecutor’s Office to declare the ICIJ an “undesirable organization,” noted news portal Lenizdat (October 4).

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